Permanent Magnets Ltd. — Earnings Release 2024

Feb 16, 2024

PERMANENT MAGNETS LIMITED

B-3, MIDC, Village Mira, Mira Road East, Thane - 401107, Maharashtra, India

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Phone : +91-22-68285454 Facsimile : +91-22-29452128 Email : sales@pmlindia.com Website : www.pmlindia.com

Date: February 16, 2024

To, Corporate Relation Department The Bombay Stock Exchange Limited Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai - 400 001

Scrip Code : 504132

Sub: Press Release on Unaudited (Standalone & Consolidated) Financial Results of the Company for the Quarter and Nine months ended December 31, 2023.

Dear Sir/Madam,

Pursuant to Regulation 30 of the SEBI (Listing Obligations & Disclosure Requirements) Regulations, 2015, we are enclosing herewith the Press Release on Unaudited (Standalone & Consolidated) Financial Results of the Company for the Quarter and Nine months ended December 31, 2023.

We request you to kindly take the same on record.

Thanking you,

Yours Faithfully,

FOR PERMANENT MAGNETS LIMITED

RACHANA Digitally signed by RACHANA PARESH PARESH SAWANT Date: 2024.02.16 SAWANT 17:18:29 +05'30' RACHANA RANE

COMPANY SECRETARY

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Regd Office: Harsh Avenue, 302, 3[rd] Floor, opp. Silvassa Police Station, Silvassa Vapi Main Road, Silvassa- 396 230. Dadra and Nagar Haveli (U.T.)

(All correspondence has to be made at our Mira Road address only) CIN-L27100DN1960PLC000371

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PRESS & MEDIA RELEASE

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MUMBAI, FEBRUARY 16, 2024

PERMANENT MAGNETS LIMITED, A SPECIALIST IN ELECTRICAL COMPONENTS AND ASSEMBLIES FOR APPLICATIONS IN AUTOMOBILES & ELECTRICTY METERS, ANNOUNCED ITS FINANCIAL RESULTS FOR Q3FY24.

Commenting on the results, Sharad Taparia, Managing Director, said:

“I am pleased to provide you with an update on our business performance for Q3FY24. Current performance has been a mixed-bag, marked with some challenges & headwinds in one of our customer segments and opportunities in the other ones.

The demand from our EV customers was lower consequently affecting the product mix in Q3 which is continuing in the current quarter as well.

Q3FY24 Financials Highlights (₹ Cr)

This has been offset, to an extent, by the growth we are registering in our domestic Energy Meters business, driven by the Government of India's significant push towards transitioning to smart meters. Thus growth in the Energy Meters segment has partially compensated for the challenges faced in the EV market.

REVENUE 50.53 4% YoY

However, the change in product mix has affected our gross margins, consequently impacting our net profitability. Additionally, a small loss in our subsidiary, Quantum Magnetics, has further contributed to the impact on our consolidated profitability. It is important to note that Quantum Magnetics had not commenced commercial operations in Q3FY24 and will do the same in the coming financial year, thus we anticipate normalization of this trend in the coming financial year.

EBITDA Margin 14% 926 bps

PAT 4.56 50% YoY

Note: Unaudited figures.

We anticipate a recovery from our customers in the coming quarters, and remain focused on executing our ongoing orders and projects in the pipeline. On the new projects front, both our Alloys business and our subsidiary, Quantum Magnetics, have completed the setup of their respective manufacturing facilities. The Alloys facility has completed installation of the furnaces, and will commence commercial operations in the coming month, contributing to our growth in the next financial year. Similarly, Quantum Magnetics is poised to initiate commercial operations in the coming financial year, albeit at a smaller scale initially.

These new projects, along with the growth prospects of our Energy Meters business, will serve as key drivers of growth in the upcoming financial year. Despite the challenges encountered, we remain optimistic about the future and PML’s ability to adapt to industry trends and deliver value for all stakeholders.”

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PRESS & MEDIA RELEASE

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Q3FY24 Profit & Loss Summary

(₹ Cr)

Q3FY24 Profit & Loss S	ummary						(₹ Cr)
Particulars	Q3FY24	Q2FY24	Q3FY23	YOY Change (%)	9MFY24	9MFY23	YOY Change (%)
Revenue from Operations	50.53	53.71	52.82	-4%	147.88	133.36	11%
Total Income	51.56	54.31	54.29	-5%	150.47	137.52	9%
Total Operating Expenses	43.44	42.19	40.52	7%	119.50	105.27	14%
EBITDA (Excluding OI)	7.09	11.52	12.30	-42%	28.38	28.09	1%
EBITDA (Excluding OI) Margin (%)	14%	21%	23%	(926 BPS)	19%	21%	(187 BPS)
Finance Cost	0.60	0.17	0.43	40%	0.96	0.89	8%
Depreciation & Amortisation	1.69	2.02	1.45	17%	4.94	3.58	38%
Profit Before Taxes	5.83	9.93	11.89	-51%	25.07	27.78	-10%
Profit After Taxes	4.56	7.34	9.09	-50%	18.69	20.96	-11%
Earnings Per Share (₹)	5.30	8.54	10.58	-50%	21.73	24.37	-11%

Note: Unaudited financial numbers.

About Permanent Magnets Limited

Incorporated in 1960, Permanent Magnets has a rich experience of over 60 years in the magnets, magnetic assemblies and shunts domain. The Company is a leading solution provider of electrical components and assemblies based on certain core technologies which find application in the automobile, energy meter, renewable energy, aerospace & defence, food & beverage and many other such industries. The Company has strong expertise in 5 core product categories, wherein it designs and delivers innumerable customer-specific solutions, and these product categories include magnetic sensing, current sensing, magnetic assemblies, alloys and ZAMAK die-casting.

PML works closely with its distinguished clientele from across industries, many of whom are global leaders in their respective industries. While in some cases PML is one of the two-three suppliers for specific products, it is also the only supplier for many of its clients. PML is a preferred supplier of electrical components and assemblies to about 50% of the tier-1 automobile companies globally, in both traditional ICE vehicles and emerging technologies like EV. It is also a supplier to the top 3 electricity meter companies globally, and the Company holds a strong position in this segment with long-standing client relationships.

Contact Us

Rachana Rane Sayam Pokharna PERMANENT MAGNETS LIMITED TIL ADVISORS PRIVATE LIMITED investors@pmlindia.com sayam@theinvestmentlab.in

Safe Harbour

This document which has been prepared by Permanent Magnets Limited (“PML”, “the Company”) has been prepared solely for information purposes. This document has been prepared by the Company based on information and data which the Company considers reliable, but the Company makes no representation or warranty, express or implied, whatsoever, and no reliance shall be placed on, the truth, accuracy, completeness, fairness and reasonableness of the contents of this Document. This Document may not be all inclusive and may not contain all of the information that you may consider material. Any liability in respect of the contents of, or any omission from, this Document is expressly excluded.