27-Oct-2026 08:25:43
SONA COMSTAR Q2 CONCALL : EV REVENUE UP 129% YOY, ORDER BOOK REACHES ₹25,100 CR & MANAGEMENT TARGETS 25% MEDIUM-TERM GROWTH
• MANAGEMENT MAINTAINS APPROXIMATELY 25% MEDIUM-TERM GROWTH AMBITION, WITH A LONG-TERM ASPIRATION TO GROW THE BUSINESS 10X OVER 10 YEARS • MANAGEMENT RETAINS EBITDA MARGIN EXPECTATION OF 23–25%, WITH APPROXIMATELY 23% CONSIDERED SUSTAINABLE UNDER CURRENT PRODUCT MIX & STABLE COMMODITY COSTS • Q2 REVENUE UP 35% YOY & 18% QOQ TO ₹1,546 CR, WHILE EBITDA INCREASED 23% YOY TO ₹356 CR • Q2 NET PROFIT UP 29% YOY TO ₹223 CR, WHILE EBITDA MARGIN DECLINED 230 BPS YOY TO 23% • BATTERY ELECTRIC VEHICLE REVENUE SURGED 129% YOY & 40% QOQ, CONTRIBUTING 51% OF AUTOMOTIVE SALES FOR THE FIRST TIME • EV TRACTION MOTOR BUSINESS GREW APPROXIMATELY 50% QOQ, SUPPORTED BY STRONGER OEM DEMAND & HIGHER CUSTOMER WALLET SHARE • COMPANY SECURED ₹3,600 CR OF NEW BUSINESS ORDERS DURING Q2, TAKING TOTAL NET ORDER BOOK TO ₹25,100 CR • COMPANY HAS 75 ELECTRIC, PERSONALIZED, INTELLIGENT & CONNECTED MOBILITY PROGRAMS ACROSS 37 CUSTOMERS, WITH 31 PROGRAMS YET TO BEGIN PRODUCTION • MANAGEMENT HIGHLIGHTS STRONGER DEMAND FOR EV DIFFERENTIAL ASSEMBLIES, WITH ALL THREE MAJOR CUSTOMERS REPORTING IMPROVED BUSINESS MOMENTUM • COMPANY COMMERCIALIZED THREE NEW PRODUCTS, INCLUDING HELICAL LIMITED-SLIP DIFFERENTIALS, RAILWAY AIR SPRINGS & TWO-WHEELER REAR RADAR SENSORS • MANAGEMENT EXPECTS DENSO JV1 TRANSACTION CLOSING BY DECEMBER 2026 OR JANUARY 2027, WITH JV2 TARGETED DURING H1 CALENDAR 2027 • ROBOTICS & PHYSICAL AI CONTRIBUTE APPROXIMATELY 4% OF THE ORDER BOOK, WITH ₹62 CR CAPEX ALLOCATED TO ROBOTICS DEVELOPMENT • RAILWAY BUSINESS IS EXPANDING THROUGH AIR SPRINGS, HVAC SYSTEMS & ELECTRICAL PANELS, WITH ADDITIONAL OPPORTUNITIES IN BRAKES & SUSPENSION SYSTEMS • H1 OPERATING CASH FLOW REACHED ₹594 CR, WITH FREE CASH FLOW OF ₹446 CR AFTER ₹148 CR CAPEX; CASH & INVESTMENTS STOOD AT ₹1,966 CR • MANAGEMENT REMAINS CONFIDENT ABOUT EV, RAILWAY & ROBOTICS OPPORTUNITIES, BUT COMMODITY INFLATION, LOWER-MARGIN PRODUCT MIX, CUSTOMER CONCENTRATION & NEW-PROGRAM EXECUTION REMAIN KEY RISKS
SONA BLW PRECISION FRGS L