The document is a transcript of the Q2 FY27 Earnings Conference Call held on November 03, 2026, hosted by Avendus Capital. The call was scheduled after the earnings announcement for the quarter ended September 30, 2026.
Management participants included Mr. Y. Delli Babu (Chief Financial Officer) and Ms. Swajitha Rapeti (Head, Corporate Finance). The moderator was Mr. Mukesh Saraf from Avendus.
The company achieved consolidated revenue of INR4,108 crores in Q2 FY27, with 94% coming from the lead-acid business which grew by 18% YoY. The new energy business grew by more than 30% to INR232 crores.
Key segment performance:
OEM segment: 17% growth in four-wheeler, more than 30% in two-wheeler YoY
Domestic aftermarket: 6% growth in both four-wheeler and two-wheeler YoY
Home energy business: more than 50% growth in tubular batteries and home UPS
International revenues: de-grew by 20% YoY due to Middle East market challenges
The board approved INR2,320 crores investment for a 5 GWh LFP-based prismatic cell gigafactory and pack assembly capacity, expected completion within 30 months.
Standalone EBITDA margin was 10.1%, impacted by:
Elevated material costs (alloys, sulfuric acid, poly)
Strategic spending on Amaron Assist and Factory of the Future initiatives
Higher OEM mix
Cash burn from Amaron Assist pilot (now moving to separate subsidiary)
The company took cumulative price hikes of 5% in H1 FY27 to offset cost pressures.
FY27 capex guidance: INR2,200 crores total, with INR1,600 crores for new energy business. Already spent INR800 crores in H1 FY27 (INR500 crores for new energy).
Management guidance:
BESS capacity: Expect 50-60% utilization in FY28, 100% by FY29
Medium-term growth expectations: 6-8% for automotive aftermarket, 10% for home energy, 6-7% for UPS
Margin improvement potential: 1.5-2.5% from current levels once cost pressures ease
New energy business updates:
ePositive Lab commenced operations on October 26, 2026
NMC cell samples in internal testing, expected to be shared with OEMs in coming months
LFP cells still under development
Additional Notes Section
The transcript was submitted to exchanges as required under Regulation 30 of SEBI LODR Regulations.
The document contains detailed financial performance data and forward-looking statements about business strategy and capacity expansion.
No explicit statement about unpublished price sensitive information was included in the transcript.
The call included Q&A session with analysts from Nomura, Avendus, Nuvama, Investec, and individual investors.
