Increase in Battery Sales Drives Amara Raja’s Profits Up by 11%

Battery manufacturer Amara Raja Energy & Mobility recorded a profit after tax of ₹2.98 billion (~$34.3 million) during the third quarter (Q3) of the financial year (FY) 2025, an 11.4% year-over-year (YoY) increase. Significant growth in battery sale volumes in the automotive and industrial sectors helped drive the profit.

The company’s revenue from lead-acid batteries was ₹31.55 billion (~$363.2 million), an 8.9% YoY increase from ₹28.97 billion (~$333.5 million).

During the quarter, the company’s revenue from operations grew to ₹31.64 billion (~$364.5 million), a 10% YoY increase.

Earnings before Interest, Tax, Depreciation, and Amortization (EBITDA) came in at ₹4.06 billion (~$46.7 million), a 10.9% YoY decrease from ₹4.55 billion (~$52.3 million).

The company’s earnings per share (EPS) for Q3 stood at ₹17.04 (~$0.2) compared to ₹13.81 (~$0.1) during the corresponding quarter of the previous year.

Jayadev Galla, Chairman and Managing Director, Amara Raja, said the company’s lead acid battery business was delivering positive results in India and abroad. He said the company is progressing in the Li-ion battery and charger segment.

9M 2024

Amara Raja recorded a profit after tax of ₹7.83 billion (~$90.1 million) in the first nine months (9M) of FY 2025, an 11.1% YoY increase over ₹7.05 billion (~$81.3 million).

The company attributed the profit growth to increased business in the automotive and industrial segments. The battery business comprised 96% of the revenue, and the new energy business comprised 4%.

It reported a revenue of ₹ 94.31 billion (~$1.1 billion), an 11.4% YoY increase.

Exports, automotive after-markets, and the UPS segment drove the revenue for the nine months.

The company’s EBITA came in at ₹12.76 billion (~$146.8 million), a 2.2% YoY increase.

It reported an EPS at ₹42.79 (~$0.49) compared to ₹38.50 (~$0.44) during the corresponding period of the previous year.

Operational Highlights

Amara Raja’s Phase I of 50,000 MTPA refinery capacity commenced commercial production in December 2024. The refinery targets achieving a capacity of 100,000 MTPA. Commercial production of the company’s tubular battery plant at ARGC, Chittoor, is expected to commence in Q4 FY 2025.

The company witnessed a performance decline in lead-acid battery volumes in the telecom sector compared to the previous year because of a segment shift towards lithium chemistry.

The company sourced 23% of their energy from renewable sources.

It plans to expand its operations in Europe and has introduced Amaron in seven new countries.

Recently, Amara Raja Infra, an Amara Raja subsidiary, won Solar Energy Corporation of India’s auction to supply a balance of systems for a 300 MW grid-connected solar power project at Ramagiri, Andhra Pradesh.

Last year, Amara Raja invested an additional €20 million (~$21.4 million) in electric vehicle battery firm InoBat, Norway, for a 4.5% equity stake. Amara Raja’s stake in the Slovakia-headquartered InoBat stood at 9.32%.

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