Tube Investments Q4 Results: Murugappa Group stock falls after revenue dips; one-time gain aids profit

Shares of Tube Investments of India Ltd., the Murugappa Group company, fell on Thursday, May 15, in response to its March quarter results.

Revenue for the quarter remained flat at ₹1,957 crore, compared to the ₹1,962 crore it reported during the same quarter last year.

The company reported a net profit of ₹814 crore, compared to ₹248 crore during the same quarter last year. However, the boost in profitability is due to a one-time gain of ₹569 crore. The one-time gain is due to a fair value gain on Compulsorily Convertible Preference Shares (CCPS) in its subsidiary TI Clean Mobility Pvt. Ltd.
Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) for the quarter increased by 5% year-on-year to ₹227.7 crore, while margins expanded marginally by close to 60 basis points to 11.6%.
Revenue for the engineering segment declined to ₹1,229 crore during the March quarter, compared to ₹1,276 crore during the same quarter last year.

Metal formed Products segment reported revenue of ₹403 crore during the quarter, compared to ₹386 crore during the same quarter last year.

Revenue of the mobility segment stood at ₹181 crore during the quarter, compared to ₹154 crore last year.

Tube Investment has also approved a borrowing plan worth ₹300 crore for financial year 2026. The borrowing will be done via term loans or through the issue of privately-placed and secured non-convertible debentures in one or more tranches if needed.

Shares of Tube Investments of India fell 2.6% after the earnings announcement to ₹2,961. The stock is still higher by 15% over the last one month.