Samvardhana Motherson Q3 Results: Net profit jumps 55.4%YoY to ₹984.35 crore; total income up over 8%
Samvardhana Motherson reported a 55.4% YoY increase in Q3FY25 net profit, reaching ₹984.35 crore. Total income rose 8% to ₹27,777 crore, although revenue dipped slightly by 1% QoQ from the previous quarter.
Samvardhana Motherson announced its results for the quarter ended December 2024 (Q3FY25) on Friday, February 14.
The company’s consolidated net profit surged 55.4 percent year-on-year (YoY) to ₹984.35 crore from ₹633.30 crore in Q3FY24. Sequentially, profit rose marginally, almost 4 percent from ₹949 crore in the previous quarter (Q2FY25).
Total income for the quarter stood at ₹27,777 crore, an over 8 percent increase from ₹25,644 crore in the same period last year. However, on a quarter-on-quarter (QoQ) basis, revenue declined marginally, 1 percent from ₹28,071 crore in Q2FY25.
Management commentary
Commenting on the results, Mr. Vivek Chaand Sehgal, Chairman, Motherson said, “Our performance demonstrates the resilience and adaptability of our diversified business model. Our engineering, manufacturing and assembly capabilities will help us navigate challenges while delivering future growth. I am pleased to announce that our first plant for the consumer electronics business has been operationalised during the quarter, which will further strengthen our non-automotive businesses. We remain focused on maintaining a strong balance sheet with control on capex and leverage ratio.”
Other Highlights
Despite a decline in global automotive production, the company delivered year-on-year growth in revenues and profitability, driven by its diversified business model. Its first plant for the consumer electronics segment became operational in Q3 FY25 and is currently ramping up, while two additional plants remain on track for SOPs in FY26 and FY27.
The company continued its deleveraging efforts, bringing leverage down to 0.9x, marking its strongest balance sheet in recent years—positioning it well for future growth and insulating it against market volatilities.
Capital expenditure was controlled in alignment with evolving market conditions, with capex guidance further reduced by ₹500 crore to ₹4,500 crore +/- 5%. Additionally, two strategic acquisitions—Atsumitec and Baldi Auto—were announced during the quarter to enhance diversification and vertical integration.
The company also formed two new joint ventures with Japan-based Sanko and Matsui to strengthen its packaging business under the logistics solutions division and expand its capabilities in process and industrial automation. Further solidifying its position in the aerospace sector, the company has been empaneled across Airbus' product portfolio, becoming a Tier-1 supplier for Airbus Commercial aircraft, adding to its existing Tier-1 status for helicopters and space programs.
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