Motherson Posts 15% Jump in Q2 Profit, Revenue Rises 8.5%

Samvardhana Motherson International Limited reported a profit after tax of Rs 856 crore for the second quarter of fiscal 2025-26, marking a 15% increase over the same period last year. Consolidated revenue for the quarter ended September 30, 2025, stood at Rs 30,173 crore, up 8.5% year-on-year.

The company's EBITDA for the quarter was Rs 2,719 crore. The auto component manufacturer maintained its net leverage ratio at 1.1x during the period. Net leverage ratio measures how much debt a company has relative to its earnings. It's calculated as Net Debt/EBITDA.

The company has a booked business pipeline of $87.2 billion to be executed over the next five to six years. It operationalised two new greenfield facilities during the quarter, with 10 more at various stages of completion. Most of these facilities are expected to begin contributing from fiscal 2027 onwards.

Motherson announced three acquisitions during the period. The company acquired Yutaka Giken in Japan, which strengthens its partnership with Honda Motors. Yutaka Giken operates 13 manufacturing facilities across nine countries and produces motor rotors, stator assemblies, drive and brake systems, and thermal management solutions.

The second acquisition was Rubbertec in Australia, which adds business assets and contracts to strengthen the company's elastomer product capabilities. The third was Rider Dome in Singapore, marking Motherson's entry into Advanced Rider Assistance Systems technology for the two-wheeler segment.

Vivek Chaand Sehgal, Chairman of Motherson, said the transformative measures implemented by the company are expected to gain momentum in the second half of the fiscal year. He highlighted improved performance in the modules and polymer product divisions.

The company's non-automotive businesses, including aerospace and consumer electronics, showed growth during the quarter. Motherson operates over 425 facilities across 44 countries and serves nearly all leading global automobile manufacturers.

The company said it outpaced industry growth through content gains and mergers and acquisitions during what is typically a weak quarter due to seasonal factors.