Automotive Axles Limited Receives Improved ESG Rating of 71.0 for 2025
Automotive Axles Limited achieved an improved ESG score of 71.0 for 2025, up from 68.8 in 2024, as assessed by SEBI-registered SES ESG Research. The enhancement reflects strong environmental performance with 52.12% renewable energy consumption and ambitious sustainability targets for 2028, while maintaining robust governance standards across its three manufacturing facilities.

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Automotive Axles Limited has received an improved ESG rating of 71.0 for 2025, representing a notable enhancement from its previous score of 68.8 in 2024, according to an assessment by SES ESG Research Private Limited, a SEBI-registered ESG rating provider.
ESG Performance Overview
The company's overall ESG performance demonstrates significant improvement across key sustainability metrics. The rating assessment, conducted independently by SES ESG Research without any engagement from the company, is based on public disclosures made during 2024-25.
| Parameter: | 2024 Score | 2025 Score | Improvement |
|---|---|---|---|
| Overall ESG Score: | 68.8 | 71.0 | +2.2 points |
| Environment Score: | 53.0 | 58.8 | +5.8 points |
| Social Score: | 76.0 | 74.2 | -1.8 points |
| Governance Score: | 78.0 | 79.7 | +1.7 points |
Environmental Performance Highlights
Automotive Axles Limited has demonstrated substantial progress in environmental sustainability initiatives. The company has established ambitious targets to achieve 80% energy from renewable sources, 80% low emission vehicles, 80% reduction in carbon footprint, and 98% recyclable end-of-life products by 2028.
Key environmental achievements include:
- Renewable energy consumption increased to 52.12% during FY 2024-25
- Significant reduction in total energy consumption and GHG emissions (Scope 1+2)
- 96.29% of waste recovered through recycling, re-using, and other recovery operations
- Zero operations in ecologically sensitive areas
- ISO 14001:2015 certification for Environmental Management System
Operational and Manufacturing Details
The assessment covers Automotive Axles Limited's comprehensive manufacturing operations, which include:
| Operational Parameter: | Details |
|---|---|
| Primary Business: | Manufacturing of axles and brakes |
| Manufacturing Locations: | Mysore, Rudrapur, and Jamshedpur |
| Number of Plants: | 3 |
| Number of Offices: | 1 |
| Industry Classification: | Auto Components & Equipment |
Social and Governance Aspects
While the company maintained strong performance in several social parameters, including zero fatalities over the past three years and comprehensive safety certifications (ISO 45001:2018, ISO 9001:2015, IATF 16949:2016), some areas showed room for improvement. The social score decreased slightly to 74.2 from 76.0, primarily due to increased employee turnover rates and limited gender diversity in the workforce.
Governance performance improved to 79.7, reflecting enhanced board committee effectiveness and maintained compliance with statutory requirements. The company's statutory auditors have not made any qualifications in their reports for the last three financial years.
Rating Methodology and Scope
SES ESG Research evaluated the company using industry-specific weightings of 35% for Environmental factors, 25% for Social factors, and 40% for Governance factors. The assessment is based entirely on publicly available information, including Business Responsibility and Sustainability Reports (BRSR), annual reports, and other regulatory disclosures.
The improved ESG rating positions Automotive Axles Limited in the B+ grade category (70-80 range), indicating medium ESG risk exposure and demonstrating the company's commitment to sustainable business practices across its automotive component manufacturing operations.
Historical Stock Returns for Automotive Axles
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -0.88% | +3.85% | +7.25% | +9.37% | +8.21% | +79.18% |




































