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Sona BLW Precision Forgings (SONACOMS) investor relations material
Sona BLW Precision Forgings Q2 25/26 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Achieved record quarterly and half-year revenue and profit, with Q2 FY26 revenue up 24% year-over-year to ₹11,435 million and H1 FY26 revenue up 10% to ₹19,944 million, driven by strong performance in railway, off-highway, and electric two-wheeler segments.
BEV revenue declined 17% in Q2 and 21% in H1, but BEV share in automotive product revenue remained significant at 32% and 30% respectively.
The first full quarter of railway revenue post-acquisition contributed to overall growth, with the railway segment contributing INR 13 billion in orders.
Benefited from competitor insolvencies in Europe, leading to increased customer inquiries and potential new orders.
Diversification across products, geographies, and customers supported resilience amid global disruptions and supply chain challenges.
Financial highlights
Q2 FY26 EBITDA margin was 25.3%, down 2.3% year-over-year due to adverse operating leverage and product mix; PAT margin was 14.9%, down 0.6%.
H1 FY26 EBITDA margin was 24.6%, down 3.2% year-over-year; PAT margin was 14.6%, down 1.1%.
Consolidated profit before tax for H1 was ₹3,927.97 million, up from ₹3,806.53 million year-over-year.
Free cash flow from operations in H1 FY26 was ₹1,427 million.
Earnings per share (basic and diluted) for the half year were ₹4.78.
Outlook and guidance
Net order book at end of Q2 FY26 stands at ₹236 billion, 70% from EV programs, with 62 EV programs awarded across 32 customers.
New vehicle models and customers added, with significant lifetime value contracts starting production in Q2 FY27.
Expect return ratios (ROE, ROCE) to improve as cash is invested in growth initiatives.
Suspension system and robotics partnerships expected to contribute meaningfully over a 5–10 year horizon.
Management expects continued integration of the newly acquired railway business to drive future growth.
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