Schaeffler India Limited disclosed the transcript of an Investors group meeting held on Monday, September 28, 2026. The event was a question-and-answer session with investors.

Management Participants

The following management representatives participated in the meeting:

  • Mr. Harsha Kadam – Managing Director and Chief Executive Officer
  • Ms. Hardevi Vazirani – Director – Finance and Chief Financial Officer
  • Ms. Gauri Kanikar – Head, Investor Relations

Key Discussion Points from the Transcript

Export Strategy & Performance:

  • Exports constitute 15% to 20% of revenue and are not an explicit standalone strategy but a utilization of available capacity.
  • The geographic mix of exports is approximately 50% to Europe (intercompany), 25% to Southeast Asia, 13% to China, and the remainder to the Americas.
  • The company highlighted its competitiveness, noting it exports bearings to China.
  • The strategy is derisked by ensuring products exported also have strong demand in the domestic Indian market.

Localization:

  • The overall localization rate has increased from 60%-65% a few years ago to approximately 80%.
  • The automotive segment has a localization rate of about 90%, while the industrial segment is at 65%-70%.
  • Localization is driven by customer strategy and is an ongoing process, not a specific numeric target.

Business Segments & Growth Drivers:

  • Automotive Technologies witnessed ~30% growth, driven by strong demand for ICE products (benefiting from GST 2.0) and a small but fast-growing base in e-mobility (e-axles).
  • Industrial Sectors showing strength include railways (13-14% of revenue, double-digit growth), wind energy, and infrastructure-linked sectors like steel and cement. Construction equipment and mining were noted as slower.
  • The company uses a book-to-bill ratio as a key metric to ensure future growth visibility.

E-Mobility & Vitesco Integration:

  • The e-axle business started with 100% import content and is in Phase 2 of localization (sub-component assembly in India). Phase 3 will involve local sourcing of child parts.
  • Margins in the EV segment are currently lower than ICE and are volume-dependent.
  • The integration of Vitesco into the global Schaeffler group is "work in progress." For the Indian listed entity, there is "no timeline as of now" for a legal integration due to the shareholding structure (74.13% held by Schaeffler AG).
  • Business synergies are being pursued, with Vitesco's portfolio (e.g., Battery Management Systems, sensors, thermal management) being offered to Indian OEMs through Schaeffler India.

Capacity Expansion (Capex):

  • The Shoolagiri greenfield project is expanding with a second hall and new production lines focused on passenger vehicle transmission products.
  • In Savli, Hall 3 is being built for wind energy products, specifically for larger bearings for 6-megawatt turbines.

Commodity Costs & Passthrough:

  • The company stated it historically recovers about 70% of commodity cost increases from customers, with the remaining 30% managed through internal operational efficiencies and localization.
  • Steel cost increases are passed through via indexed formulas, but other input cost increases (fuel, FX on imports) are more challenging to recover fully.

Market Outlook:

  • Management expressed optimism about domestic automotive demand, citing a trend of first-time car buyers overtaking repeat buyers.
  • The outlook for EV adoption in India by 2030-31 is estimated at ~15%, with hybrids also projected to reach a similar share, leading to a fragmented market.

Additional Notes Section

  • The transcript was filed as an enclosure to a disclosure made under Regulation 30 of the SEBI (LODR) Regulations, 2015.
  • The transcript is available on the company's website in the 'Disclosures to Stock Exchanges' section.
  • The document is a verbatim transcript edited only for readability; no financial data or UPSI was contained in the announcement itself.