ASK Automotive Profit up 16% in Q1

Automotive components manufacturer ASK Automotive Limited reported 16.3% increase in consolidated profit after tax for Q1FY26 to ₹66 crores from ₹57 crores in Q1 FY25. Consolidated revenue reached ₹895 crores, up 3.5% from ₹865 crores in the same period last year. Earnings per share increased to ₹3.35 from ₹2.88.

The company's consolidated EBITDA surged 19.3% year-over-year to reach ₹123 crores, marking its highest quarterly EBITDA to date, with margins expanding to 13.8% from 11.9% in the previous year.

The Gurugram-based auto components manufacturer, which holds approximately 50% market share in two-wheeler brake shoes among original equipment manufacturers (OEMs), achieved 11.1% revenue growth when excluding its strategically reduced wheel assembly business.

Business Realignment Drives Growth

The company's performance was bolstered by a strategic decision to reduce its low-margin wheel assembly business by 53.5%, while focusing on higher-value segments. Excluding the wheel assembly business, ASK Automotive achieved an impressive revenue growth of 11.1% year-over-year.

The company's diversified portfolio showed strong performance across multiple segments. The Advanced Braking Systems vertical grew 4% year-over-year, while Aluminium Light Weighting Precision Solutions surged 15% and Safety Control Cables increased 6%. Export revenues remained stable at ₹33 crores, matching the previous year's performance.

ASK Automotive's EBITDA margins expanded significantly to 13.8% in Q1 FY26, an improvement of 183 basis points compared to Q1 FY25 and 124 basis points from the previous quarter. The company attributed this margin expansion to several factors including better economies of scale from higher volumes, increased capacity utilization at its Karoli facility, and the ramp-up of its new Bangalore manufacturing unit.

Profit After Tax (PAT) grew 16.3% to ₹66 crores, with earnings per share increasing to ₹3.35 from ₹2.88 in the corresponding period last year.

"This is the seventh consecutive quarter of robust performance by us since listing of the Company," said Kuldip Singh Rathee, Chairman and Managing Director. "We continue to outperform the 2W industry vehicle production growth."

Capacity Expansion

The company's operational improvements were supported by its expanding manufacturing footprint. The mega manufacturing facility at Karoli and the new Bengaluru facility are both ramping up production, contributing to improved economies of scale and operational efficiencies.

"Our aim is to sustain current level of EBITDA margins and continue our efforts to improve gradually in the subsequent quarters depending upon the growth of the 2W Industry," Rathee explained.

ASK Automotive has established itself as one of India's largest manufacturer of brake shoes and advanced braking systems for two-wheelers, with three decades of experience in supplying critical safety systems. The company serves both Indian and global OEM players and has diversified its operations to include powertrain-agnostic products for automotive and non-automotive segments, with a particular focus on electric vehicles and exports.

ASK Automotive Limited specializes in manufacturing brake shoes, advanced braking systems, aluminum light weighting precision solutions, and safety control cables.