Samvardhana Motherson International Limited (SAMIL), one of India's leading global automotive component manufacturers, has announced its financial results for the fiscal year 2024-25, culminating in a remarkable milestone as the company celebrates its 50th anniversary. The company reported its highest-ever consolidated revenue of Rs. 1,13,663 crores, marking a strong 15% growth over the previous year, showcasing its resilience and adaptability in a dynamic and often volatile global market.

Exceptional Performance Driven by Strategic Execution

Chairman Mr. Vivek Chaand Sehgal expressed pride in the company’s performance, underscoring the robust engineering and manufacturing capabilities that have enabled Motherson to meet evolving customer needs and position itself for long-term sustainable growth. Despite industry challenges, the company has outpaced the automotive sector by approximately 15%, demonstrating the strength of its business model.

One of the highlights for FY25 was the company’s success in integrating a record number of acquisitions — 23 in total — along with expanding into new industries beyond automotive, enhancing diversification and broadening its revenue base. This strategic approach not only strengthened its market presence but also contributed to a healthy free cash flow and improved financial leverage, reaching the lowest levels seen in the past five years.

Financial Highlights: Robust Growth and Stability

The fiscal year saw notable improvements in key financial metrics:

• EBITDA rose 17% to Rs. 10,877 crores, reflecting operational efficiency.

• Profit After Tax (PAT) surged by 40%, reaching Rs. 3,803 crores, signaling strong bottom-line growth.

• Return on Capital Employed (ROCE) stood at a healthy 17.2%, despite ongoing expansions and acquisitions.

• The net debt to EBITDA ratio was maintained at a comfortable 0.9x, indicating prudent financial management.

Capital expenditure (Capex) was strategically calibrated at Rs. 4,433 crores, focused on growth-oriented projects without compromising market adaptability. The company currently has 14 greenfield projects at various stages, with nine scheduled to start operations in FY26. This ongoing investment pipeline underlines Motherson’s commitment to future growth and capacity enhancement.

Diversification and Global Local Business Model

A significant contributor to Motherson’s success has been its diversification strategy and the adoption of a globally local business model. While the core automotive segment continues to be strong, the company has successfully expanded its footprint in non-automotive sectors, which now represent a growing portion of its booked business value — currently exceeding USD 88 billion.

This balanced approach provides resilience against sector-specific headwinds and enables the company to capitalize on emerging opportunities worldwide. Additionally, Motherson’s proactive stance on trade barriers — by ensuring compliance with US MCA (Miscellaneous Customs Adjustments) and engaging in positive customer discussions for tariff pass-through — has helped mitigate risks related to international trade policies.

Leadership and Team Effort Driving Success

Mr. Sehgal attributed the company's success to the dedication and hard work of the over 200,000-strong Motherson family, recognizing their role in achieving exceptional outcomes despite a challenging global economic environment. The Board also congratulated the entire team for their resilience and impeccable execution that sustained growth over the past five years.

Outlook: Positioned for a Bright Future

As Motherson steps into its 50th year, it is well-positioned for continued growth with a strong foundation built on innovation, diversification, and operational excellence. The ongoing greenfield projects, strategic acquisitions, and focus on expanding non-automotive business segments are expected to fuel future revenue and profitability.

The company’s disciplined financial management, combined with a clear growth strategy, ensures that it remains agile in the face of global uncertainties. The commitment to quality, customer satisfaction, and sustainability will continue to be core to Motherson’s approach as it strives to create long-term value for its stakeholders.

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