Sandhar Technologies Limited , a leading auto component manufacturer, reported a robust 29% year-on-year growth in consolidated revenue for Q2, reaching INR 1,153.00 crores. The company's performance was driven by strong growth in its India business, which saw a 33% increase in revenue. However, EBITDA margins faced some pressure due to costs associated with new projects.

Financial Highlights

Note: The EBITDA margin would have been 10.44% without the impact of new projects.

Key Takeaways

1. New Project Costs: The company incurred INR 11.21 crores in costs related to new projects, including the acquisition of Sundaram-Clayton's unit and new facilities in Pune and South India.

2. Overseas Business: While the overseas business saw a modest 2% growth in revenue, operational improvements led to reduced losses compared to the previous quarter.

3. Joint Ventures: All five joint ventures are now PAT positive, with a combined revenue growth of 68.57% (calculated on a 50% partnership basis).

4. EV Components: The company has started commercial invoicing of battery chargers and motor controllers, generating INR 6.94 crores in revenue in H1.

5. Smart Locks: Production of smart locks has commenced, with expectations of smoother operations and daily supply in the coming quarters.

Segment Performance

• Aluminum Die Casting (ADC): The ADC business, including Sundaram-Clayton, contributed significantly to growth, with a revenue of INR 198.00 crores in H1.
• Vision Systems: This segment saw substantial growth, nearly doubling its revenues year-on-year.
• Cabins and Fabrication: The business showed signs of recovery after being affected by emission norm changes in the construction equipment industry.

Outlook and Strategy

Mr. Jayant Davar, Chairman, Managing Director, and CEO, expressed optimism about the company's future performance:

"We expect a strong third quarter, and as always, a very strong quarter 4. The auto industry seems to be on a good trend right now, with our order books being extremely strong due to the elongated festive season."

The company aims to achieve:

• Double-digit EBITDA margins by March 2026
• 11% EBITDA margin by FY27
• 18% pre-tax Return on Capital Employed (ROCE) in the medium term

To achieve these targets, Sandhar Technologies is focusing on:

1. Improving operational efficiency in overseas businesses
2. Expanding its customer base
3. Financial re-engineering to optimize borrowing costs

Capex and Debt

The company plans a capex of around INR 300.00 crores for the current fiscal year, including investments in the Sundaram-Clayton business. The current debt stands at INR 858.00 crores as of September, with expectations to remain between INR 850.00-900.00 crores due to working capital requirements.

As Sandhar Technologies continues to navigate the evolving auto component landscape, its focus on new technologies, operational efficiencies, and strategic expansions positions it well for future growth. Investors will be watching closely to see if the company can achieve its ambitious margin and ROCE targets in the coming years.

Sandhar Technologies Limited , a prominent player in the auto components sector, has announced a significant change in its leadership. Venkataraman Srinivasan, the Chief Operating Officer of the Cabins Fabrication Division and a designated Key Managerial Personnel (KMP), has resigned from his position, citing pressing family concerns.

Resignation Details

The company disclosed this development in a regulatory filing dated October 31, 2025. Here are the key points:

Company's Response

Sandhar Technologies has accepted Srinivasan's resignation, acknowledging his request for early relief due to the circumstances. The company expressed its appreciation for Srinivasan's valuable contributions during his tenure and extended best wishes for his future endeavors.

Regulatory Compliance

In compliance with Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, Sandhar Technologies promptly informed the stock exchanges about this change in key management personnel.

Additional Management Change

In a separate announcement on October 30, 2025, Sandhar Technologies also reported the resignation of Harjit Singh, Assistant Vice President (AVP) of the Research & Development Department. Singh, designated as Senior Management Personnel (SMP), cited ongoing health concerns as the reason for his departure, effective from the close of business hours on October 30, 2025.

These back-to-back resignations of senior executives highlight the importance of succession planning and talent management in maintaining organizational stability. Sandhar Technologies will likely focus on ensuring a smooth transition and filling these crucial roles to maintain operational continuity.