Gala Precision’s share saw an unexpected 10% surge on 19 February 2025. The company was listed on the Indian stock market on 9 September 2024. Since then, it has reached new highs daily and hit its all-time high of INR 1,481 per share on 27 December 2025.
The past month has been highly volatile due to instability in global and Indian markets. As a result, Gala Precision’s stock price dropped to INR 890 per share. Investors consider this price level suitable for buying. The company recently announced its third-quarter results for the fiscal year 2025, which has generated enthusiasm among investors. Let’s check more details below:
Gala Precision Q3 FY25 – Financial Overview
For the quarter ended 31 December 2024, the company posted solid gains across key financial metrics.
Standalone Financial Results (Q3 FY25)
- Revenue from operations: INR 58.12 crore (Q2 FY25: INR 51.23 crore)
- Total income: INR 60.29 crore (Q2 FY25: INR 51.32 crore)
- Profit before tax: INR 7.26 crore (Q2 FY25: INR 6.35 crore)
- Net profit after tax: INR 5.31 crore (Q2 FY25: INR 5.22 crore)
- Earnings per share (EPS): INR 4.75 (basic), INR 4.60 (diluted)
Consolidated Financial Results (Q3 FY25)
- Revenue from operations: INR 58.12 crore (Q2 FY25: INR 51.23 crore)
- Total income: INR 60.29 crore (Q2 FY25: INR 51.32 crore)
- Profit before tax: INR 7.24 crore (Q2 FY25: INR 6.35 crore)
- Net profit after tax: INR 5.29 crore (Q2 FY25: INR 5.24 crore)
The company has maintained an EBITDA margin of 19%, up from 16.5% YoY, reflecting operational efficiency improvements.
IPO Proceeds: Deployment and Expansion Plans
Gala Precision raised INR 168 crore through its IPO, listing its shares at INR 529 each. The funds have been allocated to strategic growth initiatives:
- Chennai Plant Expansion: The company has allocated INR 37 crore for the establishment of a new facility in Sriperumbudur, Tamil Nadu. It will focus on high-tensile fasteners and hex bolts.
- Wada Facility Upgrade: The company will use INR 11 crore for the capacity expansion of its Maharashtra plant.
- Debt Reduction: INR 46 crore was used to strengthen the balance sheet.
As of the third quarter of the FY25, the company’s production capacity stands at 24.65 crore units of springs and washers, along with 0.42 million fasteners, catering to renewable energy clients.
Global Market Reach and Competitive Positioning
Gala Precision supplies over 175 customers across 25+ countries, including key markets in Germany, Denmark, China, Italy, Brazil, the USA, Sweden, and Switzerland. Notable clients include John Deere India, Faiveley Transport Rail Technologies India, Brembo Brake India, and L&T Electrical & Automation Products.
Certifications such as ISO, IATF, and APQP4Wind reinforce its credibility in precision engineering, particularly for renewable energy, automotive, and industrial applications.
Stock Performance and Investor Sentiment
Following the Q3 earnings announcement, Gala Precision’s stock surged 10%, driven by:
- Strong revenue and profitability growth
- Efficient allocation of IPO proceeds
- Debt reduction, enhancing financial stability
- Expansion in Chennai, improving market reach
The company’s disciplined approach to expansion and financial management positions it for continued growth in the coming quarters. Investors remain optimistic about its ability to scale and deliver consistent returns.
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