Amara Raja Energy & Mobility (500008) Q4 25/26 earnings summary

Executive summary

• Consolidated Q4 FY26 revenue reached INR 35,357 Mn, up 15.5% year-over-year, with 92% from lead-acid batteries and the remainder from new energy business.

• Domestic automotive OEM volumes grew over 30% in Q4, while aftermarket volumes rose 5%-6%.

• Tubular battery volumes surged over 35% in Q4, with a shift to in-house manufacturing.

• Export presence in 70+ countries, strong brand recall, and significant investments in new energy and recycling.

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

Financial highlights

• FY26 consolidated revenue grew 7.5% year-over-year to INR 13,814 crore; Q4 FY26 EBITDA margin was 10.9% and full-year margin 10.8%.

• FY26 PAT at INR 8,958 Mn (6.5% margin), down 5.2% year-over-year; Q4 FY26 PAT at INR 3,143 Mn (8.9% margin), up 94.5% year-over-year.

• Export revenue contributed 12% for the full year.

• Exceptional income in FY26 from insurance claim for a fire incident, offset by one-time gratuity cost.

• Earnings per share (EPS) for FY26 stood at INR 48.95 (consolidated).

Outlook and guidance

• Expecting mid to high single-digit growth in domestic automotive and industrial segments for FY27.

• Further price increases of 2%-3% may be needed to offset raw material cost inflation.

• CapEx planned at INR 1,500-1,700 crore for FY27, with INR 400 crore for lead-acid and INR 1,100-1,200 crore for new energy.

• New energy business to scale up with 16 GWh cell capacity and 5 GWh pack assembly by FY30.

• Board continues to monitor regulatory changes, including new labor codes, and will adjust accounting as needed.