Sharda Motor Industries Ltd — Q1 FY27 earnings call
Summary generated by AI from the official transcript Sharda Motor Industries Ltd filed with BSE on 18 Aug 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
Sharda Motor Industries reported consolidated Q1 FY27 revenue of Rs 1,011.1 crores, up 34% year-on-year, while gross profit grew 8% to Rs 203.9 crores, impacted by a supplier fire at a key customer and one-time premium raw material procurement costs tied to geopolitical conditions. EBITDA came in at Rs 103.2 crores with a 10.2% margin, up 5% year-on-year, and profit after tax stood at Rs 86.5 crores. Management discussed progress on lightweighting, export orders, emission adjacencies, the Donghee technology partnership, and evolving regulatory frameworks including CAFE III, WLTP and BS7.
Numbers mentioned
Revenue: INR1,011.1 crores (Q1 FY27)
p. 4
“the company reported revenues of INR1,011.1 crores, representing year-on-year growth of 34%”
GD Takkar, page 4 of the filed PDF · View the filing
Gross profit: INR203.9 crores (Q1 FY27)
p. 4
“Gross profit for this quarter stood at INR203.9 crores, reflecting year-on-year growth of 8%”
GD Takkar, page 4 of the filed PDF · View the filing
EBITDA: INR103.2 crores (Q1 FY27)
p. 4
“EBITDA for quarter 1 came in at INR103.2 crores, reflecting year-on-year growth of 5% with EBITDA margins standing at 10.2% for the quarter”
GD Takkar, page 4 of the filed PDF · View the filing
Profit before tax: INR115 crores (Q1 FY27)
p. 4
“Profit before tax & before exceptional items stood at INR115 crores for the quarter after factoring in our share of profit from joint venture and associates”
GD Takkar, page 4 of the filed PDF · View the filing
Profit after tax: INR86.5 crores (Q1 FY27)
p. 4
“Profit after tax for this quarter stood at INR86.5 crores”
GD Takkar, page 4 of the filed PDF · View the filing
Domestic automobile production growth: 22% (Q1 FY27)
p. 3
“domestic automobile production increasing over 22% year-on-year to 93.6 lakh units”
GD Takkar, page 3 of the filed PDF · View the filing
Passenger vehicle production growth: 16.8% (Q1 FY27)
p. 3
“Passenger vehicle production grew by 16.8% year-on-year to 14.53 lakh units”
GD Takkar, page 3 of the filed PDF · View the filing
LCV production growth: 20.8% (Q1 FY27)
p. 3
“LCV segment also witnessed healthy momentum with production rising 20.8% year-on-year to 1.91 lakh units”
GD Takkar, page 3 of the filed PDF · View the filing
Suspension/lightweighting market share: 14% (FY26)
p. 9
“we have given the market share of 14% in the last financial year”
Ashwani Maheshwari, page 9 of the filed PDF · View the filing
North American export orders combined annual value: approximately US$10.7 million
p. 6
“Our previously announced 3 orders from a North American engine and genset manufacturer with a combined annual value of approximately US$10.7 million and a lifetime value of approximately US$58.5 million remain aligned to revised customer schedules”
Ashwani Maheshwari, page 6 of the filed PDF · View the filing
Uttarakhand facility investment: approximately INR20 crores
p. 6
“The project involves an investment of approximately INR20 crores and has been planned closer to customers' manufacturing location to improve logistics, responsiveness and JIT alignment”
Ashwani Maheshwari, page 6 of the filed PDF · View the filing
Patents filed: 24 total, 4 awarded (Q1 FY27)
p. 7
“This takes the total number of patents filing to 24 with 4 patents awarded”
Ashwani Maheshwari, page 7 of the filed PDF · View the filing
Integrated muffler market size: between INR60 crores to INR100 crores
p. 16
“The total market size in our estimate would be between INR60 crores to INR100 crores”
Ashwani Maheshwari, page 16 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.
North American export order SOPs — Q3 FY27 and Q4 FY27
stated firmly by Ashwani Maheshwari
p. 6
“SOPs are expected across Q3 FY27 and Q4 FY27.”
Ashwani Maheshwari, page 6 of the filed PDF · View the filing
Lightweighting portfolio market size — between INR8,000 crores to INR9,000 crores · around 5 years from now
stated as an aspiration by Ashwani Maheshwari
p. 13
“Our internal assessment on this portfolio is around 5 years from now, it can be between INR8,000 crores to INR9,000 crores.”
Ashwani Maheshwari, page 13 of the filed PDF · View the filing
Share of lightweighting portfolio — mid-teen to high-teen percentage share
stated as an aspiration by Ashwani Maheshwari
p. 13
“And we firmly believe that we can actually build a mid-teen to high-teen percentage share in that portfolio.”
Ashwani Maheshwari, page 13 of the filed PDF · View the filing
Suspension/lightweighting market share
stated conditionally by Ashwani Maheshwari
p. 9
“With the SOPs and what visibility we have, which we see now happening even in the third quarter, this market share will certainly go up.”
Ashwani Maheshwari, page 9 of the filed PDF · View the filing
One-time cost normalization — coming quarter
stated conditionally by Ashwani Maheshwari
p. 11
“Now these onetime costs which are incurred will normalize over the coming quarter.”
Ashwani Maheshwari, page 11 of the filed PDF · View the filing
Purem JV program ramp-up — during the course of FY27
stated firmly by GD Takkar
p. 16
“that program is concerned, it started in Q4 last year and it will gradually ramp up during the course of FY27.”
GD Takkar, page 16 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 said SOPs are on schedule but declined to quantify revenue by year since it depends on customer schedules.
Answered by Ashwani Maheshwari
Asked by Preet: How much revenue can be expected from the announced export orders in FY27 and FY28?
p. 9
“Now classifying into how much would happen in various months would completely depend upon the customer schedules.”
Ashwani Maheshwari, page 9 of the filed PDF · View the filing
Management said steel prices are pass-through with no lag, aluminium has no relevance, and only a small one-time premium RM procurement cost was absorbed.
Answered by Ashwani Maheshwari
Asked by Preet: What was the impact of steel and aluminium price increases on gross profit this quarter?
p. 11
“there is also onetime premium freight or premium price RM procurement, which has been absorbed by us to ensure a smooth supply chain”
Ashwani Maheshwari, page 11 of the filed PDF · View the filing
Management said there is no lag on steel prices and no material under-recovery, aside from limited one-time premium freight costs.
Answered by GD Takkar
Asked by Sonal Gupta: Is there a real under-recovery from raw material price lags given catalyst and steel are back-to-back?
p. 12
“No, absolutely not. This is what I said. The only limited impact was the premium freight on RM procurement to ensure smooth supplies because of the geopolitical situation.”
GD Takkar, page 12 of the filed PDF · View the filing
Management explained the addressable market growth (net of Japanese OEM exposure and a supplier fire) was 8-10%, matching the company's growth, and cited three growth drivers going forward.
Answered by GD Takkar
Asked by Sonal Gupta: Why has growth lagged the industry and when will it catch up?
p. 12
“So, if I net of all of this, the growth of the industry, which we can serve was close to 8% to 10%. And our growth is at 8%, which is net of these premium freight adjustments also.”
GD Takkar, page 12 of the filed PDF · View the filing
Management said they showcased products to OEMs and generated RFQ opportunities but did not disclose signed customers.
Answered by Ashwani Maheshwari
Asked by Sonal Gupta: Have customers been signed for Donghee TLA products?
p. 13
“Now this has strengthened our discussions and generated RFQ opportunities across multiple product platforms.”
Ashwani Maheshwari, page 13 of the filed PDF · View the filing
Management said engagement with the JV is a continuous process rather than tied to a single regulatory milestone.
Answered by GD Takkar
Asked by Manprit Arora: When will the Purem JV see an inflection point, and is BS7 the trigger?
p. 16
“It's a continuous process. It's a continuous process and as and when something develops, we will update.”
GD Takkar, page 16 of the filed PDF · View the filing
Management estimated the total market at Rs 60-100 crores and described it as normal business development rather than a distinct tracked opportunity.
Answered by Ashwani Maheshwari
Asked by Manprit Arora: What is the market size for integrated mufflers arising from TREM changes?
p. 16
“The total market size in our estimate would be between INR60 crores to INR100 crores.”
Ashwani Maheshwari, page 16 of the filed PDF · View the filing
Risks flagged
Geopolitical conditions causing premium raw material procurement costs
p. 4
“onetime impact due to premium RM procurement on account of geopolitical situation”
GD Takkar, page 4 of the filed PDF · View the filing
Production impact from a supplier fire at a key customer
p. 4
“our gross profit growth was 8% as above due to production impact arising out of a supplier fire at one of our key customers”
GD Takkar, page 4 of the filed PDF · View the filing
Evolving geopolitical conditions affecting the operating environment
p. 4
“we remain mindful of certain risks arising out of evolving geopolitical conditions”
GD Takkar, page 4 of the filed PDF · View the filing
Uncertain global business environment from trade dynamics and macroeconomic volatility
p. 4
“the global business environment continues to remain uncertain with geopolitical developments, evolving trade dynamics and macroeconomic volatility influencing markets across regions”
Ashwani Maheshwari, page 4 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.