Samvardhana Motherson completes Japan subsidiary merger

Samvardhana Motherson International Limited has announced the completion of a merger involving two of its indirect wholly owned subsidiaries in Japan. SMR Automotive Operations Japan K.K. has merged into Misato Industries Co. Ltd., following the registration of the merger at the Commercial Registry of Japan. The certified records were issued on May 21, 2026, confirming the order dated May 20, 2026. Consequently, Misato Industries Co. Ltd. ceased to exist with effect from April 1, 2026.

Financial Details of Subsidiaries

The combined turnover of the entities for the financial year ended March 31, 2026, was detailed in the regulatory filing. The figures were reported in Japanese Yen and their Indian Rupee equivalents, based on an exchange rate of 1 JPY = INR 0.60.

Entity	Turnover (JPY)	Turnover (INR)
Misato Industries Co. Ltd.	¥ 14,061.99 Million	INR 8,437.20 Million
SMR Automotive Operations Japan K.K.	¥ 82.07 Million	INR 49.24 Million

Operational Rationale

The merger was undertaken to simplify the corporate structure and increase operating efficiency. Prior to the merger, SMR Automotive Operations Japan K.K. was a wholly owned subsidiary of Misato Industries Co. Ltd. Following the amalgamation, the assets of SMR Automotive Operations Japan K.K. have been transferred in block by universal succession to the assets of Misato.

Business Activities

Misato Industries Co. Ltd. was engaged in the manufacturing, trading, and sale of automotive mirrors and components. SMR Automotive Operations Japan K.K. was involved in the trading of automotive mirrors and components. The integration of these entities aligns with the company's strategic objectives to streamline its operations in the region.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-0.60%	+7.99%	+9.21%	+24.03%	+37.79%	+50.34%

Samvardhana Motherson International has announced its audited consolidated financial results for the quarter and financial year ended March 31, 2026. The company reported its highest-ever annual revenue of ₹126,414.20 crore for the year ended March 31, 2026, compared to ₹114,220.28 crore in the previous year. Profit for the period stood at ₹4,085.55 crore. For the quarter ended March 31, 2026, revenue from operations was ₹34,309.31 crore, with a net profit of ₹1,561.56 crore.

Financial Performance

The company's operational metrics showed improvement year-on-year. EBITDA for the year ended March 31, 2026, was ₹12,032.63 crore, up from ₹10,877.45 crore in the previous year. The EBITDA margin for the year was 9.5%. The leverage ratio improved to 0.8x, down from 0.9x at the end of FY25, marking the lowest level in the company's history.

Metric (FY26)	Amount (₹ Crore)	Previous Year (₹ Crore)
Total Revenue from Operations	126,103.67	113,662.57
Total Income	126,414.20	114,220.28
Profit for the Period	4,085.55	4,145.70
EBITDA	12,032.63	10,877.45

Strategic Developments

Samvardhana Motherson International reported a booked business of USD 96 billion, providing robust visibility for near-to-mid-term growth. The company recorded a capital expenditure of ₹5,911 crore for FY26 and provided an outlook of ₹6,000 crore +/- 10% for FY27. Emerging businesses grew 50% year-on-year, with Consumer Electronics growing 7.5x and Aerospace registering 40% growth. The company currently has 16 Greenfield projects at different stages of completion, with 13 expected to come onstream during FY27.

Dividend Declaration

The Board of Directors has recommended a final dividend of ₹0.25 per equity share for the financial year 2025-26. This is in addition to the interim dividend of ₹0.35 per share already paid. The total dividend for the financial year aggregates to ₹0.60 per share, compared to ₹0.57 per share paid in the previous year. The record date to determine shareholder eligibility for the final dividend is July 14, 2026, subject to shareholder approval at the Annual General Meeting scheduled for July 30, 2026.