Electrodes & Welding Equipment · Founded 1951 · www.adorwelding.com · BSE 517041 · NSE ADOR · ISIN INE045A01017
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Business
Ador Welding Ltd. is a prominent Indian manufacturer and seller of a comprehensive range of welding products and solutions. Its core business involves the design, development, manufacturing, and distribution of welding consumables (like electrodes, wires, and fluxes), welding equipment (including power sources, cutting machines, and automation solutions), and related accessories. The company serves diverse industries such as infrastructure, heavy engineering, automotive, power, defence, oil & gas, and fabrication, making money through the direct sale of these products and providing after-sales service and support.
Revenue Mix
While specific revenue percentages are not provided, Ador Welding's business operations typically encompass the following major segments:
Consumables: This includes a wide array of welding electrodes, wires, and fluxes, which are recurring purchases for industrial customers.
Equipment: Comprises various welding machines, power sources, cutting equipment, and integrated welding solutions.
Automation & Robotics: Focuses on advanced automated welding systems and robotic solutions for enhanced efficiency and precision.
After-Sales Service & Spares: Provides maintenance, repairs, and genuine spare parts for its equipment base, contributing to recurring revenue.
Industry
The electrodes and welding equipment industry in India is moderately consolidated, featuring a mix of established domestic players and international companies. Ador Welding Ltd. is a legacy player with a strong brand presence and a long operating history in the Indian market, positioning it as one of the leading domestic manufacturers. It competes on product breadth, quality, and an extensive distribution and service network, catering to a wide spectrum of industrial applications. The company holds a significant market share in various consumable and equipment categories, facing competition from both large global corporations and smaller specialized domestic firms.
MOAT
Ador Welding possesses several durable advantages:
Brand Reputation & Legacy: With operations dating back to 1951, Ador has built a strong, trusted brand name and reputation for quality and reliability among industrial customers in India.
Extensive Distribution & Service Network: A widespread sales, distribution, and service network across India ensures product availability and crucial after-sales support, which is vital for industrial machinery.
Product Breadth & R&D: The company offers a comprehensive portfolio from basic electrodes to advanced automation, reducing reliance on a single product line. Continuous investment in R&D helps develop specialized products and adapt to new welding technologies.
Customer Relationships: Long-standing relationships with a diverse industrial client base, built over decades.
Growth Drivers
Key factors that can drive Ador Welding's growth over the next 3-5 years include:
"Make in India" & Manufacturing Growth: Government initiatives and the expansion of India's manufacturing sector will directly drive demand for welding products and solutions.
Infrastructure Development: Continued investments in mega infrastructure projects (roads, railways, ports, power, defence) will create sustained demand for welding consumables and equipment.
Industrial Automation: Increasing adoption of automation and robotics in manufacturing across various industries to improve efficiency and reduce labor costs.
Maintenance, Repair, and Overhaul (MRO): Consistent demand for consumables and spare parts from the existing and expanding industrial installed base.
Technological Upgradation: Demand for advanced and specialized welding solutions for critical applications (e.g., nuclear, aerospace, defence sectors).
Risks
Commodity Price Volatility: Fluctuations in the prices of raw materials such as steel, copper, and various chemicals can significantly impact production costs and profit margins.
Economic Slowdown: A downturn in the broader manufacturing sector, infrastructure spending, or overall economic growth in India could lead to reduced demand for welding products.
Intense Competition: The presence of both well-established domestic and international players can lead to pricing pressures and margin erosion.
Technological Disruption: Failure to innovate or adapt quickly to emerging welding technologies (e.g., advanced laser welding, friction stir welding) could erode competitive edge.
Regulatory Environment: Changes in environmental regulations or industrial safety standards could increase operational costs.
Management & Ownership
Ador Welding Ltd. is a promoter-driven company with a long history, tracing its roots to the Advani family. The management team typically comprises experienced professionals with deep industry knowledge, often including members of the founding family, which suggests stability and a long-term strategic outlook. The ownership structure generally includes significant promoter holdings alongside institutional investors and public shareholders.
Outlook
Ador Welding is well-positioned to benefit from India's industrial growth trajectory, especially the "Make in India" impetus and significant infrastructure spending. Its strong brand, extensive network, and diversified product portfolio provide a solid foundation. However, the company operates in a competitive and raw material-intensive industry, making it susceptible to commodity price volatility and economic cycles. Sustained investment in R&D and strategic expansion into advanced solutions like automation will be crucial for maintaining its leadership and driving future growth, while effectively managing competition and cost pressures will be key to profitability.
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| #(Fig in Cr.) | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 |
|---|---|---|---|---|---|---|---|---|---|---|
| Net Sales | 261 | 297 | 269 | 269 | 274 | 310 | 252 | 281 | 288 | 319 |
| Other Income | 5 | 7 | 5 | 5 | 4 | 5 | 5 | 4 | 12 | 5 |
| Total Income | 266 | 304 | 275 | 274 | 278 | 315 | 257 | 285 | 300 | 324 |
| Total Expenditure | 235 | 265 | 242 | 249 | 251 | 279 | 256 | 246 | 253 | 272 |
| Operating Profit | 31 | 39 | 32 | 25 | 27 | 36 | 1 | 39 | 47 | 53 |
| Interest | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 0 | 0 |
| Depreciation | 4 | 4 | 4 | 5 | 5 | 5 | 5 | 5 | 5 | 5 |
| Exceptional Income / Expenses | 0 | 0 | 0 | -10 | 0 | -1 | 0 | 0 | -6 | 3 |
| Profit Before Tax | 26 | 34 | 27 | 9 | 21 | 29 | -5 | 34 | 36 | 50 |
| Provision for Tax | 8 | 8 | 7 | 3 | 6 | 11 | -1 | 9 | 9 | 16 |
| Profit After Tax | 19 | 25 | 20 | 7 | 15 | 18 | -4 | 25 | 27 | 34 |
| Adjustments | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Profit After Adjustments | 19 | 25 | 20 | 7 | 15 | 18 | -4 | 25 | 27 | 34 |
| Adjusted Earnings Per Share | 13.8 | 18.7 | 14.6 | 4.9 | 8.9 | 10.4 | -2.3 | 14.4 | 15.4 | 19.7 |
| #(Fig in Cr.) | Mar 2014 | Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2024 | Mar 2025 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net Sales | 371 | 388 | 408 | 442 | 458 | 513 | 526 | 448 | 661 | 1074 | 1123 | 1140 |
| Other Income | 5 | 5 | 5 | 9 | 10 | 10 | 9 | 7 | 5 | 19 | 19 | 26 |
| Total Income | 376 | 393 | 414 | 452 | 468 | 524 | 535 | 455 | 667 | 1093 | 1141 | 1166 |
| Total Expenditure | 345 | 360 | 367 | 411 | 423 | 468 | 484 | 426 | 601 | 955 | 1019 | 1027 |
| Operating Profit | 32 | 33 | 47 | 40 | 44 | 56 | 51 | 29 | 66 | 138 | 122 | 140 |
| Interest | 2 | 1 | 2 | 2 | 6 | 11 | 10 | 8 | 6 | 6 | 6 | 2 |
| Depreciation | 12 | 13 | 12 | 11 | 10 | 10 | 11 | 11 | 11 | 16 | 18 | 20 |
| Exceptional Income / Expenses | -13 | 28 | -2 | 0 | 0 | 0 | 0 | -24 | 9 | 0 | -11 | -3 |
| Profit Before Tax | 4 | 48 | 32 | 27 | 28 | 36 | 31 | -14 | 58 | 117 | 87 | 115 |
| Provision for Tax | 10 | 16 | 9 | 9 | 10 | 11 | 4 | -4 | 13 | 31 | 27 | 33 |
| Profit After Tax | -5 | 32 | 22 | 18 | 18 | 25 | 26 | -10 | 45 | 86 | 60 | 82 |
| Adjustments | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Profit After Adjustments | -5 | 32 | 22 | 18 | 18 | 25 | 26 | -10 | 45 | 86 | 60 | 82 |
| Adjusted Earnings Per Share | -3.8 | 23.4 | 16.5 | 13.1 | 13.5 | 18 | 19.2 | -7.6 | 33.2 | 63.6 | 34.5 | 47.2 |
| # | 1 Year | 3 Year | 5 Year | 10 Year |
|---|---|---|---|---|
| Sales CAGR | 5% | 36% | 17% | 12% |
| Operating Profit CAGR | -12% | 61% | 17% | 14% |
| PAT CAGR | -30% | 0% | 19% | 0% |
| # | 1 Year | 3 Year | 5 Year | 10 Year |
|---|---|---|---|---|
| Share Price CAGR | 8% | -2% | 13% | 15% |
| ROE Average | 12% | 18% | 12% | 10% |
| ROCE Average | 18% | 24% | 17% | 15% |
| #(Fig in Cr.) | Mar 2014 | Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2024 | Mar 2025 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Shareholder's Funds | 168 | 203 | 217 | 235 | 245 | 261 | 247 | 238 | 282 | 473 | 507 |
| Minority's Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Borrowings | 9 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 1 | 1 | 1 |
| Other Non-Current Liabilities | 27 | 10 | 44 | 47 | 46 | 49 | 30 | 35 | 34 | 112 | 134 |
| Total Current Liabilities | 109 | 79 | 109 | 133 | 172 | 156 | 180 | 147 | 119 | 195 | 174 |
| Total Liabilities | 314 | 292 | 370 | 415 | 463 | 467 | 457 | 419 | 435 | 781 | 816 |
| Fixed Assets | 77 | 97 | 100 | 94 | 95 | 108 | 118 | 117 | 117 | 146 | 186 |
| Other Non-Current Assets | 53 | 26 | 61 | 79 | 75 | 79 | 68 | 74 | 73 | 192 | 186 |
| Total Current Assets | 184 | 169 | 209 | 242 | 294 | 280 | 271 | 227 | 245 | 443 | 444 |
| Total Assets | 314 | 292 | 370 | 415 | 463 | 467 | 457 | 419 | 435 | 781 | 816 |
| #(Fig in Cr.) | Mar 2014 | Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2024 | Mar 2025 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Opening Cash & Cash Equivalents | 3 | 20 | 3 | 13 | 20 | 16 | 27 | 5 | 17 | 9 | 4 |
| Cash Flow from Operating Activities | 21 | 1 | 23 | 0 | -37 | 64 | 14 | 79 | 26 | 58 | 137 |
| Cash Flow from Investing Activities | 2 | -9 | -4 | -12 | 0 | -19 | -22 | -7 | -5 | -44 | -17 |
| Cash Flow from Financing Activities | -3 | -9 | -9 | 19 | 32 | -33 | -13 | -61 | -31 | -19 | -94 |
| Net Cash Inflow / Outflow | 20 | -17 | 10 | 7 | -4 | 11 | -22 | 12 | -10 | -5 | 26 |
| Closing Cash & Cash Equivalent | 20 | 3 | 13 | 20 | 16 | 27 | 5 | 17 | 7 | 4 | 30 |
| # | Mar 2014 | Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2024 | Mar 2025 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Per Share (Rs) | -3.76 | 23.43 | 16.46 | 13.13 | 13.54 | 18.04 | 19.21 | -7.63 | 33.21 | 63.57 | 34.51 |
| CEPS(Rs) | 5.27 | 32.65 | 25.13 | 21.47 | 21.01 | 25.16 | 27.11 | 0.58 | 41.22 | 75.21 | 44.98 |
| DPS(Rs) | 5 | 5 | 5 | 5 | 5 | 6.5 | 6.5 | 0 | 12.5 | 18.5 | 20 |
| Book NAV/Share(Rs) | 123.87 | 148.9 | 159.35 | 172.69 | 180.16 | 192.21 | 181.91 | 174.66 | 207.42 | 345.01 | 291.43 |
| Core EBITDA Margin(%) | 6.54 | 6.53 | 9.23 | 6.46 | 7.5 | 8.85 | 8.03 | 4.88 | 9.14 | 11.06 | 9.2 |
| EBIT Margin(%) | 1.59 | 11.47 | 7.35 | 6.01 | 7.38 | 8.98 | 7.71 | -1.32 | 9.68 | 11.39 | 8.24 |
| Pre Tax Margin(%) | 1.08 | 11.21 | 7 | 5.58 | 6.04 | 6.92 | 5.8 | -3.14 | 8.8 | 10.88 | 7.69 |
| PAT Margin (%) | -1.25 | 7.47 | 4.96 | 3.71 | 3.96 | 4.78 | 4.96 | -2.32 | 6.83 | 8.03 | 5.34 |
| Cash Profit Margin (%) | 1.75 | 10.41 | 7.58 | 6.06 | 6.14 | 6.67 | 7 | 0.18 | 8.47 | 9.5 | 6.96 |
| ROA(%) | -1.69 | 10.51 | 6.76 | 4.55 | 4.19 | 5.28 | 5.65 | -2.37 | 10.57 | 14.21 | 7.52 |
| ROE(%) | -2.91 | 17.18 | 10.68 | 7.91 | 7.67 | 9.69 | 10.27 | -4.28 | 17.38 | 23.02 | 12.3 |
| ROCE(%) | 3.42 | 25.09 | 15.8 | 11.89 | 11.5 | 14.12 | 12.37 | -1.98 | 23.35 | 30.71 | 18.11 |
| Receivable days | 67.34 | 69.12 | 82.15 | 74.4 | 66.12 | 62.81 | 74.33 | 95.89 | 54.79 | 46.33 | 60.45 |
| Inventory Days | 42.92 | 40.48 | 34.8 | 34.37 | 39.85 | 37.49 | 39.46 | 50.82 | 42.05 | 39.87 | 44.1 |
| Payable days | 71.68 | 65.69 | 80.7 | 88.33 | 82.52 | 71.49 | 69.27 | 84.59 | 60.11 | 43.07 | 52.74 |
| PER(x) | 0 | 9.48 | 17.39 | 23.52 | 27.68 | 19.25 | 9.44 | 0 | 18.63 | 21.56 | 24.26 |
| Price/Book(x) | 1.17 | 1.49 | 1.8 | 1.79 | 2.08 | 1.81 | 1 | 1.72 | 2.98 | 3.97 | 2.87 |
| Dividend Yield(%) | 3.46 | 2.25 | 1.75 | 1.62 | 1.33 | 1.87 | 3.59 | 0 | 2.02 | 1.35 | 2.39 |
| EV/Net Sales(x) | 0.52 | 0.73 | 0.92 | 0.98 | 1.25 | 0.99 | 0.61 | 0.93 | 1.26 | 1.73 | 1.24 |
| EV/Core EBITDA(x) | 6.09 | 8.49 | 8 | 10.76 | 12.89 | 9.13 | 6.27 | 14.3 | 12.65 | 13.43 | 11.37 |
| Net Sales Growth(%) | 1.73 | 4.43 | 5.32 | 8.34 | 3.61 | 11.99 | 2.55 | -14.95 | 47.76 | 62.31 | 4.57 |
| EBIT Growth(%) | -74.48 | 654.08 | -32.2 | -12.69 | 18.47 | 34.29 | -11.98 | -114.54 | 1184.92 | 91.61 | -24.36 |
| PAT Growth(%) | -130.27 | 723.48 | -29.72 | -20.28 | 3.14 | 33.3 | 6.44 | -139.74 | 535.07 | 91.45 | -30.55 |
| EPS Growth(%) | -130.27 | 723.48 | -29.72 | -20.28 | 3.14 | 33.3 | 6.44 | -139.74 | 535.06 | 91.45 | -45.71 |
| Debt/Equity(x) | 0.11 | 0 | 0 | 0.15 | 0.33 | 0.25 | 0.33 | 0.12 | 0 | 0.09 | 0 |
| Current Ratio(x) | 1.68 | 2.13 | 1.91 | 1.82 | 1.7 | 1.8 | 1.5 | 1.55 | 2.06 | 2.27 | 2.56 |
| Quick Ratio(x) | 1.21 | 1.58 | 1.52 | 1.46 | 1.39 | 1.47 | 1.16 | 1.12 | 1.3 | 1.52 | 1.83 |
| Interest Cover(x) | 3.11 | 42.93 | 20.87 | 13.93 | 5.52 | 4.36 | 4.04 | -0.72 | 11.04 | 22.14 | 14.99 |
| Total Debt/Mcap(x) | 0.09 | 0 | 0 | 0.08 | 0.16 | 0.14 | 0.33 | 0.07 | 0 | 0.02 | 0 |
| # | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 |
|---|---|---|---|---|---|---|---|---|---|---|
| Promoter | 56.9 | 56.9 | 56.94 | 56.94 | 53.24 | 53.7 | 53.7 | 53.72 | 53.73 | 53.76 |
| FII | 0.29 | 0.1 | 0.05 | 0.04 | 0.06 | 0.03 | 0.07 | 0.09 | 0.14 | 0.37 |
| DII | 4.43 | 5.74 | 10.22 | 12 | 10.31 | 11 | 11.85 | 12.44 | 12.57 | 12.63 |
| Public | 38.38 | 37.26 | 32.79 | 31.01 | 36.39 | 35.26 | 34.37 | 33.74 | 33.56 | 33.24 |
| Others | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Total | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 |
| # | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 |
|---|---|---|---|---|---|---|---|---|---|---|
| Promoter | 0.77 | 0.77 | 0.77 | 0.77 | 0.93 | 0.93 | 0.93 | 0.93 | 0.94 | 0.94 |
| FII | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0.01 |
| DII | 0.06 | 0.08 | 0.14 | 0.16 | 0.18 | 0.19 | 0.21 | 0.22 | 0.22 | 0.22 |
| Public | 0.52 | 0.51 | 0.45 | 0.42 | 0.63 | 0.61 | 0.6 | 0.59 | 0.58 | 0.58 |
| Others | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Total | 1.36 | 1.36 | 1.36 | 1.36 | 1.74 | 1.74 | 1.74 | 1.74 | 1.74 | 1.74 |
| # | 1 Year | 3 Year | 5 Year | 10 Year |
|---|---|---|---|---|
| Sales CAGR | +5% | +36% | +17% | +12% |
| Operating Profit CAGR | -12% | +61% | +17% | +14% |
| PAT CAGR | -30% | — | +19% | — |
| Share Price CAGR | +8% | -2% | +13% | +15% |
| ROE Average | +12% | +18% | +12% | +10% |
| ROCE Average | +18% | +24% | +17% | +15% |
| # | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 |
|---|---|---|---|---|---|---|---|---|---|---|
| Promoter | 56.9 | 56.9 | 56.94 | 56.94 | 53.24 | 53.7 | 53.7 | 53.72 | 53.73 | 53.76 |
| FII | 0.29 | 0.1 | 0.05 | 0.04 | 0.06 | 0.03 | 0.07 | 0.09 | 0.14 | 0.37 |
| DII | 4.43 | 5.74 | 10.22 | 12 | 10.31 | 11 | 11.85 | 12.44 | 12.57 | 12.63 |
| Public | 43.1 | 43.1 | 43.06 | 43.06 | 46.76 | 46.3 | 46.3 | 46.28 | 46.27 | 46.24 |
| Others | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Total | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 |
| # | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 |
|---|---|---|---|---|---|---|---|---|---|---|
| Promoter | 0.77 | 0.77 | 0.77 | 0.77 | 0.93 | 0.93 | 0.93 | 0.93 | 0.94 | 0.94 |
| FII | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0.01 |
| DII | 0.06 | 0.08 | 0.14 | 0.16 | 0.18 | 0.19 | 0.21 | 0.22 | 0.22 | 0.22 |
| Public | 0.59 | 0.59 | 0.59 | 0.59 | 0.81 | 0.81 | 0.81 | 0.81 | 0.81 | 0.8 |
| Others | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Total | 1.36 | 1.36 | 1.36 | 1.36 | 1.74 | 1.74 | 1.74 | 1.74 | 1.74 | 1.74 |
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