Synopsis: Shares of this auto ancillary stock are in focus after strong Q4 results, with revenue up 52% YoY. Growth was driven by diversified segments, particularly the rising contribution from non-automotive and EV-linked businesses.
The shares of this company are engaged in designing, manufacturing and supplying engineered automotive systems and components such as differential assemblies, gears, conventional, and etc are in the spotlight after it reported Q4 results with 36 percent profit growth.
With a market capitalisation of Rs. 37,708 cr, the shares of Sona BLW Precision Forgings Ltdclosed at Rs. 606.40 per share, up from its previous close of Rs. 599.30 per share. The stock has delivered a 22% return over the past year, gained 28% year-to-date, risen 26% in the last six months, and added 22% in the past month.
Q4 Results
YoY performance
The company reported strong year-on-year growth, with revenue rising 52% to Rs. 1,172 crore from Rs. 770 crore. EBITDA increased 33% to Rs. 285 crore from Rs. 215 crore, while net profit grew 36% to Rs. 207 crore from Rs. 152 crore. EPS also improved 36% to Rs. 3.33 from Rs. 2.44, reflecting robust operational and earnings performance.
QoQ Performance
On a sequential basis, revenue grew 4% from Rs. 1,128 crore to Rs. 1,172 crore. However, EBITDA declined 2% from Rs. 292 crore to Rs. 285 crore, while net profit surged 35% from Rs. 153 crore to Rs. 207 crore. EPS rose 35% from Rs. 2.46 to Rs. 3.33, indicating strong bottom-line expansion despite marginal margin pressure.
Geography and Market Segment revenue mix
Sona BLW Precision Forgings Ltd has demonstrated a well-diversified revenue mix across geographies, products, and market segments in FY26. Geographically, India’s contribution increased significantly to 51% in FY26 from 29% in FY25, indicating strong domestic growth, while North America’s share declined from 41% to 27%. Europe and Asia (excluding India) also saw a moderation in contribution, reflecting a shift toward the domestic market.
By market segment, the mix has evolved notably. The passenger vehicle (PV) segment declined from 71% to 49%, while the non-automotive segment surged from 9% to 31%, highlighting diversification beyond the core auto business. Meanwhile, the E2W/E3W segment increased from 8% to 10%, indicating rising exposure to electric mobility, while CV and semiconductor-related segments remained relatively stable.
Product Mix
Sona BLW Precision Forgings Ltd has a diversified product-wise revenue mix, with some notable shifts from FY25 to FY26. In FY25, differential gears (29%) and differential assemblies (27%) were the largest contributors, followed by micro plug-in hybrid starter motors (21%). Other segments included traction & suspension motors (9%), conventional starter motors (9%), and smaller contributions from sensors, software, and others.
In FY26, product-wise revenue mix reflects a well-diversified portfolio led by core driveline components. Differential gears contributed the highest share at 22%, followed by differential assemblies (17%) and micro/plug-in hybrid starter motors (16%), together forming a significant portion of revenues.
Among emerging and mobility-focused segments, traction & suspension motors and others contributed 11% each, while railway-brake systems accounted for 10%. The remaining mix included conventional starter motors (7%), railway suspension & coupler (4%), and sensors and software (2%), indicating gradual expansion into EV and technology-driven segments.
Order Book
It reported a net order book of Rs. 23,700 crore at the end of Q4 FY26, up from Rs. 23,500 crore at the end of Q3 FY26. During the quarter, the company consumed orders worth Rs. 1,200 crore from matured and ramped-up programs, while it added fresh orders worth Rs. 1,400 crore, leading to a net increase in the overall order book.
The order book remains heavily tilted towards electric vehicle (EV) programs, which account for Rs. 16,600 crore (70%) of the total. Meanwhile, the non-EV segment contributes Rs. 5,800 crore (24%), and the railway segment adds Rs. 1,300 crore (5%), indicating strong diversification across mobility and industrial segments.
Within the order book, the passenger vehicle (PV) segment holds the largest share, followed by 2W & 3W and commercial vehicle/off-highway (CV & OHV) segments. On the non-EV side, contributions are spread across PV, CV, and OHV, while the railway business continues to form a smaller but stable portion of the overall pipeline.
Sona BLW Precision Forgings Ltd is an India-based automotive technology company that designs and manufactures high-precision components and systems for both conventional and electric vehicles. The company supplies products such as differential gears, traction motors, and drive systems to global automobile manufacturers, with a strong presence across India, North America, Europe, and Asia.
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The post ₹23,700 Cr Order Book: Auto Ancillary Stock With 52% YoY Revenue Growth To Look Out For appeared first on Trade Brains.
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