Samvardhana Motherson International Limited announced strong Q2 FY26 results, with revenue up 8.5% YoY to ₹30,173 crores and PAT at ₹856 crores. The company is focusing on growth and disciplined financial management, with transformative measures leading to improved performance, especially in MPP, and aims to accelerate in H2 FY26. The results are driven by content and M&A growth.
Key Financial Highlights
Samvardhana Motherson International Limited reported the following financial results for Q2 FY26:
- Revenue: ₹30,173 crores, up 8.5% YoY
- EBITDA: ₹2,719 crores, a 10% increase YoY
- PAT (Concern Share): ₹856 crores, reflecting a 15% YoY growth
Growth Drivers and Strategic Focus
The company’s strong performance is attributed to several factors:
- Outpacing industry growth supported by content and M&A growth.
- A sustained focus on growth and disciplined financial management.
- Transformative measures leading to improved performance, especially in MPP.
Samvardhana Motherson anticipates further acceleration in H2 FY26.
Acquisitions and Business Expansion
Samvardhana Motherson continues its focus on growth through strategic acquisitions. Key announcements include:
- Yutaka Giken (Japan): Strengthening partnership with Honda Motors.
- Rubbertec (Australia): Acquisition of business assets strengthening Elastomer product capabilities.
- Rider Dome (Singapore): Entry into ARAS technology.
Vision 2030
The company highlighted its Vision 2030 plan, targeting USD 108 billion in gross revenues and a 40% ROCE. Up to 40% of consolidated profit as dividend.
Sustainability Initiatives
Samvardhana Motherson is committed to sustainability and is taking steps to achieve carbon net-zero by 2040. These include:
- Establishing an energy business to develop and operate renewable energy assets.
- Executing captive PPAs, such as the 50 MWp Captive Solar Plant in Tamil Nadu.
- Investing in captive solar projects in Uttar Pradesh.
Segment Performance
All business divisions contributed to the company’s strong performance. Key highlights include:
- Wiring Harness: Revenue of ₹8,550 crores.
- Modules and Polymer Products: Revenue of ₹15,374 crores.
- Vision Systems: Revenue of ₹5,084 crores.
- Integrated Assemblies: Revenue of ₹2,580 crores.
- Emerging Businesses: Revenue of ₹4,001 crores.
Source: BSE
