Q3-FY26 · Vira Kalyani
We are consciously removing bad business and bringing in good business into the company and this is what will improve future ability to increase sales as well as future sales and improve the margins.
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We are consciously removing bad business and bringing in good business into the company and this is what will improve future ability to increase sales as well as future sales and improve the margins.
The biggest lever is EBITDA margin. That's why that has been our topmost focus. The moment you increase EBITDA margin, it just lifts up PBT as well as PAT as long as we keep depreciation and interest costs in control.
20% is the next milestone. So it will take a little more time but it is definitely within sight and we know the approaches for it. So I won't give an exact milestone date or expected timeframe for that.
We are targeting 20% EBITDA margin. I'd say in a year's time. By end of this financial year or early next financial year, we should move upwards closer to 20%.
Approximately 40 crores of non-fit business has been phased out in FY26. In spite of removing non-profitable or difficult to scale businesses out of the entire portfolio, we were still able to grow the core business revenues and that's how we have achieved the same or a stable revenue for the year.
15% is now a floor. It's a baseline and it's a minimum that we need to be achieving going forward.