Schaeffler India (505790) Q2 2024 earnings summary

Executive summary

• Achieved double-digit revenue growth in Q2 2024, with sales surpassing INR 2,000 crore for the first time and strong momentum in both domestic and intercompany sales.

• EBITDA margin improved to 18.6% in Q2 2024, with profit after tax at INR 2,535.4 million, up year-over-year.

• Recognized by key customers for quality and supplier performance, with continued focus on customer-centricity and business wins across product portfolios.

• Unaudited standalone and consolidated financial results for Q2 2024 were approved by the Board, with no material misstatements found by statutory auditors.

Financial highlights

• Q2 2024 standalone revenue reached ₹20,719.3 million, up 13.3% year-over-year and 12% sequentially; consolidated revenue was ₹21,068.4 million.

• EBITDA for Q2 2024 was ₹3,848 million (18.6% margin); PAT stood at ₹2,535.4 million (12.2% margin).

• Free cash flow for Q2 2024 was negative at ₹(135) million, reflecting CapEx and timing differences.

• Earnings per share (consolidated, basic) for Q2 2024 was ₹15.7.

Outlook and guidance

• Optimistic on export growth due to European demand recovery and new market entries, but cautious due to geopolitical risks.

• Sustained top-line growth expected through continued business wins, investments, and the Koovers acquisition supporting aftermarket strategy.

• Committed to long-term value creation with a focus on ESG principles and cost management.