Motherson Sumi Wiring India Share Price Gains Despite Market Crash

Market Performance

Even as the broader stock market witnessed a significant sell-off on Tuesday, Motherson Sumi Wiring India's share price defied the trend. The stock surged by 1.3% in early trade, touching a three-month high of ₹59.75 per share on May 27, 2025.

This upward momentum came amidst a broader market downturn, highlighting investor optimism towards the company's latest announcement.

Main News

The boost in Motherson Sumi Wiring India's share price was driven by the company's announcement of a potential bonus share issue.

In a regulatory filing, the company stated that its Board of Directors will meet on May 29, 2025, to evaluate the proposal for issuing bonus shares to its equity shareholders.

"The meeting is scheduled to consider the proposal for issuance of bonus shares," the company mentioned in the filing.

This would be the second bonus issue in the last 2.5 years if approved. The previous bonus was issued in November 2022 at a 2:5 ratio.

Company Details

Motherson Sumi Wiring India is a leading manufacturer of wiring harness solutions for top automotive brands, including Maruti Suzuki and Tata Motors. Motherson Sumi Wiring India operates as a joint venture between Samvardhana Motherson International Limited and Sumitomo Wiring Systems Limited.

Motherson Sumi is investing in three greenfield plants to support growing client demands. As per the latest update:

• 1 plant has begun production
• 2 plants are progressing on schedule

Financial Highlights

Revenue

• Q4 FY25 Revenue: ₹2,510 Crore
• Q4 FY24 Revenue: ₹2,233 Crore
• Year-on-year growth: 12.4%

Operating Expenses

• Q4 FY25: ₹2,238 Crore
• Rise: 15% YoY

Input Costs

• Q4 FY25: ₹1,593 Crore
• Increase: 12% YoY
• Driven by higher copper prices, a key raw material.

Net Profits

• Q4 FY25 Net Profit: ₹165 Crore
• Q4 FY24 Net Profit: ₹191 Crore
• Decline: 13.6%

The ongoing expansion plan had a ₹23 Crore impact on the company's profit after tax during the quarter.

Motherson Sumi Wiring India Share Price Trend

Over the past three months, Motherson Sumi Wiring India's share price has shown a remarkable recovery:

• 26% rise in May 2025 alone
• Rebounding from a 37% drop between June 2024 and February 2025
• Currently trading 26% below its all-time high of ₹80 reached in June 2024

Summary

Despite a weak market, the steady rise in Motherson Sumi Wiring India's share price reflects investor confidence in the company's bonus issue plan and ongoing expansion. The stock has shown resilience with rising revenues, a robust client base, and active capacity growth.

The company awaits its Board's decision on May 29, 2025, which could further influence Motherson Sumi Wiring India's share price trends in the coming weeks.