ZF Commercial Vehicle Control Systems India (ZFCVINDIA) Q1 26/27 earnings summary

Executive summary

• Q1 FY 2026/2027 saw total income of INR 1,101.8 crore, up 5.7% year-over-year, with operational revenue growth of 9.3%.

• Unaudited standalone and consolidated financial results for the quarter ended 30 June 2026 were approved, showing continued growth in revenue and profitability year-over-year.

• Profit after tax was INR 104.5 crore, down 14.7% year-over-year, mainly due to absence of prior year FX gains and one-time income.

• Adjusted profit before tax (excluding FX and one-time items) grew 16.9% year-over-year.

• Appointment of Mr. Rakesh Mishra as Chief Financial Officer effective 1 September 2026 and Ms. C V Kavviya as Company Secretary and Compliance Officer effective 25 July 2026.

Financial highlights

• Consolidated revenue from operations for Q1 FY27 was ₹106,617.65 lakhs, up from ₹97,555.50 lakhs in Q1 FY26.

• Revenue from operations increased from INR 1,001.5 crore to INR 1,100.6 crore year-over-year.

• Export revenues grew 9.7% year-over-year to INR 271.4 crore, driven by new product launches and higher demand.

• Aftermarket sales reached INR 158.4 crore, up 15.6% year-over-year, with a record monthly sale in June 2026.

• Earnings per share (EPS) for Q1 FY27 (consolidated) was ₹9.18 (basic and diluted), adjusted for bonus shares.

Outlook and guidance

• Domestic commercial vehicle demand remains robust, with July-September production above typical seasonal levels.

• Export outlook is positive, especially in the U.S. and Europe, though geopolitical risks persist.

• Aftermarket and service exports expected to sustain current growth rates.

• The company continues to monitor regulatory developments, especially regarding new Labour Codes, and will assess future financial implications as guidance evolves.