Tenneco Clean Air India (TENNIND) Q2 26/27 earnings summary

Executive summary

• Q2 and H1 FY 2027 delivered broad-based growth, market-share gains, customer wins and technology launches; Q2 VAR rose 32.2% and H1 VAR rose 25.3%.

• Lifetime order book reached ~INR 165,000 million, including INR 8,750 million in export orders, and covered more than 100% of the FY 2030 revenue target.

• Standalone and consolidated interim results received limited reviews; auditors reported no matter indicating material misstatement or disclosure non-compliance.

Financial highlights

• Q2 consolidated revenue was INR 17,183.41 million, up 34.2% YoY; VAR rose 32.2% to INR 15,229 million.

• H1 consolidated revenue was INR 32,630.94 million, up 27.2% YoY; VAR rose 25.3% to INR 29,044 million.

• Q2 EBITDA increased 20.7% to INR 2,616 million; margin was 17.2% of VAR, down 165 bps YoY.

• H1 EBITDA rose 14.1% to INR 5,085 million; margin was 17.5% of VAR, down 172 bps YoY.

• Q2 net profit was INR 1,733.58 million, up 15.0%; H1 was INR 3,385.94 million, up 6.2%.

Outlook and guidance

• The ~INR 165,000 million order book covers more than 100% of the FY 2030 revenue target and supports a healthy double-digit growth trajectory through FY 2030.

• FY 2027 CapEx guidance remains INR 350–450 crore; close to INR 120 crore was invested by September-end, on track against guidance.

• New Clean Air North India facility is expected to begin SOP around March 2027; ART West India around July 2027; Clean Air West India around September 2027.

• Management expects Clean Air and Powertrain growth across domestic and export markets, but gave no specific growth forecast.