Jtekt India Ltd — Q4 FY26 earnings call
Summary generated by AI from the official transcript Jtekt India Ltd filed with BSE on 25 May 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
JTEKT India reported FY 2025-26 sales growth of 11% against passenger vehicle market growth of 9%, aided by GST-driven demand for Maruti Suzuki models and new SOPs for e Vitara and Victoris. Full-year EBITDA margin declined marginally from 7.60% to 7.5% despite a second-half recovery to 8.48%, with management attributing the dip to product mix changes, a one-time forex accounting impact, higher power costs, and U.S. reciprocal tariffs. Management also discussed capacity utilization across new MS Gear, CPS and CVJ lines, a rights issue completed during the year, and the start of export shipments to Brazil for JTEKT Group's Stellantis platform.
1 statement from this call is not shown because its supporting quote could not be reproduced within our quoting limits. Nothing shown here is affected: every statement on this page carries its verified quote.
Numbers mentioned
Passenger Vehicle segment sales: 5.54 million units (FY 2025-26)
p. 3
“For the FY '25-'26, Passenger Vehicle segment achieved sales of 5.54 million units compared to 5.07 million units sold in FY '24-'25, thereby achieving annual growth of 9%.”
Yosuke Fujiwara, page 3 of the filed PDF · View the filing
JTEKT sales growth: 11% (FY 2025-26)
p. 3
“During the financial year '25- '26, JTEKT achieved a sales growth of 11% compared to passenger vehicle market growth of 9%.”
Yosuke Fujiwara, page 3 of the filed PDF · View the filing
EBITDA margin, second half: 8.48% (H2 FY 2025-26)
p. 3
“With the improvement of sales, the EBITDA margin for the second half to a level of 8.48% compared to 7.71% achieved last year.”
Yosuke Fujiwara, page 3 of the filed PDF · View the filing
EBITDA margin, full year: 7.5% (FY 2025-26)
p. 3
“Despite this improvement, we are short by 0.1% as the full year margin declined from 7.60% last year to 7.5% in the current FY '25-'26.”
Yosuke Fujiwara, page 3 of the filed PDF · View the filing
Export sales growth: 20%, from INR551 million to INR664 million (FY 2025-26)
p. 5
“During '25-'26, we were able to increase our export sales by 20% from INR551 million to INR664 million.”
Rajiv Chanana, page 5 of the filed PDF · View the filing
Sales to Mahindra & Mahindra and Tata growth: 17% (FY 2025-26)
p. 3
“Further, our sales to Mahindra & Mahindra and Tata also increased by 17%.”
Yosuke Fujiwara, page 3 of the filed PDF · View the filing
Toyota share of sales: 10%, down from 12% (FY 2025-26 vs prior year)
p. 7
“So Toyota was 12% last year and was 10% this year.”
Rajiv Chanana, page 7 of the filed PDF · View the filing
Maruti Suzuki share of sales: 60%, up from 56% (FY 2025-26 vs prior year)
p. 7
“one of the reasons why Toyota slightly declined by 2% because Maruti Suzuki went up from 56% to 60%.”
Rajiv Chanana, page 7 of the filed PDF · View the filing
CVJ sales: INR1,300 million (FY 2025-26)
p. 9
“And '25-'26, the total sale was about INR1,300 million only.”
Rajiv Chanana, page 9 of the filed PDF · View the filing
Incremental turnover from new capacity: INR300 crores (FY 2025-26)
p. 13
“We already got INR300 crores increase this year.”
Rajiv Chanana, page 13 of the filed PDF · View the filing
CWIP: INR411 crores
p. 13
“Our CWIP, which is the assets which are not yet operationalized is about INR411 crores.”
Rajiv Chanana, page 13 of the filed PDF · View the filing
Gujarat plant capex committed: INR250 crores
p. 14
“we have already -- we have committed about INR250 crores for that particular unit, and we have already spent about INR112 crores from the rights issue and maybe some money from our own pocket.”
Rajiv Chanana, page 14 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
U.S. exports
stated conditionally by Rajiv Chanana
p. 7
“Number 1 is that reduction in U.S. tariff from 50% to 10%, we expect U.S. exports will increase.”
Rajiv Chanana, page 7 of the filed PDF · View the filing
Maruti Suzuki MPV EV launch — October '26
stated firmly by Rajiv Chanana
p. 7
“Maruti Suzuki is expected to launch another MPV, which is EV from Gujarat plant expected in October '26, and we expect that this will help us to increase our revenue and improve margins.”
Rajiv Chanana, page 7 of the filed PDF · View the filing
Brazil export volumes — 5 lakh units per annum
stated as an aspiration by Rajiv Chanana
p. 7
“And this volume will continue to grow up to maybe 5 lakh units, we expect this will grow.”
Rajiv Chanana, page 7 of the filed PDF · View the filing
CVJ market share — 15%
stated as an aspiration by Rajiv Chanana
p. 9
“We told in the last meeting is that our first-ever target is to touch about 15% market of CVJ.”
Rajiv Chanana, page 9 of the filed PDF · View the filing
Incremental sales next year — INR800 crores · next year
stated conditionally by Rajiv Chanana
p. 13
“So, we'll be talking about INR800 crores additional. You are saying INR1,000 crores, I'm saying conservative INR800 crores.”
Rajiv Chanana, page 13 of the filed PDF · View the filing
Capacity utilization — 100% · 1 to 1.5 years
stated conditionally by Rajiv Chanana
p. 12
“So, we expect that whatever capacities we have set up will be 100% utilized over the next 1 year or maybe 1.5 years, depending upon the market.”
Rajiv Chanana, page 12 of the filed PDF · View the filing
Gujarat plant capex — another INR100 crores · F'27
stated firmly by Rajiv Chanana
p. 14
“So maybe another INR100 crores for that location and then other normal capital expenditure.”
Rajiv Chanana, page 14 of the filed PDF · View the filing
Honda business recovery — INR100 crores business
stated conditionally by Rajiv Chanana
p. 11
“This business is expected to be around on the optimistic side, about 40,000 numbers, which Honda is planning. And this can be a INR100 crores business for us.”
Rajiv Chanana, page 11 of the filed PDF · View the filing
Fixed asset turnover ratio — upward of 3x
stated as an aspiration by Rajiv Chanana
p. 15
“And we hope that once these capacities are fully utilized, we should touch a reasonable level, which should be upward of 3x.”
Rajiv Chanana, page 15 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management attributed the decline to a negative product mix shift, a one-time forex accounting effect, higher power costs and U.S. tariffs, framing these as temporary and expecting improvement.
Answered by Rajiv Chanana
Asked by Tushar: What is driving the decline in gross margins over the last two years and how should margins trend going forward?
p. 6
“These 2 together costed 0.56% as a negative factor, which offset our improvement of 0.38%, which we achieved compared to the previous year. And therefore, there was a net negative impact of 0.18%.”
Rajiv Chanana, page 6 of the filed PDF · View the filing
Management said the new Toyota facility (in Maharashtra) is expected to begin in the first half of '29, not confirming the Bidadi expansion directly.
Answered by Rajiv Chanana
Asked by Tushar: Has Toyota's Bidadi plant third line already commenced?
p. 8
“The new facility in our understanding is set to begin in the first half of '29, which will increase their capacity to about 1 lakh vehicles per year.”
Rajiv Chanana, page 8 of the filed PDF · View the filing
Management said there is an aspiration to expand the driveline portfolio but no concrete plan yet, with focus first on stabilizing CVJ.
Answered by Rajiv Chanana
Asked by Tushar: Are there plans to expand into other driveline products beyond CVJ and hub unit bearings?
p. 9
“So our aspiration is to keep increasing our capacity in this particular segment and keep introducing more projects.”
Rajiv Chanana, page 9 of the filed PDF · View the filing
Management said INR300 crore was already added this year and estimated a further INR500 crore next year under a theoretical 10% market growth scenario, totaling about INR800 crore, declining to give a formal multi-year revenue guidance.
Answered by Rajiv Chanana
Asked by Aman Vora: What is the update on the previously guided INR1,000 crore revenue addition by FY27 and could revenue double in 3-4 years?
p. 13
“We got INR300 crores this year, INR500 crores next year. So, we'll be talking about INR800 crores additional.”
Rajiv Chanana, page 13 of the filed PDF · View the filing
Management indicated further Gujarat plant spend of about INR100 crore plus normal capex, lower than the prior two years' capex levels.
Answered by Rajiv Chanana
Asked by Aman Vora: What is the capex guidance for FY27?
p. 14
“It will not be as huge as we have done in the last 2 years. But yes, Gujarat is one location where we need to spend the money going forward over the next 1 or 2 years.”
Rajiv Chanana, page 14 of the filed PDF · View the filing
Management said CVJ margins are better than manual gear margins due to full localization.
Answered by Rajiv Chanana
Asked by Manan Poladia: How do CVJ margins compare to consolidated margins?
p. 16
“EBITDA margins are better than even most of the MS Gear product we have.”
Rajiv Chanana, page 16 of the filed PDF · View the filing
Risks flagged
Decline in Honda sales due to weak Honda passenger vehicle segment performance impacted product mix and margins.
p. 5
“The first reason was change in the product mix due to major decline in sales to Honda, which was about 33%, sale to Renault Nissan for the export models, which was about 16% and a small decline in Toyota also by about 4%.”
Rajiv Chanana, page 5 of the filed PDF · View the filing
U.S. reciprocal and penalty tariffs increased costs on exports.
p. 7
“you are aware about the U.S. tariff, the reciprocal tariff and penalty tariff, which U.S. imposed on our exports that costed us about INR63 million, which was 0.24%.”
Rajiv Chanana, page 7 of the filed PDF · View the filing
Foreign exchange accounting treatment created a one-time negative impact on material cost recognition.
p. 6
“So therefore, imports were booked at a slightly higher price, which costed us about INR62 million, 0.23%.”
Rajiv Chanana, page 6 of the filed PDF · View the filing
Increased power tariffs and power usage for new lines under trial raised manufacturing costs.
p. 6
“Manufacturing cost was higher by 0.1% -- this was mainly because of the power tariff change during the year.”
Rajiv Chanana, page 6 of the filed PDF · View the filing
Delay in SOP timelines for new Maruti Suzuki models reduced expected revenue contribution.
p. 11
“Still, this was not good enough because there was a huge delay in the SOP of these models.”
Rajiv Chanana, page 11 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.