SJS Enterprises , a leading player in the automotive and consumer appliances components sector, has unveiled an ambitious growth strategy aimed at doubling its revenue within the next three to four years. The company's bold vision is underpinned by its focus on premiumisation trends and technological advancements in the industry.

Strategic Growth Plan

Group CEO Sanjay Thapar expressed strong confidence in achieving this target, stating that SJS Enterprises is poised to grow at twice the industry rate. This aggressive growth strategy is expected to capitalize on emerging market trends and the company's enhanced technological capabilities.

Acquisition as a Catalyst

A key driver of SJS Enterprises' growth strategy is its recent acquisition of Spanish firm Walter Pack. This strategic move has significantly bolstered the company's capabilities, particularly in complex tooling and specialized 2K moulding technology. The acquisition has already yielded tangible benefits, with the company's kit value per vehicle increasing substantially:

Margin Stability and Segment Shift

Despite the ambitious growth plans, SJS Enterprises remains committed to maintaining its historical profit margins of 25-26%. This indicates the company's confidence in its operational efficiency and cost management strategies.

Interestingly, the company has experienced a significant shift in its revenue composition:

It's important to note that the decrease in two-wheeler revenue share is attributed to the rapid growth of the four-wheeler segment rather than a decline in two-wheeler business.

Market Response

The market has responded positively to SJS Enterprises' growth strategy and recent performance. On Tuesday, the company's shares closed 0.87% higher at Rs 1,358.00, reflecting investor confidence in its future prospects.

As SJS Enterprises embarks on this ambitious journey, industry observers will be keenly watching its progress in navigating the evolving automotive and consumer appliances landscape while striving to achieve its revenue doubling target.

SJS Enterprises Limited, a leading player in the decorative aesthetics industry, has reported strong financial results for the first quarter of fiscal year 2026, outperforming industry growth rates.

Financial Highlights

• Consolidated revenue grew by 11.2% year-on-year to INR 2,096.60 million
• EBITDA increased by 16.3% to INR 587.20 million, with margins expanding to 27.6%
• Profit After Tax (PAT) rose by 22.6% to INR 346.20 million, with margins at 16.5%
• Operating cash flow amounted to 101% of EBITDA

Automotive Segment Performance

The company's automotive business segment achieved exceptional growth of 22.8% year-on-year, significantly outpacing the industry's growth of 1.2%. This performance was driven by:

• 32.7% growth in the 2-wheeler segment
• 13.8% growth in the passenger vehicle segment

New Customer Acquisitions and Export Orders

SJS Enterprises made significant strides in expanding its customer base and global footprint:

• Added Hero MotoCorp as a new customer and commenced supplies during the quarter
• Secured new export orders from Autoliv and Fiat Chrysler Automobiles (FCA) in the U.S. market
• Added Yazaki as a domestic customer for automotive business
• Started supplies to Whirlpool, with Stellantis orders expected to begin in Q2 FY26

Capacity Expansion and Future Outlook

The company is undertaking capacity expansion projects at its Pune and Bangalore locations to strengthen manufacturing capabilities and meet increasing demand. Key points include:

• Infrastructure development for expansion is currently underway
• New chrome plating and painting facility at SJS Decoplast (formerly Exotech) expected to be operational by the end of Q3 FY26
• Management expects to outperform industry growth by 2x
• Targeting export contribution of 14-15% of revenue by FY28

Cover Glass and Display Technology

SJS Enterprises is exploring opportunities in the cover glass and display assembly segment:

• Discussions ongoing with potential customers for larger scope beyond just cover glass
• Considering technology partnerships to address the expanded opportunity
• Expects to make announcements regarding potential joint ventures in the future

Walter Pack India Performance

The Walter Pack India business faced challenges due to concentration risk with a few customers:

• Experienced a decline in volumes for specific high-value, low-volume parts
• Management is working on diversifying the customer base and onboarding new customers
• Expects a rebound in Walter Pack's performance within 2-3 quarters

SJS Enterprises continues to focus on premiumization, cross-selling opportunities, and expanding its global presence to drive sustainable growth and maintain its leadership position in the decorative aesthetics space.