Sona BLW Precision Forgings Limited , also known as Sona Comstar, has reported robust financial results for the second quarter of fiscal year 2026, while also announcing strategic changes in its operations and management.

Financial Performance

Sona Comstar demonstrated strong growth in Q2 FY26, with revenue reaching ₹11,383.00 million, marking a 24% year-over-year increase. The company's EBITDA stood at ₹2,891.00 million, while Profit After Tax (PAT) rose to ₹1,728.00 million, representing a 20% year-over-year growth.

BEV Segment Performance

The Battery Electric Vehicle (BEV) segment showed a mixed performance. While BEV revenue declined by 17% year-over-year, it still constituted a significant 32% of the company's automotive product sales.

Strategic Developments

Joint Venture Suspension

In a notable strategic shift, Sona Comstar has decided to suspend its proposed joint venture with China's Jinnaite Machinery Co. Ltd. The company disclosed that both parties have mutually agreed to put the JV in abeyance. However, they plan to cooperate on select foundry products and remain open to future collaboration opportunities. The binding term sheet executed on July 20, 2025, for the proposed JV now stands rescinded.

New Senior Management Appointment

The company has strengthened its leadership team by appointing Mr. Pratik Sachan as Head of Strategy & M&A. The Board of Directors, based on the recommendation of the Nomination and Remuneration Committee, has designated Mr. Sachan as a Senior Management Personnel (SMP). With over 15 years of experience in strategy, M&A, investor relations, and project management, Mr. Sachan brings valuable expertise to Sona Comstar's strategic initiatives.

Order Book and Manufacturing Presence

Sona Comstar maintains a robust net order book of ₹236.00 billion, representing 6.8 times its FY25 revenue. The company continues to operate across 12 manufacturing plants, serving global automotive customers.

Employee Stock Option Plan

In a move to align employee interests with company growth, Sona Comstar's Nomination and Remuneration Committee has approved the grant of 630,000 stock options to eligible employees under the Sona Employee Stock Option Plan 2023. The exercise price is set at the fair market value of ₹478.70 per share as of the grant date.

Outlook

Despite the challenges in the BEV segment, Sona Comstar's overall financial performance and strategic moves indicate a focus on long-term growth and adaptability in the dynamic automotive market. The company's strong order book and global manufacturing presence position it well for future opportunities in the evolving mobility sector.

Sona BLW Precision Forgings Limited , a leading automotive technology company, has announced a significant employee stock option (ESOP) grant under its Sona Employee Stock Option Plan 2023. The company's Nomination and Remuneration Committee approved the allocation of 6,30,000 stock options to eligible employees on October 27, 2025.

Key Details of the ESOP Grant

Vesting Schedule

The granted options will vest equally over a period of four years, with the vesting dates as follows:

1. First Vesting: October 27, 2026
2. Second Vesting: October 27, 2027
3. Third Vesting: October 27, 2028
4. Fourth Vesting: October 27, 2029

Exercise Details

Employees will have a maximum of three years from each vesting date to exercise their options. The exercise price of ₹478.70 per share represents the fair market value on the grant date.

Background

The Sona Employee Stock Option Plan 2023 was previously approved by shareholders in the Annual General Meeting held on July 19, 2023. This ESOP grant aligns with the company's strategy to attract, retain, and motivate key talent by providing them with an opportunity to participate in the company's growth and success.

Regulatory Compliance

Sona BLW Precision Forgings Limited has confirmed that the ESOP scheme is in compliance with the SEBI (Share Based Employee Benefits) Regulations, 2021. The details of the grant have been disclosed in accordance with the SEBI Listing Obligations and Disclosure Requirements (LODR) Regulations, 2015.

This ESOP grant demonstrates Sona BLW Precision Forgings Limited's commitment to employee welfare and long-term value creation for both its workforce and shareholders.