Motherson Sumi Wiring India Limited (MSWIL), a full-system solutions provider of the wiring harness segment to automotive manufacturers reported a 2% drop in net profit at Rs 123 crore during Q1FY24 (YoY). The overall revenues on the other hand increased by 11% to Rs 1859 crore.
Revenue growth was driven by increasing content per vehicle and a favourable product mix. The company also saw significant traction in the electric vehicle (EV) market, with year-over-year growth of 3x in Q1FY24. This was due to the company's early entry into the EV market and its supply agreements with leading players in the EV commercial segment.
Vivek Chaand Sehgal, Chairman, Motherson Sumi Wiring India Ltd. said, " The additional capacities which were created over the past few quarters have started to contribute towards revenue growth. Operational improvements continue to support the performance despite inflationary headwinds and supply chain issues at the customer’s end". "With cost reduction initiatives in place coupled with the continued support of the customers, we believe that we will continue to deliver value to our stakeholders in the upcoming quarters as well.”