Q2 result preview: Orders, input costs to keep capital goods on rails

Brokerages predict 12-22% revenue growth and a 13-18% rise in Ebitda

Brokerage firms estimate that the capital goods sector will report double-digit growth in revenue and earnings for the July–September quarter (Q2) of 2024-25 (FY25). They noted that raw material prices have continued to ease over the past three months, while new order wins have increased.

Three brokerages — Motilal Oswal, Kotak, and Elara Capital — estimate revenue growth from 12 per cent to 22 per cent for Q2FY25. They expect earnings before interest, tax, depreciation, and amortisation to rise by 13–18 per cent year-on-year (Y-o-Y) for their respective capital goods coverage.

Elara Capital highlights strong industrial demand