Sansera Engineering (SANSERA) Q3 25/26 earnings summary

Executive summary

• Achieved record quarterly consolidated sales of INR 9,077 million and EBITDA of INR 1,639 million (18.1% margin), with PAT at INR 694 million after a one-time labor code loss of INR 162 million; strong performance across auto and non-auto segments, especially international and ADS.

• International revenues surged, with Europe up 27% year-on-year, USA exports up 50.5% year-on-year, and Sweden sales up 62.5% year-on-year; non-auto segment posted 127.9% year-on-year growth, led by ADS, which grew over 4x year-on-year.

• Cumulative unexecuted ADS order backlog reached INR 38,678 million as of Dec-25, with overall order book at INR 24,124 million.

• Strategic initiatives included the inauguration of a new Pantnagar facility and a joint venture with Nichidai Corporation to expand into high-value, technology-agnostic automotive components.

• Unaudited standalone and consolidated financial results for the quarter and nine months ended 31 December 2025 were approved, with statutory auditors issuing an unmodified review report.

Financial highlights

• Consolidated revenue from operations for Q3 FY26 was INR 9,076.69 million, up 25% year-on-year; EBITDA was INR 1,639 million (18.1% margin); PAT at INR 694.22 million (7.6% margin), up 24% year-on-year.

• Excluding a one-time exceptional charge of INR 162 million due to labor law changes, PAT for Q3FY26 was INR 857 million, a 53% year-on-year increase.

• Nine-month FY26 revenue grew 12% year-on-year to INR 24,992 million; PAT at INR 2,038 million, up 29% year-on-year, with margin expanding to 8.2%.

• Standalone EPS for Q3 FY26 was Rs 10.22 (basic), consolidated EPS was Rs 11.05 (basic), both up year-on-year.

• Finance costs reduced to INR 79 million due to debt reduction.

Outlook and guidance

• Confident of closing the year with mid-teens top-line growth while maintaining current margin profile; ADS revenue for nine months crossed INR 2,150 million, on track for FY26 targets.

• FY26 ADS revenue guidance is INR 3,000–3,200 million; FY27 guidance is INR 5,000–6,000 million.

• Robust pipeline and upbeat client sentiment; expecting further order buildup in xEV and tech-agnostic segments.

• Management expects positive impact from EU FTA and interim US-India trade agreement on exports and new opportunities.

• The company continues to monitor the impact of the new Labour Codes and will evaluate further effects on employee benefit liabilities.