Sansera Engineering Limited , a leading manufacturer of precision-engineered components, has announced ambitious revenue projections for the upcoming fiscal years. The company has set its sights on achieving substantial growth in the near future.

Revenue Targets

Sansera Engineering has outlined the following revenue goals:

• FY26: Rs 3,000-3,200 crore
• FY27: Rs 5,000-5,500 crore

These projections indicate a significant revenue growth trajectory over the two-year period, showcasing the company's confidence in its market position and growth strategies.

Q2 Financial Performance

The company has also released its financial results for the second quarter, demonstrating solid performance:

The company has shown growth across key financial metrics, with a notable 38% increase in Profit After Tax year-over-year.

Business Segment Performance

Sansera Engineering's Q2 performance across various business segments includes:

• Auto-ICE: 72.9% of revenue
• Auto-Tech Agnostic & xEV: 13.8% of revenue
• Non-auto: 13.2% of revenue

The non-auto business, particularly the Aerospace, Defense, and Semiconductor (ADS) segment, has shown exceptional growth:

• ADS segment: 80% year-over-year growth
• Off-Road and Agriculture: 46.7% and 17.7% year-over-year growth, respectively

Geographic Performance

The company's revenue distribution by geography for Q2 was as follows:

• India: 70.2%
• Europe: 16.3%
• USA: 8.8%
• Other Foreign Countries: 4.7%

Notable performances include:

• India Business: 8.5% year-over-year growth
• USA Exports: 14.9% year-over-year growth
• Sweden Business: Rs 589 crore in sales, representing 79.1% year-over-year growth

Strategic Investments and Future Outlook

Sansera Engineering is making strategic investments to support its growth plans:

1. ADS Segment Focus: The company is targeting annual sales of Rs 3,000 to 3,200 crore in FY26 for the ADS division.
2. Capacity Expansion: Plans include a Rs 250 crore investment over the next few years towards building and machinery for the ADS segment.
3. New Product Lines: Entry into regular production of semiconductor parts manufacturing, with ramp-up expected in Q3 and Q4.
4. Product Diversification: Expanding into more complex and large structural parts, supported by in-house surface treatment facilities.

B R Preetham, Executive Director & CEO of Sansera Engineering Limited, commented on the company's performance and outlook: "With our focus on engineering innovation and operational efficiency, we navigated industry challenges effectively and maintained robust profitability. We are constantly expanding our horizons and engaging with prospective customers in newer geographies, particularly Japan and Korea."

As Sansera Engineering continues to diversify its product portfolio and expand its global presence, the company appears well-positioned to capitalize on opportunities in both the automotive and non-automotive sectors, aiming for stronger-than-industry growth in the coming years.

Sansera Engineering Limited , a leading precision components manufacturer, has reported a robust financial performance for the second quarter, showcasing significant growth in both revenue and profitability.

Financial Highlights

• Net Profit: Sansera Engineering's consolidated net profit jumped 42% to ₹717.00 million, compared to ₹506.00 million in the same quarter last year.
• Revenue: The company's revenue grew by 8.6% year-over-year, reaching ₹8.25 billion, up from ₹7.60 billion.
• EBITDA: Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) increased to ₹1.40 billion from ₹1.30 billion in the corresponding period.

Key Performance Metrics

Analysis

The substantial increase in net profit demonstrates Sansera Engineering's ability to enhance its bottom line. The company's revenue growth of 8.6% indicates a strong demand for its precision-engineered components and effective market strategies.

While the EBITDA showed improvement, growing from ₹1.30 billion to ₹1.40 billion, the EBITDA margin experienced a slight decline of 9 basis points, moving from 17.44% to 17.35%. This marginal decrease in margin may be attributed to increased operational costs or changes in the product mix.

Strategic Investments

In a separate development, Sansera Engineering has made a strategic investment in MMRFIC Technology Private Limited, acquiring a 30.16% stake for ₹300.00 million. This move aligns with the company's objectives to:

1. Enter high-technology spaces
2. Access strong R&D and engineering capabilities
3. Address priority market segments including Defence, Aerospace, Healthcare, and Security
4. Explore potential in Telecom (5G) and Automotive (autonomous driving subsystems) technologies

This investment showcases Sansera's commitment to diversification and technological advancement, which may contribute to future growth opportunities.

Outlook

The strong financial results, coupled with strategic investments, position Sansera Engineering for continued growth. The company's focus on precision engineering and expansion into high-tech sectors may provide a competitive edge in the evolving manufacturing landscape.

Investors and stakeholders will likely keep a close watch on how Sansera leverages its core competencies and new investments to drive future performance and maintain its growth trajectory in the coming quarters.