Amara Raja Energy & Mobility (500008) Q1 26/27 earnings summary

Executive summary

• Consolidated revenue grew 24% year-over-year to INR 4,215 crores, with 95% from lead-acid business (up 22%) and new energy business up over 70% to INR 209 crores.

• Four-wheeler and two-wheeler aftermarket volumes rose 15%; OEM volumes up 24% (four-wheeler) and 35% (two-wheeler) year-over-year.

• Name change in 2023 reflects a broader vision to lead India's energy transition, with a focus on comprehensive energy and mobility solutions.

• Forayed into the New Energy business in 2022, with significant capex for Giga Corridor and advanced cell technologies.

• Unaudited standalone and consolidated financial results for the quarter ended June 30, 2026, were approved by the Board on August 10, 2026.

Financial highlights

• Q1 FY27 consolidated revenue rose 23.9% year-over-year to INR 42,145 Mn; EBITDA up 11.7% to INR 4,059 Mn; PAT up 15.8% to INR 1,909 Mn.

• Standalone EBITDA margin at 10.1%, consolidated margin at 9.6%, impacted by higher material costs and increased brand promotion and strategic investments.

• Margin dilution of 0.9% due to strategic initiatives and brand investments, including IPL sponsorship and Amaron Assist pilot.

• Standalone revenue from operations reached ₹4,041.44 crore, up from ₹3,349.92 crore year-over-year.

• Earnings per share (consolidated) stood at ₹10.43, up from ₹9.00 year-over-year.

Outlook and guidance

• New Energy business to scale with 16 GWh cell capacity by FY30 and 10 GWh BESS Giga facility under construction.

• Further price hikes of 2-3% planned to offset raw material cost increases.

• Lead-acid battery business expected to achieve 9-10% revenue growth in the medium term, with volume growth of 7-8% for four-wheelers and low double digits for two-wheelers.

• BESS plant expected to ramp up to 5 GWh utilization within six months of commissioning, with strong domestic order visibility.

• Customer Qualification Plant commissioned in July 2026; E+ve plant commercialization expected in Q2 FY27.