At a Glance
Exide Industries, the veteran battery maker, reported Q1 FY26 revenue of ₹4,695 Cr (↑6% YoY) and PAT ₹275 Cr (↑24% YoY). While the numbers look fine, growth is crawling slower than a dying UPS battery. ROE at 5.7% is sleep-inducing, but the market is betting on their EV battery dreams – and dreams are expensive.
Introduction
Exide is like that old inverter in your house – dependable, humming in the background, but struggling against shiny new lithium-ion upstarts. Its legacy lead-acid business funds the new-age EV and lithium-ion adventures. Q1 FY26 looked decent, but investors need to ask: Is Exide charging up for the future, or stuck trickle-charging forever?
Business Model (WTF Do They Even Do?)
- Core Biz: Lead-acid batteries for cars, bikes, UPS, solar, and industrial usage.
- Institutional B2B: Supplies to OEMs, railways, telecom, and even submarines (because why not?).
- International Footprint: Present in 60+ countries.
- Roast: They sell everything from e-rickshaw batteries to submarine power packs – Jack of all volts, master of… a few.
Financials Overview
Q1 FY26 Snapshot
- Revenue: ₹4,695 Cr (↑6% YoY)
- Operating Profit: ₹538 Cr (OPM 11%)
- PAT: ₹275 Cr (↑24% YoY)
- EPS: ₹3.21
TTM
- Revenue: ₹17,497 Cr
- PAT: ₹854 Cr
- Book Value: ₹164
- P/E: 38.6
Commentary: Stable margins, low ROE, and an EV capex story brewing.
Valuation
1. P/E Method
- EPS ₹9.97 × Fair P/E (25) → ₹250.
2. EV/EBITDA
- EBITDA FY25 ₹1,805 Cr × 10 → EV
