SJS Enterprises (SJS) Q1 25/26 earnings summary

Executive summary

• Achieved 23rd consecutive quarter of outperformance, with consolidated revenue of INR 2,096.6 million in Q1 FY26, up 11.2% YoY, driven by strong two-wheeler (32.7% YoY) and passenger vehicle (13.8% YoY) segment growth, and new marquee customer additions.

• Outperformed muted industry growth of 1.2% in automotive production volumes, with automotive business growing ~19x compared to industry.

• Added Hero MotoCorp as a marquee customer and began supplies; secured export business wins from Autoliv, Fiat Chrysler Automobiles, Yazaki, Whirlpool, and Stellantis.

• Infrastructure development for capacity expansion at Pune, Bangalore, and new greenfield plant at Hosur underway to support future growth.

• Received Green Manufacturing Excellence Award and Good Manufacturing Practice certification, reinforcing commitment to sustainability and quality.

Financial highlights

• Consolidated revenue grew 11.2% YoY to INR 2,096.6 million, led by strong performance in two-wheeler and passenger vehicle segments.

• EBITDA increased 16.3% YoY to INR 587.2 million, with margin expansion of 106 bps to 27.6%.

• PAT rose 22.6% YoY to INR 346.2 million, with margin at 16.5%, up 154 bps YoY.

• Generated free cash flows of INR 325.6 million, resulting in a net cash position of INR 1,311.4 million as of June 30, 2025.

• Operating cash flows were 101% of EBITDA, reflecting strong operational efficiency.

Outlook and guidance

• Confident of outperforming industry growth by over 2x for the full year, leveraging diversified presence, global reach, and product innovation.

• Targeting export contribution to reach 14%-15% of consolidated revenue by FY28, with recent export wins supporting this goal.

• Cover glass facility expected to start supplies in FY27, with ambitions to expand into display assembly.

• Inorganic growth remains a key pillar, with acquisitions targeted for next financial year.

• Order book for FY26 covers close to 90% of forecasted revenue.