ZF Commercial Vehicle Control Systems India (ZFCVINDIA) Q4 25/26 earnings summary

Executive summary

• Achieved record revenue and profit for Q4 and FY 2025-26, driven by strong domestic demand, new product launches, and successful OE and aftermarket growth.

• Audited standalone and consolidated financial results for the quarter and year ended 31 March 2026 were approved, with unmodified audit opinions.

• Navigated supply chain and commodity headwinds, especially in aluminum, while maintaining operational excellence and sustainability initiatives.

• Board approved first-ever bonus share issue (5:1) and recommended a final dividend of INR 4 per share post-bonus, subject to approvals.

• Investment of INR 30 crore in the wholly owned subsidiary ZF CV Control Systems Manufacturing India Private Limited via a rights issue of preference shares.

Financial highlights

• Q4 FY26 revenue: INR 1,197 crore (+15.2% YoY); PAT: INR 146.3 crore (+15.5% YoY).

• FY26 consolidated revenue: INR 4,118.94 crore (+7.5% YoY); consolidated PAT: INR 517.15 crore (+12.3% YoY).

• Standalone revenue for FY26: INR 4,055.48 crore; standalone PAT: INR 501.61 crore.

• Q4 margin declined 230 bps QoQ due to higher material and employee costs; no one-time costs.

• Earnings per share (EPS) for FY26: Standalone INR 267.13, Consolidated INR 272.65.

Outlook and guidance

• FY27 margin expected to be flattish with slight growth; macroeconomic caution due to Middle East conflict and commodity volatility.

• Board continues to monitor regulatory changes, especially new Labour Codes, and will assess further financial implications.

• Continued focus on regulatory-driven product launches, electrification, and safety technologies.

• CapEx planned at INR 180–190 crore for FY27, mainly for new products and upgrades.