Sanghvi Movers; Saudi Arabia operation as per Q2/2026 con call
Operations in the Kingdom of Saudi Arabia officially began in Q2 FY26.
Market Size: The annual crane rental market in KSA is estimated to be approximately $800 million to $1 billion per year.
Saudi Arabia is going to spend upwards of $500 billion in the next 5 years so Saudi Arabia is an expanding and booming market and in Saudi Arabia there are $2 trillion worth of construction project.
The boom is fueled by major construction projects, including giga-projects, and preparations to host the FIFA World Cup, the Winter Games, and the World Expo.
The company reported 100% capacity utilization in Saudi Arabia as of the time of the earnings call.
Management said that every single asset has moved directly from the port to the site.
The company has deployed more than 30 cranes on site in KSA, and they are all deployed at the customer job site earning revenue.
First Billing: The first meaningful operation or the first billing occurred in September 2025 (within Q2 FY26). Prior to this, in the first quarter (Q1 FY26), the KSA subsidiary did not have revenue, although it did incur fixed costs, primarily employee salary costs for hiring the Saudi team.
EBITDA Margin: Due to the higher operating costs, the resulting EBITDA margin in KSA is currently on par or slightly below the EBITDA margin achieved by the crane rental business in India.
Over the long run, their operational experience and technological capabilities will allow them to improve the EBITDA in Saudi Arabia and bring it on par with the India business.
The company has committed roughly ₹225 crore to procure approximately 55 cranes.