MOTHERSON · Automobile and Auto Components · filed 5 Nov 2026
Samvardhana Motherson International Ltd. reported revenue of ₹38,280 cr for July to September 2026, +26.9% on the year and +8.6% on the quarter. That is faster than this quarter has grown in recent years (+13.5% on average), so the year-on-year number is not just the season. It is the highest quarterly revenue in the last 12 quarters on record. Over the last four quarters revenue comes to ₹1.39 lakh cr, +18.6% on the four before.
Operating profit (EBITDA) was ₹3,357 cr, a margin of 8.8%, +12 bps on the year and −1 bps on the quarter. Over the last 8 quarters the margin has ranged from 8.1% to 11.0%, averaging 9.2%. Operating costs grew +26.7%, broadly with revenue, so operating profit kept pace with sales.
Net profit was ₹1,218 cr, +44.0% on the year and +13.2% on the quarter, with earnings per share of ₹1.11. Profit before other income, one-offs and tax grew 41.1%, so the profit growth came from the business itself. The tax rate of 29% is in line with its recent average. Profit over the last four quarters totals ₹4,927 cr, +38.8% on the four before.
Of the 22 companies in Automobiles and components that have reported Q2 FY27 so far, Samvardhana Motherson International Ltd. ranks 12th on revenue growth; the sector median is +27.4%. Its margin moved +12 bps on the year against a sector median of −104 bps.
A vehicle maker's revenue is volumes times average price, and its margin moves with steel, aluminium and rubber costs and with the share of exports and premium models.
On earnings per share of ₹4.48 over the last four quarters, the stock at ₹160.13 trades at 35.7 times trailing earnings.
Borrowing rose while cash also rose. Why borrow while holding the cash?
Source: Balance sheet
Profit is backed by cash: operating cash flow exceeded profit.
Source: Cash flow statement
Could not run on this quarter: IPO money used as stated, Related-party transactions, Earlier promises against delivery. The filing did not carry these lines.
Net profit a year ago, each driver's change, and net profit now. Blue added profit, red took it away.
| Balance sheet | Sep '26 | Last year end | Change |
|---|---|---|---|
| Trade receivables | ₹24,558 cr | ₹21,623 cr | ▲ 13.6% |
| Inventory | ₹16,434 cr | ₹12,647 cr | ▲ 29.9% |
| Cash | ₹9,796 cr | ₹7,516 cr | ▲ 30.3% |
| Bank balances | ₹513 cr | ₹718 cr | ▼ 28.6% |
| Long-term borrowings | ₹11,020 cr | ₹10,250 cr | ▲ 7.5% |
| Short-term borrowings | ₹8,335 cr | ₹5,645 cr | ▲ 47.7% |
| Trade payables | ₹31,097 cr | ₹28,165 cr | ▲ 10.4% |
| Net block | ₹25,900 cr | ₹24,543 cr | ▲ 5.5% |
| Capital work in progress | ₹5,535 cr | ₹4,016 cr | ▲ 37.8% |
| Equity | ₹45,379 cr | ₹40,980 cr | ▲ 10.7% |
| Total assets | ₹1.23 lakh cr | ₹1.10 lakh cr | ▲ 11.2% |
| Cash flow, year to date | This year | Last year |
|---|---|---|
| Operating cash flow | ₹2,811 cr | ₹3,449 cr |
| Capital expenditure | −₹3,761 cr | −₹2,695 cr |
| Investing cash flow | −₹1,683 cr | −₹2,390 cr |
| Financing cash flow | ₹1,054 cr | −₹220 cr |
| Dividends paid | −₹60.7 cr | −₹43.0 cr |
Operating cash flow was 1.23× profit. Receivables at 61 days of sales (−2 days against the last year end). Inventory at 41 days of sales (+4 days).
Other matter 1: “The accompanying Statement includes the unaudited interim financial results and other financial information in respect of 84 subsidiaries and one Employee Stock Option Trust, whose unaudited interim financial results include total assets of Rs. 82,969 Crores as at September 30,… Read in full
The accompanying Statement includes the unaudited interim financial results and other financial information in respect of 84 subsidiaries and one Employee Stock Option Trust, whose unaudited interim financial results include total assets of Rs. 82,969 Crores as at September 30, 2026, total revenues of Rs. 18,128 Crores and Rs. 36,584 Crores, total net profit after tax of Rs. 82 Crores and Rs. 975 Crores, total comprehensive income of Rs. 88 Crores and Rs. 998 Crores for the quarter ended September 30, 2026, and for the period ended on that date respectively, and net cash outflow of Rs. 174 Crores for the period from April 1, 2026 to September 30, 2026 as considered in the Statement which have been reviewed by their respective independent auditors.
Other matter 2: “5 joint ventures, whose unaudited interim financial results include Group's share net profit after tax of Rs. 20 Crores and Rs. 66 Crores, total comprehensive income of Rs. 20 Crores and Rs. 66 Crores, for the quarter ended September 30,… Read in full
5 joint ventures, whose unaudited interim financial results include Group's share net profit after tax of Rs. 20 Crores and Rs. 66 Crores, total comprehensive income of Rs. 20 Crores and Rs. 66 Crores, for the quarter ended September 30, 2026 and for the period ended on that date respectively, as considered in the Statement whose financial results, other financial information have been reviewed by their respective independent auditors.
Other matter 3: “80 subsidiaries, whose interim financial results and other financial information reflect total assets of Rs. 7,946 Crores as at September 30, 2026, and total revenues of Rs. 1,129 Crores and Rs. 1,963 Crores, total net loss after tax of Rs.… Read in full
80 subsidiaries, whose interim financial results and other financial information reflect total assets of Rs. 7,946 Crores as at September 30, 2026, and total revenues of Rs. 1,129 Crores and Rs. 1,963 Crores, total net loss after tax of Rs. 19 Crores and Rs. 29 Crores, total comprehensive expense of Rs. 45 Crores and Rs. 55 Crores, for the quarter ended September 30, 2026, and for the period ended on that date respectively and net cash inflows of Rs. 196 Crores for the period from April 1, 2026 to September 30, 2026.
Other matter 4: “2 associates and 3 joint ventures, whose interim financial results includes the Group's share of net profit after tax of Rs. 20 Crores and Rs. 21 Crores and Group's share of total comprehensive income of Rs. 17 Crores and Rs.… Read in full
2 associates and 3 joint ventures, whose interim financial results includes the Group's share of net profit after tax of Rs. 20 Crores and Rs. 21 Crores and Group's share of total comprehensive income of Rs. 17 Crores and Rs. 19 Crores for the quarter ended September 30, 2026 and for the period ended on that date respectively, certified by Management.
Filing p. consolidated limited review report p.1-3
Announced acquisition of Rotary Connectors (India) to add MIL-spec connector capabilities to Aerospace and Defence portfolio in Electrical Wiring Interconnection Systems (EWIS). (p. release p.1, presentation slide 16)
Operationalised 1 new facility and announced 5 new capacity expansions during Q2 FY27, taking total ongoing completion facilities to 17. (p. release p.1, presentation slide 16)
Tax: Consolidated tax expense of ₹487.54 crore (current tax ₹508.00 crore, deferred tax credit ₹20.46 crore) on Profit before tax of ₹1,705.11 crore for Q2 FY27
| Metric | Q2 FY27 | Q2 FY26 |
|---|---|---|
| EV share | 19% | — |
| Total Booked Business (USD billion) | 106 | — |
| Net Debt Leverage Ratio (x) | 0.8 | 0.9 |
not disclosed
As a global Tier-1 automotive component manufacturer supplying directly to vehicle OEMs, dealer inventory days are not applicable to component operations.
Copper prices increased 6% QoQ in Q2 FY27 continuing input cost pressures; raw material cost escalation was mitigated through customer pass-through mechanisms, productivity gains, and automation.
Rising copper commodity costs were effectively absorbed and passed through to maintain underlying operational margins.
Read using the Automobiles and components framework (named in the filing read). Primary valuation lens: P/E through the cycle.
Read more closely in this sector: Dealer inventory days · Raw material cost against realisation.
| Metric | Guidance | For | Against earlier guidance |
|---|---|---|---|
| FY27 Full Year Capex Outlay Guidance | 5400–6600 ₹ crore | FY2026-27 | unchanged or first given |
| Leverage Ratio Financial Policy Ceiling Target | 2.5 | Long term | unchanged or first given |
Held for next quarter's said-then-did check.
| Segment | Revenue | YoY | Result | YoY |
|---|---|---|---|---|
| Wiring harness | ₹14,382 cr | ▲ 68.2% | ₹1,432 cr | ▲ 60.2% |
| Modules and polymer products | ₹15,956 cr | ▲ 3.8% | ₹1,324 cr | ▲ 16.4% |
| Vision systems | ₹5,418 cr | ▲ 6.6% | ₹499 cr | ▲ 6.4% |
| Integrated Assemblies | ₹2,650 cr | ▲ 2.7% | ₹325 cr | ▲ 3.1% |
| Emerging businesses | ₹6,452 cr | ▲ 61.3% | ₹543 cr | ▲ 43.0% |
| Q3 FY24 | Q4 FY24 | Q1 FY25 | Q2 FY25 | Q3 FY25 | Q4 FY25 | Q1 FY26 | Q2 FY26 | Q3 FY26 | Q4 FY26 | Q1 FY27 | Q2 FY27 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | ₹25,644 cr | ₹27,058 cr | ₹28,868 cr | ₹27,812 cr | ₹27,666 cr | ₹29,317 cr | ₹30,212 cr | ₹30,173 cr | ₹31,409 cr | ₹34,309 cr | ₹35,244 cr | ₹38,280 cr |
| YoY | — | — | +29% | +18% | +8% | +8% | +5% | +8% | +14% | +17% | +17% | +27% |
| EBITDA margin | 9.2% | 10.8% | 9.6% | 8.8% | 9.7% | 9.0% | 8.1% | 8.7% | 9.7% | 11.0% | 8.8% | 8.8% |
| Other income, % of PBT | 14% | 10% | 12% | 36% | 16% | 20% | 8% | 10% | 9% | 2% | 5% | 5% |
| Exceptional items | — | — | — | — | — | — | — | −₹36.2 cr | — | — | — | — |
| Tax rate | 26% | 7% | 24% | 24% | 26% | 11% | 30% | 32% | 30% | 22% | 30% | 29% |
| Net profit | ₹633 cr | ₹1,444 cr | ₹1,097 cr | ₹949 cr | ₹984 cr | ₹1,115 cr | ₹606 cr | ₹846 cr | ₹1,072 cr | ₹1,562 cr | ₹1,076 cr | ₹1,218 cr |
| YoY | — | — | +69% | +223% | +55% | −23% | −45% | −11% | +9% | +40% | +78% | +44% |
| Core profit YoY | — | — | +52% | +50% | +51% | −28% | −36% | +44% | +25% | +95% | +81% | +41% |
| EPS | ₹0.53 | ₹1.35 | ₹0.98 | ₹0.83 | ₹0.83 | ₹1.00 | ₹0.48 | ₹0.78 | ₹0.97 | ₹1.42 | ₹0.98 | ₹1.11 |
| Flags | 1 | 1 | 2 | 2 | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | 1 |
Each quarter is read with the same rules. Balance-sheet and cash checks run on half-year and annual quarters; filing-read checks run where a read exists.
Samvardhana Motherson International Ltd. reported revenue of ₹38,280 cr (+26.9% on the year) and net profit of ₹1,218 cr (+44.0% on the year) for July to September 2026.
Profit before other income, exceptional items and tax moved +41.1% on the year, against +44.0% for reported profit.
1 check raised a question: Borrowing rose while cash also rose. Why borrow while holding the cash?
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