Samvardhana Motherson International, a leading auto components manufacturer, reported a notable growth in its December quarter earnings for FY26. The company’s consolidated profit rose by 9% year-on-year (YoY) to ₹1,072.27 crore, up from ₹984.35 crore in the same quarter last year.
The surge comes amid a challenging market backdrop, reflecting the company’s robust operations, diversified business portfolio, and strategic expansion efforts.
Market Performance Overview
- Quarter: Q3 FY26 (December quarter)
- Consolidated Revenue: ₹31,409.39 crore, up 13.5% YoY from ₹27,665.92 crore in Q3FY25
- Consolidated Profit: ₹1,072.27 crore, up 9% YoY
- Leverage Ratio: Maintained at 1.1 times, indicating strong balance sheet management
The company achieved its highest-ever quarterly revenue, underscoring its ability to sustain growth even in uncertain market conditions. This milestone also highlights the trust customers place in Motherson’s engineering, manufacturing, and logistics capabilities across the automotive and non-automotive segments.
Company Highlights and Key Developments
Samvardhana Motherson continued to expand its global footprint with strategic investments and capacity expansions. Key developments during the quarter include:
- New Greenfield Plants:
- Morocco: Wiring harness facility
- Pune: Vision systems plant
- Capital Expenditure:
- ₹1,594 crore spent in Q3FY26
- Represents 52% of EBITDA
- Allocated primarily for new greenfields and maintenance of existing operations
- Wiring Harness Business:
- Nexans AutoElectric unit to provide a scalable platform for both passenger vehicles (PVs) and commercial vehicles (CVs) globally
- Business Expansion:
- Organic growth poised to accelerate in consumer electronics and aerospace segments
- Multiple strategic partnerships announced to support long-term expansion
Strategic Focus and Operational Strength
Chairman Vivek Chaand Sehgal emphasized that this quarter marks a significant step in reinforcing Motherson’s position as a global design, engineering, manufacturing, assembly, and logistics specialist.
“Customer trust, combined with our diverse capabilities and traction across automotive and non-automotive businesses, has led to our highest-ever quarterly revenues,” said Sehgal.
He also highlighted the company’s operational discipline, noting that the firm maintained a comfortable leverage ratio of 1.1 times despite ongoing investments for growth. This underscores Motherson’s commitment to sustaining financial stability while expanding its global presence.
Summary
Samvardhana Motherson International delivered a strong performance in Q3FY26, marked by:
- Record quarterly revenue of ₹31,409.39 crore
- 9% YoY profit growth to ₹1,072.27 crore
- Strategic investments in greenfield projects and technology expansion
- Operational resilience reflected in a net leverage ratio of 1.1 times
With its diversified business portfolio, global expansion plans, and focus on emerging segments like aerospace and consumer electronics, Motherson continues to strengthen its footprint as a leading auto components manufacturer.
Source: Livemint
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