ZF Commercial Vehicle Control Systems India Limited (ZF CVCS India) has reported a marginal 0.8% year-on-year increase in consolidated revenue for the quarter ended September 30, 2025. The company's financial performance, while showing resilience, reflects the challenges and opportunities in the commercial vehicle sector.

Financial Highlights

• Consolidated revenue for Q2 FY26 reached INR 958.21 crores, up from INR 950.18 crores in the same quarter last year.
• For the first half of FY26, consolidated net profit grew by 10.6% to INR 230.65 crores, compared to INR 208.55 crores in H1 FY25.
• The company maintained an EBITDA margin of 22.9% in Q2 FY26.
• Profit after tax for Q2 FY26 stood at INR 108.30 crores.

Segment Performance

• OE sales growth was primarily driven by higher ESC (Electronic Stability Control) penetration due to updated regulations effective September 2025.
• The decline in exports was mainly due to volume reduction in the U.S. market, attributed to tariff-related cost pressures.
• Growth in export of services was driven by increased engineering activities delivered from India to global centers.

Operational Highlights

• Production of 60-dia exhaust brake wall and brake signal transmitter for e-mobility applications started at the Oragadam facility.
• The company is actively engaged with OEMs regarding the implementation of Advanced Driver Assistance Systems (ADAS) and Advanced Emergency Braking Systems (AEBS).
• ZF CVCS India maintains a strong position in the Electronic Braking System (EBS) market, particularly for electric vehicles.

Market Dynamics and Future Outlook

• The commercial vehicle industry in India showed growth, with production of CVs above 6 tons increasing by 7.6% year-on-year.
• The e-bus segment demonstrated a 37% increase in H1 FY26 compared to the previous year.
• ZF CVCS India is the primary supplier of e-compressors for electric buses among Indian OEMs.
• The company is working on expanding its presence in the Light Commercial Vehicle (LCV) segment, focusing on hydraulic ESC and other braking system products.

Management Commentary

Paramjit Singh Chadha, Managing Director of ZF CVCS India, stated, "Despite multiple headwinds, we remain resilient in a volatile macroeconomic environment and are poised to support the demand from our valued customers. We continue to work towards sustained growth for all our stakeholders, investors, business partners, and employees."

The company's focus on technological advancements, particularly in areas such as electronic stability control, e-mobility solutions, and ADAS, positions it well to capitalize on emerging opportunities in the evolving commercial vehicle market. However, challenges such as export market volatility and potential regulatory changes may require continued strategic adaptation.

As the commercial vehicle industry in India continues to grow and evolve, ZF CVCS India's diverse product portfolio and focus on innovation are likely to play crucial roles in its future performance and market position.

ZF Commercial Vehicle Control Systems India Limited , a key player in the automotive components sector, has announced significant changes to its board of directors and committee structure, effective November 2025.

Board Restructuring

The company disclosed that Dr. Christian Brenneke has resigned from his position as Non-Executive Non-Independent Director. Dr. Brenneke's resignation will take effect from the close of business hours on November 4, 2025. The company stated that his decision to step down is due to personal and professional commitments, particularly his role as Head of U-Division (Electronic and ADAS) at ZF Group.

New Appointment

Following Dr. Brenneke's departure, the board has appointed Mr. Ivan Brajdic as an Additional Director in a Non-Executive Non-Independent capacity. Mr. Brajdic's appointment will be effective from November 5, 2025. This decision was based on the recommendation of the company's Nomination and Remuneration Committee.

Profile of the New Director

Mr. Brajdic brings a wealth of experience to his new role:

• Over 25 years of experience in high-tech automotive products
• Currently serves as the Managing Director of ZF CVS Systems Global GmbH, a position he has held since October 2024
• Extensive background in global leadership positions, with responsibility for cross-functional and multicultural teams
• Known for his strengths in strategic thinking, result orientation, and intercultural competence

Regulatory Compliance

The company has confirmed that Mr. Brajdic is not debarred from holding a directorship by any regulatory authority, ensuring compliance with corporate governance norms.

Committee Restructuring

ZF Commercial Vehicle Control Systems India has announced a comprehensive reconstitution of its board committees, effective November 5, 2025:

1. Audit Committee: Dr. Orlik Lars replaces Mr. Christian Brenneke
2. Nomination & Remuneration Committee: Mr. Neeraj Sagar becomes the new Chairman
3. Stakeholders Relationship Committee: Ms. Amrita Verma Chowdhury takes over as Chairperson
4. Corporate Social Responsibility Committee: Changes in membership (specific details not provided)
5. Risk Management Committee: Ms. Rashmi Urdhwareshe becomes the new Chairperson

These changes reflect the company's commitment to maintaining a diverse and experienced board to guide its strategic direction in the automotive components and allied services sector.

Shareholder Approval

The board has approved the conduct of a Postal Ballot to seek shareholders' approval for Mr. Ivan Brajdic's appointment as a Non-Executive & Non-Independent Director. The cut-off date for determining members entitled to participate in this process is set for November 14, 2025.

The board meeting where these decisions were made was held on November 4, 2025.