Financial Performance - Consolidated (Q4 FY26)

  • Operational Income: ₹2,286 Mn, up 6.4% YoY
  • Operational EBITDA: ₹252 Mn, down 23.9% YoY
  • PBT: ₹100 Mn, down 41.9% YoY
  • PAT: ₹81 Mn, down 16.5% YoY
  • EBITDA Margin: 11.02%
  • PBT Margin: 4.37%
  • PAT Margin: 3.54%
  • Diluted EPS: ₹4.31

Financial Performance - Standalone (Q4 FY26)

  • Operational Income: ₹1,732 Mn, up 8.5% YoY
  • Operational EBITDA: ₹184 Mn, down 25.5% YoY
  • PBT: ₹122 Mn, down 34.1% YoY
  • PAT: ₹99 Mn, down 26.1% YoY
  • EBITDA Margin: 10.62%
  • PBT Margin: 7.04%
  • PAT Margin: 5.72%
  • Diluted EPS: ₹5.25

Financial Performance - Full Year FY26 (Consolidated)

  • Operational Income: ₹9,084 Mn, down 2.0% YoY
  • Operational EBITDA: ₹1,011 Mn, down 25.7% YoY
  • PBT: ₹333 Mn, down 47.0% YoY
  • PAT: ₹210 Mn, down 48.0% YoY
  • EBITDA Margin: 11.13%
  • PBT Margin: 3.67%
  • PAT Margin: 2.31%
  • Diluted EPS: ₹11.15

Operational Highlights

India Business Consolidation:

  • Standalone operations in consolidation phase with focus on improving operational efficiency
  • Machine throughput improvement initiative underway with critical machines refurbished in forge shop
  • High-value machine refurbishment in machine shop expected completion around Q2 FY27
  • Labor productivity focus with changing labor mix in favor of permanent labor
  • Domestic sales improved in Q4 supported by higher demand in premium motorcycles and scooters across EV and ICE segments
  • Export revenues declined due to uncertain geo-political operating environment in North America
  • Employee costs increased due to workforce strengthening and new labor code provisions
  • Conversion costs increased due to inflationary impact of gas, tooling, metals and oil

North America Business:

  • Revenues decreased due to uncertain geo-political operating environment
  • Lower profitability due to lower revenues and higher raw material costs

New Business Wins

  • Won EV business from Hero Moto Corp and Dana - currently in production
  • Won new business in Q2 FY26 with two existing customers in North America
  • New business LOI received from market leader in premium motorcycle segment in India
  • Active quotes across customers in EV space
  • RFQ pipeline includes active RFQs in Two-Wheeler and Passenger Car segments

Historical Financial Trends

Consolidated (FY23-FY26):

  • Revenue from Operations: ₹11,692 Mn (FY23), ₹11,069 Mn (FY24), ₹9,270 Mn (FY25), ₹9,084 Mn (FY26)
  • EBITDA Margins: 12.09% (FY23), 13.55% (FY24), 14.67% (FY25), 11.13% (FY26)
  • PAT Margins: 1.98% (FY23), 10.33% (FY24), 4.36% (FY25), 2.31% (FY26)

Balance Sheet Position (Consolidated FY26):

  • Total Assets: ₹8,393 Mn
  • Equity: ₹5,226 Mn
  • Non-current Liabilities: ₹1,265 Mn
  • Current Liabilities: ₹1,901 Mn
  • Cash and cash equivalents: ₹63 Mn
  • Bank balances other than above: ₹288 Mn
  • Trade Receivables: ₹1,732 Mn
  • Inventories: ₹1,408 Mn

Market Data (as on March 31, 2026)

  • Face Value: ₹10.00
  • CMP: ₹540.00
  • 52 Week H/L: ₹894.80/523.05
  • Market Cap: ₹11,288.13 Mn
  • Shares Outstanding: 18.81 Mn
  • Promoter Holding: 56.12%
  • Public Holding: 43.88%

Company Overview

The Hi-Tech Gears Ltd. (THGL) was incorporated in 1986 as an auto component manufacturer supplying engine and transmission components. The company has 5 manufacturing plants worldwide (3 in India, 1 each in Canada and USA) and produces precision gears, shafts, transmission components, and engine components for Two-Wheeler, Passenger Vehicles, Commercial Vehicles, and Off-Highway Vehicles segments.

EV and Advanced Technology Initiatives

  • Developing EV-Differential Assembly components
  • Initiatives include Two-Wheeler gear component final assembly & counter assembly, and gear drive for Passenger Car helical gear components
  • Engineering capabilities being enhanced to design and manufacture advanced technology components and Gear Box
  • Enhancement of precision Metallurgy processes to deliver requisite specs on fatigue life and NVH requirements