Financial Performance Highlights

Q2 FY27 Performance:

  • Revenue from operations: ₹18,272 million, up 60.7% YoY (Q2 FY26: ₹11,368 million)
  • EBITDA: ₹2,618 million, up 30.5% YoY
  • EBITDA margin: 14.3% (330 bps decline from 17.6% in Q2 FY26)
  • Profit before tax: ₹2,116 million, up 30.6% YoY
  • PAT: ₹1,178 million, down 0.3% YoY
  • Adjusted PAT: ₹1,615 million, up 30.4% YoY
  • Adjusted PAT margin: 8.8%

H1 FY27 Performance:

  • Revenue from operations: ₹32,736 million, up 55.7% YoY (H1 FY26: ₹21,031 million)
  • EBITDA: ₹4,802 million, up 29.4% YoY
  • EBITDA margin: 14.7% (290 bps decline from 17.6% in H1 FY26)
  • Profit before tax: ₹3,886 million, up 34.5% YoY
  • PAT: ₹2,505 million, up 16.8% YoY
  • Adjusted PAT: ₹2,964 million, up 33.4% YoY
  • Adjusted PAT margin: 9.1%

Business Segment Performance

  • EV and electronics segment contributed 31% of Q2 FY27 revenue (up from 24% in FY26)
  • Wiring harness business grew 43% YoY in H1 FY27
  • Battery & electronics business grew 98% YoY in H1 FY27
  • Non-harness products contribution: 31% of revenue in Q2 FY27 (up from 18% in FY24)

Margin Analysis

Margin decline attributed to:

  • Higher copper costs (impact ~150 bps in Q2, ~120 bps in H1)
  • Higher PVC costs (quarter impact)
  • Higher direct/indirect manpower costs including ESOP costs (impact ~120 bps in Q2, ~130 bps in H1)
  • Multilink business at lower margin (impact ~38 bps in Q2, ~30 bps in H1)
  • ESOP cost adjusted EBITDA margin would be 48 bps higher in Q2 and 27 bps higher in H1
  • Adjusted organic EBITDA margin would be 15.2%

Exceptional Items

  • Q2 FY27: ₹548 million (management fees and IPO expenses)
  • H1 FY27: ₹578 million (management fees of ₹480 million and IPO expenses of ₹97 million)

Balance Sheet Position (as of September 2026)

  • Borrowings: ₹2,238 million (reduced by ₹6,176 million from March 2026)
  • Cash and bank balances: ₹11,275 million
  • Net debt (excl leases): net cash of ₹9,037 million
  • Trade working capital: ₹10,964 million (61 days)
  • Current ratio: 2.4x
  • Annualized ROCE: 20% (up 1 pt from March 2026)
  • Annualized RONA: 34% (up 4 pts from March 2026)

Cash Flow Highlights (H1 FY27)

  • Operating cash flow: ₹402 million
  • Capex: ₹2,929 million
  • Free cash flow: ₹3,331 million
  • Acquisitions (Multilink): ₹4,212 million
  • IPO proceeds received: ₹14,000 million
  • Net borrowings repaid: ₹6,174 million
  • Change in cash and bank: ₹6,913 million

Strategic Priorities

1. Strengthen Core: Deepen leadership in 2W and 3W wiring harness market, add capacity ahead of demand

2. Electrification: Build EV programs, grow harness, EV charging and battery content per vehicle

3. Diversification: Scale CV, off-highway, farming, PV, defence, aerospace; expand global footprint

4. Technology: Focus on import substitution, broaden R&D capability, add new products through partnerships

Operational Highlights

  • Market leadership: Top 2 wiring harness maker for 2W and 3W in India with ~70% share of two-wheeler EV wiring harness market
  • Manufacturing: 29 plants across 3 countries (26 in India, 3 outside India)
  • New plants under construction: Hosur (Q1 FY28), Jhajjar (Q4 FY27 and Q2 FY28), Pune leased (Q3 FY27), Chennai leased (Q3 FY27)
  • Land acquired for new plants at Chhatrapati Sambhajinagar and near Indore
  • Engineering team: 237 engineers taking products from concept to serial production
  • Ride Vision JV: Bringing camera-based Driver Assist Technology to Indian market

Market Context

  • Industry retail growth: ~20% YoY in H1 FY27
  • Company revenue growth: 56% YoY in H1 FY27, significantly outperforming industry
  • Premiumization: Gain in 125cc+ share of bike volumes