Carraro India is a well-known manufacturer of axles and transmission systems for agricultural and construction vehicles. It is set to raise 1,811.65 crore via an initial public offering (IPO). On August 23, the company submitted its first prospectus to the Securities and Exchange Board of India (SEBI). Particularly, the IPO will be a complete offer-for-sale made by Carraro International S.E., a holding company under Carraro S.p.A. Carraro India itself does not retain any money from the IPO; hence, all sales income will go to the selling shareholder.
Company Overview
Renowned for its knowledge in manufacturing transmission systems, including axles, transmissions, and drives for off-highway vehicles, Carraro S.p.A., with headquarters in Italy, is the parent company of the Carraro Group. Established in 1997, Carraro India is a competitive participant in the market, facing rivals such Escorts Kubota, Schaeffler India, Sona BLW Precision Forgings, Ramakrishna Forgings,
Happy Forgings and Action Construction Equipment. Backhoe loaders, soil compactors, cranes, self-loading concrete mixers, and small motor graders serving the building and agricultural industries comprise the company’s varied product line. Carraro India also supplies industrial and automotive-related gear, shafts, and ring gears.
Financial Highlights
Carraro India, with two production sites in Pune, sent items to 38 enterprises all throughout India in the fiscal year 2024. Of its profits, the company most clearly derived from domestic sales, at 64.82%.
Carraro India’s earnings for FY24 increased noticeably, even with a very small increase in sales. Compared to ₹47 crore the year before, the company’s profits surged by 29.4%, reaching ₹60.6 crore. Rising 4.4% from the year before, ₹1,770.5 crore was the year ending March 2024’s revenue. In FY24, the EBITDA margin rose by 130 basis points to 7.2%; year-on-year, EBITDA rose by 27.2% to ₹128.2 crore.
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