Sundram Fasteners (SUNDRMFAST) Q2 25/26 earnings summary

Executive summary

• Achieved record consolidated net profit of ₹300.69 crores and standalone net profit of ₹278.62 crores for the half-year ended September 30, 2025, driven by strong domestic growth, international diversification, and margin expansion.

• Interim dividend of ₹3.75 per share declared for FY26, a 25% increase year-over-year.

• Maintained robust growth in both auto and non-auto segments, with continued focus on expanding in Europe and adjacent markets.

• Benefited from INR depreciation, improved product mix, and cost control, leading to higher gross margins and EBITDA.

Financial highlights

• Consolidated H1 FY25 revenue reached ₹3,094.80 crores, up from ₹2,983.71 crores year-over-year; standalone H1 revenue at ₹2,723.20 crores, PAT at ₹278.62 crores.

• Q2 FY25 standalone revenue at ₹1,356.09 crores, PAT at ₹140.27 crores, both highest ever for the company.

• EBITDA margin for Q2 FY25 expanded to 18.0% from 17.3% year-over-year, aided by domestic growth and lower commodity prices.

• Earnings per share for Q2 FY25 at ₹6.68 standalone and ₹7.18 consolidated, both up year-over-year.

• Capital expenditure of ₹149.67 crores incurred in H1 FY25, aligned with growth plans.

Outlook and guidance

• Management expects the benefit from rupee depreciation to continue supporting export realizations and is strengthening sales and marketing in Europe.

• Investments planned to scale non-auto, EV, hybrid, and adjacent businesses.

• Domestic industry outlook remains strong for Q3 and Q4, with anticipated export recovery in Q4 and Q1 next year.

• Double-digit CAGR targeted over the next three years, with revenue growth not significantly impacted by metal price fluctuations.