Alicon Castalloy Limited (ALICON) share price

₹733.40 on NSE as of 2026-09-11. -0.97% on the day. market cap ₹1,204 Cr. P/E 32.8. 52-week range ₹586.30 to ₹984.10. Automobile and Auto Components.

Alicon Castalloy Q4 FY26: Revenue Hits All-Time High of ₹495 Crore Amidst Margin Turbulence

At a glance

Alicon Castalloy is currently a tale of two geographies. In India, the company is riding a structural wave of automotive demand, but its international business is dodging bullets from every direction—cyberattacks at key customers, trade tariffs in North America, and a sluggish European recovery.

While the **₹1,784 crore** total income for FY26 looks respectable, the **25% drop in annual PAT** (Profit After Tax) to ₹34.4 crore is a glaring red flag that cannot be ignored. The "growth" investors are seeing is largely driven by a pass-through of higher aluminum prices rather than pure volume efficiency.

**Intrigue & Red Flags:**

- **The Margin Trap:** EBITDA margins have slipped to **9.23%** in Q4, down from the double-digit comfort zone seen earlier in the year.

- **The Cash Paradox:** Despite the profit dip, the company generated its highest-ever cash from operations at **₹239 crore**, suggesting a masterclass in working capital management that saved the balance sheet from a total meltdown.

- **The Global Drag:** The European subsidiary is bleeding, hit by a five-week production halt at a major UK OEM.

Introduction

Alicon Castalloy stands as one of India's largest integrated aluminum casting players, a critical cog in the machinery of global OEMs like Suzuki, Tata, Toyota, and Audi. Born from a Japanese lineage (Enkei Corporation), the company has evolved from a simple casting house into a technology partner providing "design-to-delivery" solutions.

The company operates in a sector where **weight is the enemy**. As the world moves toward Electric Vehicles (EVs) and higher fuel efficiency, the demand for lightweight aluminum components—cylinder heads, motor housings, and battery trays—is exploding. Alicon has positioned itself right in the crosshairs of this trend.

However, being a Tier-1 supplier is a brutal business. You are squeezed by raw material volatility on one side and demanding OEMs on the other. This year, Alicon felt the squeeze from both ends. The transition to a "Carbon Neutral" product portfolio is underway, but as the latest results show, the "old world" ICE (Internal Combustion Engine) business still pays the bills, while the "new world" EV business is currently a drag on fixed cost absorption.

Business model

Think of Alicon as a high-end chef, but instead of soufflés, they cook liquid aluminum. They take raw ingots, melt them down, and use complex processes like **Low-Pressure Die Casting (LPDC)** and **Gravity Die Casting (GDC)** to create intricate engine and structural parts.

If your car's engine doesn't melt under pressure or your EV battery doesn't fall out on a pothole, you might have Alicon’s engineering to thank. They are essentially a "one-stop-shop" for aluminum:

- **Design & Prototyping:** They don't just wait for drawings; they help create them.

- **Tooling:** They have their own tool rooms (the molds) which is where the real "secret sauce" and margins reside.

- **Machining & Assembly:** They don't just ship raw castings; they finish them so they can go straight onto an assembly line.

The portfolio is massive—**808 live parts** across 91 customers. But let's be real: **95% of their revenue still comes from the Auto sector**. While they talk about Defense, Aerospace, and Medical, those are currently just "side-hustles" that contribute only 5% to the top line. They are an auto-ancillary play, through and through.

Quarterly results, balance sheet, cash flow, ratios, shareholding and the filings themselves are on the full page for Alicon Castalloy Limited.

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