📌 At a Glance
Shivalik Bimetal Controls Ltd (SBCL) wrapped up FY25 with a flat topline but a punchy Q4 — 422 bps YoY margin expansion and 31% growth in Indian shunt resistor sales. While bimetals fumbled, SBCL flexed serious discipline with cash flows, exports, and product mix. Final dividend? ₹2.70/share. ROCE? A delicious 24.65%.
🏢 About the Company
- Name: Shivalik Bimetal Controls Ltd (SBCL)
- Founded: 1984
- HQ: New Delhi
- Core Products: Thermostatic bimetal strips, shunt resistors
- Applications: EVs, smart meters, industrial controls, switchgear
- Exports: 56% of revenue
- Clients: 300+ across 40 countries
🧑💼 Key Managerial Personnel (KMP)
- MD: Kabir Ghumman
- Whole-Time Director: Sumer Ghumman
- CFO: Rajeev Ranjan
📊 Financials – FY25 (Standalone)
| Metric | FY25 | FY24 | YoY |
|---|---|---|---|
| Total Revenue | ₹437.2 Cr | ₹449.4 Cr | -2.72% |
| EBITDA | ₹97.4 Cr | ₹102.2 Cr | -4.7% |
| EBITDA Margin | 22.28% | 22.75% | -47 bps |
| PBT (excl. Other Inc) | ₹84.7 Cr | ₹87.7 Cr | -3.5% |
| PAT | ₹72.43 Cr | — | — |
| ROCE | 24.65% | >24% | Consistent |
| Dividend (Total) | ₹2.70/share | ₹– | ✅ |
💰 Forward Valuation (FV) Estimate
- Estimated EPS FY25: ₹25
- Industry P/E (Electronic Components): ~28×
- Fair Value: ₹25 × 28 = ₹700
- CMP: ₹497
- Upside Potential: ~41%
🎯 Assumes continued margin >22%, resistor demand intact, bimetal rebound FY26.
🧲 Segmental Snapshot
🔌 Shunt Resistors (49% of revenue)
| Region | FY25 YoY Growth |
|---|---|
| India | +31.3% |
| Europe | +20.7% |
| Asia (ex-India) | +22.7% |
| Americas | -23.2% |
💡 Despite USA weakness, overall volumes grew 6.16% — strong diversification story.
🧱 Bimetals (51% of revenue)
| Region | FY25 YoY Growth |
|---|---|
| India | -7.3% |
| Europe | -17.4% |
| Asia (ex-India) | -23.4% |
| Americas | +4.5% |
📉 Bimetals are still a drag, but Q4 showed signs of revival, especially in Asia.
📦 Product + Geography Mix
- Exports = 56.2% of sales
- Smart Metering, EVs, Industrial Controls = key growth drivers
- Inventory for exports elevated; working capital under control
🧠 EduInvesting Take
Shivalik isn’t a hype stock — it’s a margin-maxing machine with 400 bps Q4 expansion, debt-free balance sheet, and dividend discipline. Sure, revenue slipped ~3% YoY, but the resistor story is hotter than your inverter in a May heatwave. Bimetal recovery is slow, but FY26 could be its redemption arc.
💼 ROCE at 24.65%, a solid moat in a niche, IP-heavy space. EVs, meters, and industrial infra aren’t going away — and SBCL’s tiny base means the next ₹500 Cr in revenue could deliver 2x profits.
Edu Verdict: While everyone’s chasing PSU power plays, this silent performer could spark a rally of its own.
⚠️ Risks & Red Flags
- Bimetal drag still visible
- US market softness impacting resistor exports
- FY26 bounceback in global demand crucial
Author: Prashant Marathe
Date: 29 May 2025
Tags: Shivalik Bimetal, SBCL Results FY25, Shunt Resistors, Bimetal Export, EV Components, Smart Meter Stocks
