Rico Auto guides for ₹3,000 cr FY25 revenue after record ₹2,477 cr in FY24
The auto-components maker expects 25% topline growth, a margin recovery above 10.25%, and a massive ramp-up in its new railway business.
— 1 earlier story on Rico Auto Industries Ltd. →What's new
- FY24 revenue hit a record ₹2,477 cr, up 12% year-on-year, with net profit rising to ₹52.4 cr from ₹19.2 cr.
- Management guided for FY25 revenue above ₹3,000 cr, implying 25% growth, and EBITDA margins to recover past 10.25%.
- The railway segment, which contributed just ₹3-4 cr in FY24, is targeting ₹100 cr in FY25 after receiving regulatory approvals.
Why this matters
Rico is pivoting from a slow-growth auto-components vendor to a business with a clear railway pipeline and an aggressive topline target. The ₹100 cr railway target is a 25x step-up from FY24, though from a tiny base. Delivering 25% revenue growth in a cyclical auto industry will hinge on execution of the new order book and export plans.
What we're watching
- Whether the railway ramp-up to ₹100 cr in FY25 hits its first milestones.
- Margin recovery to above 10.25% — FY24 margins were 9% after one-offs.
- Export growth in the US and Germany, which are expected to double over two years.
The full read
Rico Auto Industries posted its highest-ever annual revenue of ₹2,477 crore in FY24, a 12% increase. Net profit more than doubled to ₹52.4 crore from ₹19.2 crore. The bigger story is the forward guidance: management is guiding for FY25 revenue above ₹3,000 crore, a 25% jump, underpinned by new orders worth ₹2,500 crore over five years. The most dramatic pivot is in railways. The segment contributed a mere ₹3-4 crore last year but is now targeting ₹100 crore in FY25 after regulatory approvals. That's a 25x step-up. Exports are also in focus, with a 32% growth target for FY25 and plans to double the US and Germany businesses over two years. The margin path is key. FY24 EBITDA margins sat at 9% after one-offs, and management expects to recover to above 10.25% as the higher volumes flow through.
Questions answered
- How large is the new order book Rico announced?
- Rico secured new orders worth ₹2,500 crore spread over a five-year program life. This provides multi-year revenue visibility beyond the immediate FY25 guidance.
- What is the railway business's growth trajectory?
- The railway segment contributed just ₹3-4 crore to FY24 revenue but is targeting ₹100 crore in FY25 following regulatory approvals. Management sees this as a key new growth vertical.
- What is the margin story for FY25?
- FY24 EBITDA margins were 9% after adjusting for one-off items. Management expects a recovery to above 10.25% in FY25 as operational leverage kicks in from higher volumes.
- How significant are the US and Germany markets?
- Exports are expected to grow 32% in FY25, with the US and Germany specifically targeted to double their contribution over the next two years. These are key growth markets for Rico's diversification strategy.
Story so far
All notes on RICOAUTO →- 1 Jun 2026 · 5:18 PM IST Rico Auto guides for ₹3,000 cr FY25 revenue after record ₹2,477 cr in FY24
- today Rico Auto's revenue hits ₹2,477 cr. The real play is a ₹100 cr railway push.