ask automotive received an order from the Deputy State Tax Officer II, Hosur South 1 Assessment Circle, demanding a total of Rs 1.07 Cr including GST, interest, and penalty. The order was passed under Section 74 of the Central Goods & Services Tax Act, 2017 ('CGST Act') and the Tamil Nadu Goods and Services Act, 2017 ('TNGST Act'). The company received this communication on July 15, 2026.

The order follows a decision by the Deputy Commissioner (Appeals), Hosur, to disallow an appeal filed by ASK Automotive against the original demand. The authority upheld the demand for the total amount, which comprises tax, interest, and penalty.

Company Response and Impact

ASK Automotive stated that, per its assessment, the tax demand is not maintainable in law. Consequently, the company intends to take appropriate steps, including filing an appeal with a higher authority to challenge the order.

The company disclosed that there is no material impact on its financials, operations, or other activities as a result of this order.

Details of the Order

ASK Automotive Limited has released its Annual Report for FY 2025-26, reporting a 16.2% increase in consolidated revenue from operations to ₹4,176.32 crore, with total income reaching ₹4,196.35 crore. The company's 38th Annual General Meeting (AGM) is scheduled for Friday, August 07, 2026, at 12:00 P.M. (IST) through Video Conferencing and Other Audio Visual Means, in compliance with MCA General Circular No. 03/2025 dated September 22, 2025, and Regulation 36(1) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Financial Performance

ASK Automotive delivered broad-based earnings growth in FY 2025-26, with profitability expanding at a faster pace than revenue. The following table summarises the consolidated and standalone financial highlights:

EBITDA grew 24.1% year on year, while PAT increased 20.1%. The improvement in profitability was supported by enhanced operating leverage, higher utilisation of recently commissioned capacities, and disciplined cost management. The company's CRISIL credit rating stands at AA/Stable for long-term and A1+ for short-term bank loan facilities.

Segment-Wise Performance

ASK Automotive operates across three business segments, all of which recorded growth during FY 2025-26. The ALPS segment has emerged as the largest contributor to consolidated revenue.

The ABS segment retained its market leadership with approximately 50% share of India's two-wheeler Advanced Braking Systems market. The ALPS segment's robust 30% growth reflects the automotive industry's increasing focus on lightweighting and electrification. The SCC segment continued to strengthen its OEM and aftermarket presence.

Dividend and AGM Details

The Board of Directors, at its meeting held on May 19, 2026, recommended a final dividend of ₹1.85 (92.5%) per equity share of face value ₹2 each for FY 2025-26, subject to member approval at the 38th AGM. If approved, the dividend outgo will be approximately ₹36.47 crore. Key event dates are as follows:

Dividend payments will be made exclusively through electronic mode as per SEBI directives. Shareholders holding shares in dematerialised form must ensure bank details are updated with their depository participants, while those holding physical shares must complete KYC formalities with the company or its RTA, MUFG Intime India Private Limited.

Strategic Highlights and Business Outlook

ASK Automotive's growth strategy is centred on portfolio diversification, technological capability building, and deeper customer engagement. The company has 18 strategically located manufacturing facilities, with 3 additional plants — including one Joint Venture plant — currently under installation and expected to become operational by FY2027. The company holds 5 world-class technical collaborations and 3 joint ventures with leading global players including NUCAP (Canada), HSH Safety Control Cable (Taiwan), LIOHO (Taiwan), Kyushu Yanagawa Seiki (Japan), Fras-le (Brazil), AISIN (Japan), and T.D. Holding (Germany).

A key recent development is the joint venture with T.D. Holding GmbH (Germany), incorporated as ASK GTD Control Cables Private Limited on September 15, 2025, focused on manufacturing sunroof control cables and helix cables for passenger vehicles. The company holds 49% shareholding in this JV.

On the sustainability front, the company commissioned a 9.9 MWp captive solar power plant in Sirsa, Haryana, and has commenced setting up an additional 11.55 MWp captive solar plant in Bikaner, Rajasthan, expected to be operational in Q2 FY2027. Combined Scope 1 and Scope 2 emissions reduced by approximately 13% year on year, and approximately 99.6% of waste generated was recycled with zero landfill disposal of hazardous waste. Renewable electricity consumption rose by approximately 192% over the prior year.

Key Financial Ratios and Historical Trends

The following table presents selected financial metrics over recent years on a consolidated basis:

During FY 2025-26, Mr. Kuldip Singh Rathee, promoter and Chairman & Managing Director, sold 78,85,704 equity shares (4% of total equity) via the open market mechanism to achieve the minimum public shareholding requirement. As on March 31, 2026, the total workforce stood at over 9,000 individuals, with 1,556 regular employees on the rolls of the company.

Source: https://lodr-files.dhan.co/lodr-inputs/Company/INE491J01022/2d319d5c6a99417d.pdf