Note: This is a preliminary transcript and may contain inaccuracies. It will be updated with a final, fully-reviewed version soon.
Alicon Castalloy Limited (NSE: ALICON) Q4 2026 Earnings Call dated May. 13, 2026
Corporate Participants:
Sumit Bhatnagar — Chief Executive Officer
Vimal Gupta — Group Chief Financial Officer
Analysts:
Mayank Vaswani — Analyst
Raghunandan NN — Analyst
Ritesh Gandhi — Analyst
Preet Pitani — Analyst
Nishita — Analyst
Presentation:
Operator
Ladies and gentlemen, good day and welcome to Alicon Castelloi Ltd. Q4FI 26 earnings conference call. As a reminder, all five lines will be in the listen only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing Star then zero on your touch from phone. I now hand the conference over to Mr. Mayank Vaswani from CDR India. Thank you. And over to you, Mr. Vaswani.
Mayank Vaswani — Analyst
Thank you, Michelle. Good evening everyone and thank you for joining us on alicon Castile Oil Limited Q4 and FY26 earnings conference call. We have with us on the call today Mr. Sumit Bhatnagar CEO and Mr. Vimal Gupta, CFO. Mr. Sumit Bhatnag will share his perspectives on the industry backdrop and the growth strategy following which Mr. Vimal Gupta will cover the financial and operational performance for the quarter and the full year. Before we begin, I would like to point out that some of the statements made in today’s call may be forward looking in nature and a disclaimer to this effect has been included in the earnings documents that have been shared with all of you earlier.
I would now like to hand over the floor to Mr. Sumit Patnagar. Over to you sir.
Sumit Bhatnagar — Chief Executive Officer
Thank you Mike. And good evening everyone and thank you for joining us today. And I trust all of you have had the opportunity to review the earnings presentation which was shared with you earlier. It’s a privilege for me to address all of you as I take over as the CEO of Alicon Castleroy effective 1st of April 2026. I would like to begin by expressing my gratitude to our board, employees, customers, partners, shareholders for the trust and confidence they have placed in me as we enter the next phase of Alicon’s journey.
Alicon today stands on a very strong foundation built over five decades through deep engineering expertise, robust manufacturing capabilities, enduring customer relationships and an unwavering commitment towards quality and execution. As I step into this role, I do so with great respect for the legacy that has been created and with a clear focus on strengthening Alicon scale capabilities and long term relevance across evolving markets and technologies. Over the years, Alicon has evolved alongside the changing automotive landscape and established itself as a trusted supplier across both domestic and the global markets.
Today, the industry is undergoing a significant transformation driven by electrification, premiumization, lightweighting energy transition and increasing the technology integration. We believe Elicon is well positioned to participate meaningfully in these structural shifts. Given our strong product capabilities, diversified customer base and growing presence in technologically advanced and value added applications. Going forward, our priorities will remain centered around three broad themes, a deepening of customer relationships, expanding our capabilities and manufacturing footprint and further strengthening our leadership and organizational depth on the customer front.
I recently had the opportunity to engage with several of our global customers across both automotive and industrial segments and the feedback has been highly encouraging. Increasingly, customers are looking at Alicon not merely as a component supplier but as a long term engineering and manufacturing partner capable of supporting their future growth plans. We are seeing opportunities expand across platforms, geographies and product categories with customers expressing greater willingness to consolidate business with reliable and technically capable partners such as Elekon.
This is true not only in automotive applications but also in adjacent industrial and non automotive segments. There are casting, machining and engineering capabilities provide meaningful competitive advantages. As the relationship deepen, there is also a corresponding opportunity to expand our scale and capabilities. Customers are increasingly engaging with us for higher value and more technologically advanced products while also encouraging us to participate in a larger share of their sourcing requirements.
In line with this, we will continue to invest in capacity enhancement, automation, machining and process capabilities both organically and through selective inorganic opportunities where they strengthen our strategic positioning and customer relevance. Equally important is our focus on building the organizational capability and the leadership bandwidth. We firmly believe that creating a stronger and more future ready organization is essential to support the next phase of telecom’s growth. Over recent months, we have significantly strengthened our leadership team across functions including sales and marketing, product and process technology, program management, manufacturing, supply chain tool manufacturing, operational excellence and human resource.
The pace and quality of talent addition undertaken during this period reflects our intent to build scalable organization capable of supporting materially higher levels of growth in the years ahead. Turning to the broader operating environment, the global business landscape became relatively more challenging during the fourth quarter amid the volatile macroeconomic conditions. While the quarter began on a stable footing, the escalation of tensions in the Middle east contributed to increased uncertainty resulting in volatility in energy prices, persistent inflationary pressures and some disruptions in freight movement in supply chains.
In contrast, the domestic environment remained comparatively resilient. India continued to be among the fastest growing major economies globally, supported by healthy domestic consumption, government led infrastructure investments, improving manufacturing activity and sustained momentum across several industrial sectors. In addition, proactive measures undertaken by the government towards diversification of energy procurement and supply chain management have helped mitigate the broader impact of global disruptions on the domestic economy Thus far.
Against this backdrop, we witnessed several important trends emerging across the automotive industry. One of the most notable developments has been the renewed momentum in electric vehicles and hybrid technologies. Growing focus on energy security and fuel diversification has accelerated customer interest in alternate mobility solutions, resulting in stronger traction for EV and hybrid platforms across the multiple segments. At the same time, inflationary pressures across the value chain have remained significant.
In addition to aluminum and related alloys, prices of commodities such as steel, copper and other input materials fitness meaningful increase. This was further compounded by high energy cost, freight expenses, packaging costs and currency movements. While aluminum price increases are largely pass through in nature, there is typically a timing lag involved whereas certain overhead related cost increases are fully recoverable. Consequently, these factors could exert some pressure on the margins as we move into FY 2027.
Energy availability also emerged as an important area of focus during the quarter and we use a variety of fuels including lshs, cbfs, PNG and LPG mainly in process of melting, die heating and heat treatment. We undertook several operational initiatives including process modifications, optimization of gas utilization and selective migration towards electric heating solutions in order to manage fuel availability challenges effectively and these measures help us significantly reduce the gas consumption without any disruption to production schedules to our customers.
Importantly, during the brief period of fuel supply constraints, our team demonstrated some exceptional commitment beyond the workplace as well. In several instances, employees and plant teams came together to support workers and their families by helping arrange essential cooking fuel and meals, ensuring that operational continuity was matched by care and responsibility towards people and communities. While on the subject of energy availability and consumption, it’s important to highlight that over 50% of overall power requirement is now being met through renewable resources, primarily the solar energy.
The transition has significantly strengthened our operational resilience and only a small part of operations is exposed to the risk of risk coming from the impact of volatility in energy prices, supply constraints and disruptions due to the evolving geopolitical situations in the Middle East. Another important development during the quarter pertains to the labor cost. Following the implementation of the revised labor cost labor codes earlier, the recent notification by Government of Haryana regarding an increase in minimum wages effective first triple 26 is expected to increase the labor cost at our North India factory by approximately 35%.
There means a possibility of similar revisions being implemented across the states over a period of time. However, we believe that our ongoing investments in automation, productivity enhancement and operational efficiency initiatives will help us meaningfully absorb the impact over the medium term. Despite these near term challenges, we remain constructive on the medium term outlook for Indian manufacturing and exports. Global OEMs are increasingly evaluating India as a reliable and cost competitive manufacturing and sourcing hub as part of a broader supply chain diversification initiatives.
Additionally, developments around India EU trade framework and progress towards India US Trade Agreement are also encouraging. From a long term perspective. With its strong engineering capabilities, diversified customer base and established manufacturing footprint, elicon remains well positioned to participate in these opportunities. Coming to the business development elicon has recently secured orders for two very distinct part numbers in this quarter. The first part is for a premium two wheeler customer in India.
This is the critical part for an upcoming product launch pertaining to higher CC platforms in motorcycles. The second part is supply of a turbo core compressor component used in data centers. This is in the non auto segment for Elekon and opens up a completely new product category for us as well as a new addressable market. Our existing passenger vehicle programs with leading Japanese OEM continues to perform well during this year supported by a strong growth in SUV platforms and hybrid vehicle demand.
Given an increasing end customer preference towards hybrids and fuel efficiency mobility solutions, we believe these programs remain well positioned for continued momentum going forward. In the commercial vehicle segment, the program secured during the previous quarter from leading domestic OEM along with the additional order from a prominent tier one supplier with a diversified Indian industrial group are progressing well. Development and implementation activities have largely been completed and these programs have now moved into the initial production domestic CV.
Industry volumes during the fourth quarter grew up by approximately 19.5% year on year and Alicon remains well positioned to participate in this growth Given our strong relationship across the leading OEMs. We also witnessed improved traction from our two wheeler customers during the recent quarters. Alicon today supplies several critical products to leading players within the segment and the strong recovery in industry volumes since September 2025 has translated into improved business momentum for the company.
Consequently, the Contribution of the two wheeler segment to our overall business increased meaningfully during quarter four FY26 as compared to the corresponding previous last year. On the global side, we recently secured our E accel housing program from a premium German automobile OEM and has also progressed very satisfactorily with execution moving in line with the planned timeline. Successful delivery of these technologically advanced and value accretive programs is expected to further strengthen elicon’s credibility, deepen customers engagement and support additional opportunities across the global markets.
Overall, we remain focused on a disciplined execution, operational excellence, customer centricity and strengthening elikron’s positioning as a technology driven manufacturing partner. Supported by a healthy order pipeline, strong customer relationships and ongoing investments in manufacturing and process capabilities. We remain very confident that the company’s long term growth opportunities. With that I would like to hand over the call to Vimal, our CFO who will take you through the operating and financial performance for the quarter and the year.
Thank you
Vimal Gupta — Group Chief Financial Officer
Thank you Sumit and good evening everyone. We appreciate your participation in today’s call to discuss elegant Castellois performance for fourth quarter and for the financial year. 25:26 Despite a relatively challenging global macroeconomic environment during the quarter, EliteCon delivered a resilient performance and concluded FY26 on a strong note. While the international business witnessed some recovery in quarter four, growth during the period was primarily driven by robust momentum in domestic market across key Automotive segments.
For Q4FY26, Eloquin Costelli reported a total revenue of 495 crore reflecting healthy growth of 16% year on year. This also represent the highest ever quarterly revenue reported by the company. A part of increase in top line during the quarter was attributable to pass through impact of higher aluminum and alloy prices. The domestic business remained the principal growth driver during the quarter supported by strong demand across passenger vehicle and commercial vehicle segments along with improving traction in two wheelers.
On the international side, customer specific issues and relatively softer demand conditions in select export market continued to weigh on volumes. However, the strength of domestic business helped offset a significant portion of these headwinds. From a profitability standpoint, gross margins for the quarter stood at 45% reflecting a reduction of 248 basis points on year. On year basis margin during quarter was influenced by a combination of factors including change in the product mix, a relatively higher contribution from domestic and two wheeler business and the impact of elevated aluminium prices.
While higher raw material prices contributed positively to revenue growth on absolute basis, they had a moderating effect on the gross margin due to the pass through nature of aluminium pricing on a quarter on quarter basis, gross margin moderated by 216 basis points from 47.2% in quarter three to quarter three of FY26 reflecting changes in product mix and the base effect of higher aluminum prices. EBITDA for quarter four of FY26 was 46 crores representing a year on year decrease of 3% due to the inflationary trend, trend in cost heads and base effect of higher aluminum prices.
Sequentially, EBITDA improves compared to quarter three FY26 as operational performance strengthened during the quarter offsetting the other factors. However, EBITDA margins broadly mirrored the trend seen at the gross margin level due to the evolving business mix and raw material pricing dynamics. Profitability during the year also continued to reflect investments being made towards future growth initiatives. Operational upgrades including technology enhancement programs, automation initiatives, capacity expansion, employee capability building and business development efforts.
While these investments impacted near term profitability to some extent through higher depreciation and operating costs, they are expected to contribute meaningfully towards productivity, efficiency and scalability over the medium term. At the same time, strong working capital discipline and prudent balance sheet management contributed towards lower finance cost during the year. Profit before tax before action items for quarter 4 FY26 to debt 10 crores as compared to 11 crores in quarter 3. On a year on year basis PBT was lower by 4 crores largely reflecting the higher depreciation profit after tax for quarter 4, FY26 stood at rupees 8 crores compared to 9 crore in quarter 4 of FY25.
On a sequential quarter basis, profit after tax in quarter 4 was higher by 141% compared to PAT of 3.3 crore in quarter 3 of FY26. On a full year basis, Elicon Castella reported a consolidated total income of approximately 1784 crore for FY26 reflecting year on year growth of approximately 4% over FY25. The strong performance during the second half of the year, particularly in the domestic automotive market contributed to significantly towards top line growth. Additionally, higher aluminum and alloy prices also had a positive impact on reported revenues during the year due to pass through pricing Mechanism.
EBITDA for FY26 stood at approximately 203 crore registering a year on year increase of 3% over 190 crore reported in the previous financial year. Profit before tax of FY26 to get 55 crore as against 62 crore reported in FY25. After absorbing impact 8 crore account of new labor code and exceptional items that was 34 crore in avoid 26 as come against 46 crore reported in FY25. In view of the company’s resilient performance despite a challenging operating environment, the Board of Directors has recommended a dividend of 2 rupees per share for FY26.
Capital expenditure during the FY26 stood at approximately 135 crore with investment directed towards automation initiatives, enhancement of machining capabilities, capacity augmentation and readiness for upcoming customer programs. Simultaneously, the company continue to invest in research and development, localization initiatives and digital manufacturing capabilities with the objective of strengthening long term competitiveness and operational resilience. Operationally, FY26 was characterized by continuous focus on execution excellence, productivity enhancement and throughput improvement across manufacturing facilities.
Despite demand softness in certain export market, the company worked closely with customers to maintain product stability optimize capacity utilization, ensure operational efficiency across locations. During the fourth quarter, we also undertook a comprehensive review of our order book to improve visibility and enhance the quality of the executable pipeline. Certain completed programs naturally moved out of the order book while a few programs where customer volumes had not materialized despite advanced development stage were also rationalized and removed from the backlog.
These two include two large global players as well as two prominent customers in India. We are hopeful that these programs will revive at the later stage at which we will add them to our order backlog. Again following this exercise and including recent order wins, ELICON executable order book stands approximately 7,600 crores as on March 31 representing a not executable orders over a period of five years from 2627 to 2021. This does not include programs that are currently ongoing and are already part of revenue of FY26.
Overall, while global markets continue to remain somewhat volatile in the near term, the domestic automotive industry continues to exhibit healthy momentum and customer demand trends remain encouraging. Supported by a healthy order book, healthy order pipeline, strong customer relationship and continued investment in technology capabilities and capacity expansion, ADICON Cost Alloy remains well positioned in sustaining growth trajectory over the medium to long term. With that I conclude my remarks and we can now open the floor for questions.
Questions and Answers:
Operator
Thank you very much sir. Ladies and gentlemen, we will now begin with a question and answer session. Anyone who wishes to ask questions may please press Star and one on the touchtone phone. If you wish to withdraw yourself from the question queue, you may press star and 2. Participants are requested to use only handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. You may please press Star and one to ask questions. The first question is from the line of Raghunandan NN from Nuvama Research.
Please go ahead.
Raghunandan NN
Good evening team. Thank you so much for the opportunity. Firstly to sumit sir. Thank you sir for the detailed opening remarks and highlighting the key focus areas. Best wishes for the days ahead. My question is how do you see the medium and long term targets potential for the company and for the near term, how do you see the FY27 revenue target given that there is a large pending order book of 7,600 crores at your disposal. Thank you.
Sumit Bhatnagar
All right, thank you for your question Raghu. As I’ve said that I have recently taken charge in Helicon and it’s a very valid question coming from an investor on in terms of understanding how do I see the midterm and long term prospects for the company. So if I look at FY27, the year which we have just started, the first approach for me is to make sure that we build a very, very strong foundation. Helicon has been there for more than five decades, so I would not say that while we don’t have a great foundation, but I want to revisit and relook at all the processes and make sure that we have the right abilities in terms of technology, processes, human capital to make sure that we are all ready for a big leap.
So this is the year for elicon to refocus, reset and rebuild. That’s number one. Number two, if you really look at the short term, the first most important thing for us at Alicon is to expand our footprint. You will see 2026-27 definitely minimum one new manufacturing factory site coming for Alicon. That is step number one to answer your question that how do we take care of the backlog order books? So that’s step number one. I’ve already mentioned in my speech that we have made serious recruitments at various levels across Alicon and this is basically to meet this particular requirement.
Definitely India is a growing market. In past there are some customers with whom we have not been seriously engaged. But I can only tell you today that we already have one initial businesses with them and they’re very keen to really expand their business portfolio with telecom. And this is where I’m looking in this year to first grow in the domestic business. That’s number one. Number two, last year I think we have already said in the previous fall and also in this call that because of some geopolitical situation the global markets did not do so well for us.
We have always strategically been focusing a lot on the European markets and the American markets. But we have not done to our expectations for various reasons which we have also told in the past. This year we are seeing for those things to also revive for us while 26, 27, I don’t want to make promises of an extraordinary bumper here for Alicon, but definitely we are looking for reasonable growth and our focus is also going to be relook at our margins and further strengthen them in a big way. So this is what I can share with you at this point of time.
And I think you also asked me Raghu, visibility on our growth for FY27. Definitely we are looking for a modest growth of around 8 to 10% without taking care of the aluminum volatility. It’s neutral because we don’t know to what extent aluminum will Grow because that would further add up to the top line. So this is what we are looking at at Aliquon for this year. And once you talk about the long term, which is another right question, there are some strategic movements which we will make and which will be a kind of more forward integration of our products which we are very seriously looking at at the right time.
We will also let all of you know that what we are planning and definitely we want to strengthen our European base as well. And our team has been aggressively working with the European customers and we have already made some good headway with them which should convert into results in the near future. So I hope that that answers your question, Raghu.
Raghunandan NN
Yes sir. Thank you very much. Very helpful and gives us an insight into your thought process to women. Sir. Sir, in terms of Q4 results on the cost side, other expenses seem to be on the higher side compared to last quarter or last year. Can you indicate whether there was any one off item or any expense which is not likely to continue in the coming quarters?
Vimal Gupta
Yeah. So in quarter four there are two aspects we have to see. One is that like Sumit has explained there is a impact of the aluminium. So there is a huge price increase we have seen in the aluminium in the quarter four due to this Middle east war. So approximately we are seeing that 30, 35 crores when we compare with the quarter three. So that is the one part where we can see there is because in the result there is a increase in the raw material costume. Our margins are gross margins are down. What I was explaining in my notes that is one part so that impact and second when we are talking about the operating this manufacturing and other cost.
So you know lot of things we have reviewed and some one time cost we have considered and maybe some provisions we have made. So approximately 15 crores additional cost those were not there when we compare in the quarter three or maybe earlier quarters that has come and we have considered in quarter four. So that is the major impact that we have seen in this.
Raghunandan NN
Thank you for that sir. And this aluminium would it be 3 month lag for the indexation pass through to customers?
Vimal Gupta
No, because earlier some customers was online miss month on month basis. Some work on quarterly basis. But after this big increase what we have seen from the mid of March so almost customers they are on the same month on monthly basis. We are doing
Raghunandan NN
Wonderful sir. So. So there should be some pass through benefit we should see in the going ahead especially that should help the gross margin
Vimal Gupta
The benefit. I’d say that there will be no loss
Raghunandan NN
Understood? Understood sir. So. So your absolute gross profit should not be impacted.
Mayank Vaswani
Yes, yes, yes.
Raghunandan NN
And for FY27 I understand there will be this numerator denominator effect that arithmetic effect because you know your aluminium prices go up and at the same time your cost go up. So so but broadly what is the range of margin you would expect for FY27 and also given that you are working on building your capacities what is the capex we should work with for FY27?
Vimal Gupta
The first is like has explained about. One is that the top line 8 to 10% and he has explained totally based on without taking the impact the aluminum prices. Because we don’t know because in the when in the March we have seen so big jump. In April I have seen approximately again for the 15 20% increase and may also again increase. So there is a huge maybe in the when we will go for the quarter one review we will see a huge jump in the aluminum prices. So we are not bothered about that and we are not even considering our calculations on this.
So that is the one part and so whatever the sumit has explained the growth that is a purely without taking the impact of these aluminium prices. And on the EBITDA side what you are talking about the margin. So you see the when we are talking saying that the 8, 10% increase in the top line so approximately 20% plus we are expecting increase in the gross this EBITDA margins. Understood. Maybe as a percentage maybe I 1 1/2% or whatever it comes.
Raghunandan NN
Got it sir, got it. No, this is very helpful. And on the capex side sir, how much you will be spending and what are the areas where it will be spent?
Vimal Gupta
Maybe Sumit would like to answer for this.
Sumit Bhatnagar
All right. So Raghu, this year our capital expenditure is mainly going to be first on increasing our capacities Especially on some of the specific manufacturing processes of die casting. We will also be putting our capex on increasing our machining abilities and machining capacities. And of course we will be coming with the new manufacturing plant and other than this we are keeping aside a good capex for strengthening of our cyber security. We are also going to be spending substantial amount on automations because it’s very clear that in future we want to have more and more automated processes to reduce the involvement of people in core manufacturing areas.
So if you. If you ask about the numbers I think give and take we are looking for a capital expenditure of anywhere between 130 to 140 or 50 crores.
Raghunandan NN
Noted sir. Thank you. This is very helpful. I’ll come back in the queue for more questions. Sure.
Operator
Thank you. The next question is from the line of Ritesh Gandhi from Discovery Capital. Please go on.
Ritesh Gandhi
I apologies that I joined the call slightly, slightly late. So apologies if it’s a bit of a repetition but just wanted to understand what exactly has gone wrong over the last couple of years because you know, given that the Range Rover issue should now have been resolved by Q Q4, you know and you know overall if you look at numbers for most of the auto components players both exposed to the local markets or Global, all the Q4 numbers have been extremely strong. So just wanted to understand what has really gone wrong and what are we doing to actually fix it.
Sumit Bhatnagar
All right, I think Ritesh, I’ll take this question while your question is pertaining to the past period but I would still attempt to give a fair answer and last couple of years if you, I think somebody can please mute it. I can see a lot of noises.
Operator
Sorry to interrupt you sir. I would request you to kindly mute yourself when the management is answering.
Sumit Bhatnagar
Thank you. Thank you. All right, so if you look at the past couple of years our strategy has been very clearly more focused in two specific areas. One is we have been really pushing very hard to grow in the global markets. Number two, we had been pushing very hard to grow on high value addition products. And if you really look at Alicon’s history for last few years most of the new developments have happened in the passenger vehicle segment where we have won businesses with some of the larger OEMs and higher VSI.
At the same time we have won multiple businesses in Europe especially in the EV side and also on the non EV side. And this is where we have put all our energies on. Now you also spoke about what went wrong with the Range Rover and efficiency. So it’s a very specific question you have asked. So I think while you are aware that the entire JLR was severely hit for more than a couple of months because of some challenges. What they had felt they realize internally but the vehicle is yet to be launched in the market.
The good news is we have recently seen the vehicle. We had an opportunity while we were in jlr. The vehicle is due to come on the roads very soon. Our supplies have started eventually. There has been a delay of significant day of I would say in start. But this product has been one of the most complicated development of so far. This product so far has not been developed by any other Indian companies until today. So I think it is, it’s a matter of lot of pride for us that we have done it, but there has been 18 months delay in the development which primarily happened from from the customer side.
But now this has been sorted, the vehicle manufacturing has started, the launch will be announced very soon and you will also hear from them directly. So this is something which has really put a big dent to our growth journey or our efforts other than this because our focus was mainly on the export market and unfortunately we did not get enough lifting of the material from the European and the US markets for various reasons, including the tariffs. So overall, wherever we have put more efforts, those places have not yielded enough results for us.
Now the question is so how are we fixing it? And I think I already explained to you some time back. We have now gone back to some of the major Indian OEMs where we have traditionally not been supplying. And I’m very happy to share that we already have one business from each one of them which is already into series production from last couple of months. So this is definitely a beginning with them. We are now putting equal efforts and energy also on the domestic markets so that we create enough balance between our European plants, US plants as well as the Indian plants.
And in this process we also realized that we need more capacities, we need a better footprint. We already have now gone ahead, we have already earmarked a place, the factory has been finalized and by end of this year our target is to have minimum one. It could be more if everything falls right in place for Alicon. But yes, that’s true that maybe some of the most strategic plans which Alicon has done in last two years, they have not yielded the results that they were anticipated. But they are not failed initiatives.
The results are delayed and we will see the results now in the coming years for sure.
Ritesh Gandhi
But then just to understand, I understand that obviously the entire JLR issue was completely out of our hands and it’s a high revenue and a high volume of business and actually tariffs and all of these implications. But even given that you’re still guiding only towards an 8, 10% growth, wouldn’t we have to then make up for the lack of growth over the last year and then have this year? So therefore this year the growth be materially higher with regards to to what you’re guiding towards?
Sumit Bhatnagar
Sure, it’s a fair question. As I’ve said that the capacity expansion has started. But you can understand in our kind of industry, once you start the expansions, they take some time to yield positive results. And I’m very hopeful that towards the end of this financial year, those steep growth increases you will see coming up but it cannot just happen suddenly on a given day. But yeah, but I think it’s a fair question. But I can only tell you that Alicon is not completely geared up for this growth and you will see this very soon in the coming future.
Ritesh Gandhi
And this exceptional item which we had of the write offs which you were sort of indicating at of the just wanted to understand is that behind us or are there other write offs we still need to do and of cleaning up the balance sheet. I just want to understand what were those write offs which were done?
Sumit Bhatnagar
So Ritesh, I think Vimal did explain some of the extraordinary write offs which I have done. But I can only tell you that we are not looking for any further write offs in this year and we have recently done our audits and I am quite hopeful and I believe we have just cleaned up whatever has to be done. But I am not looking for any such events coming in the next financial year.
Ritesh Gandhi
So then you know, just to understand, you know what, given that now the JLR orders will start which is higher profitability given the exceptional write offs which we have taken last year, again we’re guiding towards just a very small enhancement in terms of the margin. We’re just being conservative in terms of our guidance because I mean it’s just appearing to be given all of the capex which we’ve incurred over the last few years. It’s not reflecting in our return ratios and growth or our profitability.
So are we just being conservative on our guidance or were we sort of off on our expectations with regards to the returns we can make on the capex?
Sumit Bhatnagar
Yeah, I can only tell you at this point of time that the bottom line and the, and the profitability as I’ve also said in the beginning, is going to be one of the major focus areas which is not limiting to getting more businesses but also to improve our internal efficiencies, productivities and other things. We have plans, we are working on them. What I have shared with the entire forum is something which we definitely are looking for and, and definitely I can only tell you that once it comes on making internal goals they will take much more aggressive targets.
But I think at this point of time what I have shared I would really be going hard to, to meet them. But yeah, your point is right, we will not take any conservative targets for the organization. We will be very aggressive and we will go easy
Vimal Gupta
Meeting.
Sumit Bhatnagar
So yeah, so I think maybe, maybe I think, I think by quarter, by quarter I think you would be able to see that still we are in a State where the market is volatile we still have not completely got over from the energy prices and the various escalations which have happened we are still dealing with them. To really commit something under this market volatile situation is not very fair on my side but still under these circumstances we are going to do our best to achieve great results for Alicon.
Ritesh Gandhi
Okay sir, that’s it for me all the best.
Sumit Bhatnagar
Thank you.
Operator
Thank you. The next question is from the line of Preet Pitani from Incred amc Please go ahead.
Preet Pitani
Hello sir, thank you so much for the opportunity I would just like to ask like last 3 years we have done around 500 crores across 500 crores of capex which has been our entire profit for the last 10 to 12 years just want to understand what exact and despite this capex we are now at 78% utilization so what exactly this last five years capex was and how how this has helped us because our margins are also at the bottom end of bottom bottom end so how exactly this CAPEX has helped us? Just wanted to understand.
Sumit Bhatnagar
All right so the thing is whenever we do a capital planning generally you can believe that almost 50% of the capital planning is always a maintenance CAPEX these are the machines and equipment which really need to be upgraded over a period of time so this is one area where the CAPEX has been spent I think which is a natural course for any organization but if you talk about the new capex yes we have invested significantly on projects like GLR we made some significant investments for some more customers from Europe which have already started their sales new projects is a place where we have invested a lot we have been investing on automations we are actually going to increase it by furthermore extent.
While I don’t have immediate breakup of all the numbers what he has said but I can only tell you that we have been very vigilant in spending and we also look at the returns what we need to deliver as any CAPEX which has been invested in the organization we can be rest assured that all the capital investments what we are doing right now is going to have a good rate of return. Yes for whatever reasons we have not seen those reflecting in our bottom line but I think 26, 27 you would see that as well this is what I can share with you at this point of time.
Preet Pitani
Got it. That was helpful sir Another question would be line on the entire year FY26 just wanted to understand that out of 1700 of revenue which we are doing what would be the one off revenue like you mentioned in the Quarter three call that base base has seven base was base has some one off revenues. One time revenues. So just wanted to understand in this entire year was there any one one off order. And also on the expense side apart from the exceptional loss of 75 crores was there any one off cost which we have incurred which will not be coming in next year.
Vimal Gupta
Just can you please explain again your question. The first is about the revenue.
Sumit Bhatnagar
The one off revenue. I think his question is was there any one of revenue which only happened once? Yeah,
Vimal Gupta
Not in this year. 25:26 it was not there.
Sumit Bhatnagar
So I. I’m not. That’s an event which has happened. If you can please be specific about your question.
Preet Pitani
And on the expense side also was there any one of expense which. Which was in entire FY26 which will not be reckoning in the coming year.
Vimal Gupta
So for the full year like I have explained the 15 crores in the quarter four so when we worked out for the full year so it was approximately 2526 crore because like wage code act or some other right of something one time increase in the costs. So those things have happened. So we have just approximately one time expenses during the full year is around 2526 crores.
Preet Pitani
Okay, thank you sir. And on the next line we have mentioned some few con call few quarters back that we have received a Daimler order and this, this will be starting in FY26 quarter three, quarter four. So has this order started and how big is this order?
Mayank Vaswani
This order is executed now and we have. I mean there are ideally 18 parts out of that 60% PPAP is through and parts have streamlined. Another eight parts will go in next two quarters. So on a peak sale this would be somewhere around 80 to 90 crore yearly sales. So I’m hoping maybe end of. I’m sorry I mean second half of the next year this will come into peak. But yes what we also see the numbers have are pretty well. I mean projects which we have kicked off what we were anticipating numbers. I think the hatred is more than 110%.
Raghunandan NN
Got it, got it.
Preet Pitani
Apart from this just wanted to understand. Last full year our revenue growth growth was only 4%. Our 80% of business is coming from domestic which has grown at 10 12%. So are we losing any market share on the domestic upfront or if you could explain it.
Sumit Bhatnagar
So we have not lost any market share. I think if you look at in fact if you look at our two wheeler segment we have done better than last year and in fact our market share has gone up even in passenger vehicles, the models where we supply in those models we are exactly at the same market share as we used to be earlier. But yet since we are not there in all the models the corresponding growth is apparently not visible in our growth because in the PV side we supply to some bigger OEMs in some specific models where our shares are substantially high.
So this could have been the reason why the entire growth is also not reflecting in our domestic growth. But this is something which we are now planning to correct by adding new part numbers and new products to other OEMs as well.
Preet Pitani
Got it. So on this follow up thing if you could just mention for full year FY26 what was our domestic growth, what was our export B growth? Yeah and if you could also mention about two wheeler pv anything quantitative would be suffice.
Mayank Vaswani
Segment wise bifurcation for this year two wheeler. Yeah there was a little up because of the market pull up so it was near about 42% followed by passenger at 34. Roughly 17 to 18% was commercial. And also we noticed little traction in the non auto to 5 to 6%. And if I read this in terms of the market. Yes if I consider even the beamed export indirectly what we share to the global region it’s somewhere on 20%.
Preet Pitani
And on the last question on the side of order book we have mentioned that we have around 7,000 7,600 crores of order book executable over next five years. So just wanted to clear if my understanding is correct our current base of FY26 revenue is around 1800 crores. So that means we can with no no new orders receiving we can clock around 25,000 crores of revenue by FY31 1818,000 1800 currently and 7,000 base is my understanding correct.
Mayank Vaswani
I’ll just, I mean put share some more remarks on this subject. So basically yes we were following on the new businesses whatever we have occurred over last two three years. The only thing what we have done is we have just revalidated with the numbers because a lot of dynamics of the market, especially the newer parts were changing. So what we have noted now is if I consider period from 2526 to 3031, that is six years. So I see a visibility of this new orders with to accumulative sales revenue of around 7,600.
So this is for six year period not five.
Vimal Gupta
And mainly things that. Because earlier when we were talking about so many orders like because we have seen the market is not as grown over what we were thinking for the EV So that already we are scaled down. Many some new entrants were there so even they have even closed up their projects. So everything we have updated and on that basis we have worked out these numbers. And another is that now we have started we are in process of negotiation many new orders in the like Sumit has explained in the Europe European market and the US market.
So hopefully this will be a very good new order book. Further in 2627 or maybe 2728 we will see.
Preet Pitani
Just, just wanted to understand like 17001800 crores of revenue we are doing currently we have 7500 crores of order book in six years period which implies, I know that order book cannot be evenly spreaded but that implies 1300, 1400 crores of revenue in one year. So just wanted to understand that cumulative revenue will go from 1700 crore to 3000 crores or from 1700 crores to. It will go to 9000, 9500 crores.
Vimal Gupta
No, no on year, on year basis maybe 3500 crore
Preet Pitani
3000. So we are expecting with no new order flows we are expecting top line to double in next five years.
Vimal Gupta
Based on the current order book. Based
Preet Pitani
On the current order book.
Vimal Gupta
Because what I what I have explained like we are in process of finalizing very lot of new orders the coming this year as well as in the next year. So that will be added up.
Preet Pitani
Got it. And you mentioned to some previous participant that we are planning of 140 crores of KX in this year. 1 around 140 crores. So what this capex is for for current year it is a maintenance. How much, how much would be maintenance capex? How much would be the capex for new plant? You mentioned something about new plant. If you could just give some idea about the same. So
Sumit Bhatnagar
Just to give you a rough estimate around 50 crore of capex is going to be a maintenance capex and rest of the capex is going to be for the new projects and expansion.
Preet Pitani
And by this 90 crores of new capex how much revenue we could target at its peak level.
Sumit Bhatnagar
This is too early to comment on this right now our objective is to create enough capacities to answer to a lot of requests which are coming from Indian and global pairs. But because the capex what we are considering is not the complete capex which is supposed to be allocated to this plant it is going to be much more as the time goes. So to very specifically tell 90 crores and relation to the revenue it is slightly tough for us but it is a strategic Move to create bigger and bigger capacities to answer all the RFQs and inquiries which are coming from all over the places.
Preet Pitani
So generally what kind of asset turnover we get from this type of project,
Vimal Gupta
Generally from the new business our target is always between 2.5 to 5, 3.3 times at least.
Preet Pitani
And on the basis of old, old gross block, how much we can do maximum.
Sumit Bhatnagar
Sorry old the existing assets. I think your your question is how much maximum we can do on existing capacities or. Yes,
Raghunandan NN
Yes.
Vimal Gupta
So from the existing capacities what we are talking about asset turnover you are talking about then we are all. It is below then two that we you already seen. So you know that the real issue is that whatever the new orders are coming, those are the very complex parts and we need new investment for that new kind of technology machining, lot of machining we have to do and lot of automation. So that is the main reason maybe you cannot see a big jump in the asset turnover ratio, but you have to focus more on the margin side.
Preet Pitani
Got it sir. And just on the margin upfront, currently you mentioned we have done peak margin of 12, 12.5, 13% kind of EBITDA margin in FY24 and I think we are projecting for 10% top line and 20% EBITDA margin growth that brings around 12%. So and although we had 25 crores of one off items in the previous year, so what is stopping us from making the margins of 13, 13.5%?
Sumit Bhatnagar
See I’ve already. I think I have already explained. You see thing is nothing is stopping us. We really want to do more and more. But currently see I cannot give you that number in current situation where we are still surrounded by a major volatility. I have already said. What I have said is something which we at least want to deliver, which is a good step up on the last year. But I can only assure you that quarter on quarter I would like to come back to you showing how much progress we are making on that.
So the internal challenges to our team is going to be far more aggressive. But yes, sitting today, while we still don’t have answer to lot of macroeconomic situations, it is very tough for me to commit a number to you which I can’t foresee very clearly today. But maybe as the year goes maybe I will be more confident to give a very precise answer to your queries.
Preet Pitani
Fair point. Fair one. Thank you so much for answering my all questions. I will join back in the queue if I have anything. Thank you sir.
Operator
Thank you. The next question is from the line of Bhavya Doshi from Sushil Finance. Please go ahead.
Raghunandan NN
Good evening and thank you for the opportunity. My first question is that most peers have talked about the revival of the US commercial vehicle cycle. Are you seeing a similar positive trend for your commercial vehicle sales in FY27?
Mayank Vaswani
Yes, we are noticing, I mean the newer engines which they have recently launched very good demand for those number. And not just the Daimler which I mentioned. But yeah, there are further accounts also like we supply charger cooler tanks to the other locations. We also have noticed the quantum of RFQs from such accounts has increased. So we are expecting some, I mean very soon, some lois from these region further so that we can add little of the sale in the coming quarters going forward. But we see a good visibility going forward.
Vimal Gupta
Just I would like to further explain about this. We have to correlate what Rajiv and Sumit is saying. Because this is a very crucial that Sumit has explained about the new plant. Because what we have seen then when we any new customer comes for the new business. So always face a challenge of the capacities. So unless until we have the new plants new capacities. So we cannot increase our top line. So that is the first step we have taken in this year. And what we are seeing in the last six months or maybe especially in the last three months, huge, huge customers are coming up with new businesses, new parts, high volumes.
And at this moment lot of demand is there. So but just to meet those demands we need capacities. So that first thing we are fixing in this year.
Raghunandan NN
Okay, thank you. And my next question is there has been a significant growth in the quarter for top line year on year as well as quarter on quarter. Is this driven by volume growth or value growth?
Mayank Vaswani
This is a mix. Yeah. If you talk about the domestic market. Yes, we noted a good jump from the two wheeler segment. Yeah. If you talk about our traditional partners like Rodenfield, the numbers were high. Even hero numbers were high. So we were able to grab little. And we definitely focus on higher share of business with such accounts. And even we noted good momentum. If you talk about passenger or commercial, I mean you have noticed, I mean Mahindra or Tata, both are aggressively focusing to become a number two in this market.
And touch wood, we have recently added few parts from both the accounts. So this is adding us on the top line. And on the third front on commercial. Yes. Lot of investment projects from the government. We have noticed. Yeah. And that also is driving and just to. If I. If I talk about non auto also I see good numbers, even segments like energy. So that has supported us little on that. And also I’m accumulating toward the top line.
Raghunandan NN
Okay, thank you. And so can you tell us what are the orders added in FY26?
Mayank Vaswani
Yes. So last year we have added around 14 parts with seven customers. So this includes both domestic and global accounts. And this even includes, I mean parts from the niche market like from Lamborghini or Audi. The European location. So good. Yeah, good momentum we have drawn over there. So this path will fetch near about a sale of around 140 crores at the peak. Yearly sales of 140 crore at the peak. And if I talk about over a period of say three to four years, this will fetch us near about 500 to 600 crores.
Raghunandan NN
Okay, thank you for the answers. That’s it from my side.
Operator
Thank you. The next question is from the line of Nishita from Sapphire Capital. Please go ahead.
Nishita
Yes, hello. Yeah, so I had a question on your order book. So you mentioned that we have the order book of 7,600 crores. So does that also include the order from JLR?
Mayank Vaswani
Yes, it includes the orders from JLR also.
Nishita
So what is the amount for that? If you can like give us that amount.
Mayank Vaswani
So jlr, when we, I mean when we got the alloy, this was somewhere. So, so, so this I. If I talk about jlr. Precisely. This would be. No,
Sumit Bhatnagar
I think I should pitch in. I think we cannot reveal a customer specific. Customer specific number. I think that’s a legal bonding between us and jlr. So my apologies for that because that would not go again in line with the contract. So sorry I can’t share that with you.
Nishita
Okay. Okay. And another question I had. So you mentioned that we’ll have a 1, 1.5% of increase in the EBITDA margin. So is that on the current margin of around 11.4% that we did in S26?
Vimal Gupta
First of all you have to understand the. What are the real margins in the quarter? 4 or maybe for the full year like we have explained because there is impact of the aluminium as well as some one time cost. So then we are already at that level. And at least maybe when we are Talking about the 11% margins, maybe taking the impact of the external cost or. Or even the impact of the aluminium. So one and a half percent, maybe 12 and a half to 13% we can say for the year.
Nishita
Okay. Okay, that is it for. Thank you.
Operator
Thank you. Sir, we have one more question. Can we take that?
Sumit Bhatnagar
Okay, I think we can take the last one.
Operator
Sure. Ladies and gentlemen, this will be the last question from for today from Incred amc. Please go ahead.
Preet Pitani
Am I audible?
Operator
Yes, please proceed.
Preet Pitani
Thank you so much for the opportunity once again. So just wanted to ask last one question on front of that side. We are planning of around 140 crores of.140 crores of capex and we have very small amount of cash on the balance sheet. So just wanted to know this will, will be taking a debt for this or how are we planning to do this? Capex
Vimal Gupta
At this moment that it has to be funded through the internal accruals.
Preet Pitani
Sorry, pardon me, I did not hear you.
Vimal Gupta
At this moment we have planned in our cash flow planning that it will be funded through the internal accruals.
Preet Pitani
So sir, on that internal growth part our creditor days for the FY26 have rose from 9900 days to 135 days. So how is our creditor days generally for a year it stays at 135 days or is it between 90, 200 days?
Vimal Gupta
It depends on customer to customer because some customers we have negotiated, we have given them a very good platform for the vendor financing and on that basis a good negotiation what the data’s happened, the credit period and they’re also enjoying that the cost, what they are paying.
Preet Pitani
So on average basis how would it last?
Vimal Gupta
It depends on commodity to commodity but 90 plus almost all customers are, all vendors are there.
Preet Pitani
But, but thank you, thank you so much sir. Thank you for it.
Operator
Thank you. As that was the last question for today, I now hand the conference over to the management for closing comments. Thank you. And over to you sir.
Sumit Bhatnagar
Okay. Okay. Thank you everyone. And before we conclude I would like to sincerely thank all the investors, analysts and stakeholders for your continued trust, engagement and support. As discussed during the call. While the external environment remains dynamic, we believe the recon is well positioned for the future. Healthy momentum in the domestic business, encouraging customer engagement across markets and our continued investments in technologies, capabilities and operational excellence provide us confidence in the company’s long term growth prospects.
We remain focused on disciplined execution, strengthening customer relationships and building a more agile and future ready organization while maintaining a prudent approach towards growth and capital allocation. Thank you once again for joining us today. We look forward to interacting with all of you in the next quarter. Thank you.
Operator
Thank you members of the management. On behalf of alicon Castle Oil Ltd. That concludes this conference, we thank you for joining us and you may now disconnect your lines. Thank you.