NDR Auto Components Ltd

Meeting Details

• Date and time: August 24, 2026 at 11:00 AM.
• Mode: Virtual, one-on-one meeting.
• Organizer: Choice Institutional Equities.

Participants

• Key company participants: Executive Director and Company Secretary.

Purpose

• Purpose: Analyst/Investor meeting with Choice Institutional Equities.

Meeting Details

• Date and time: August 24, 2026 at 11:00 AM.
• Meeting type and mode: virtual one-on-one meeting.
• Organizer: Choice Institutional Equities.
• Purpose: Analyst/Investor meeting.
• Key company participants: Executive Director and Company Secretary.

Financial Performance

• Revenue for Q1 FY27: INR221.45 crore.
• EBITDA margin guided at 11%–12%.
• Consolidated JV loss (Hayashi) for the quarter: INR58 lakh.
• Bharat Seats JV profit share: INR1.78 crore.
• Order book as on June: INR650 crore.
• Capex guidance: INR40–50 crore annually for next 2 years.

Operations & Capacity

• Anantapur NDR Auto South plant inaugurated; SOP from Q2 FY27; production in 10–15 days.
• Debt-funded NDR South capex of INR23 crore; converted to equity.
• Ambient lighting orders to contribute from FY28.
• Sunshade business already started; revenue potential INR70–80 crore.
• Aurangabad plant timeline tied to Toyota; likely CY-2029 start.
• Asset turnover guidance: approximately 4x for INR150 crore capex.

Guidance & Outlook

• Target INR3,000 crore revenue by FY30; progress to be shared.
• Bharat Seats target around INR3,500 crore by FY30.
• Ambient lighting contribution expected from FY28.
• Hayashi JV break-even at INR100–150 crore revenue; losses expected in near term.
• Diversification: bidding with Toyota and Kia; non-Maruti ramp-up in 2–3 years.
• Capex guidance remains INR40–50 crore annually.

Q&A Highlights

• Order book around INR650 crore; additional bids in progress.
• NDR South revenue addition expected in Q2 FY27; plant ramp-up.
• NDR Hayashi break-even revenue guidance reiterated at INR100–150 crore.
• Non-seat products to contribute margin similar to seats; EV impact modest.
• Bharat Seats premiumization largely reflected in Bharat Seats; ROCE impact discussed.

Meeting Details

• Date: August 11, 2026; time not disclosed.
• Type/Mode: Analyst/Investor Conference Call, group virtual.

Participants

• Key company participants: Whole-time Director; Executive Director & Company Secretary; Chief Financial Officer; GM-Finance.

Purpose

• Discuss product categories and performance for the quarter ended June 30, 2026.

Recording

• Audio recording of the conference call uploaded on the company website.

Business Overview

• Core business: auto components and seating systems for passenger and commercial vehicles.
• Strategic initiatives include new JVs and capacity expansion to serve OEMs across India.
• 2030 vision targets Rs 3,000 crore revenue and ~35% ROCE.

Key Operational Highlights

• Order book stands at Rs 650 crore as of June 30, 2026.
• Ambient lighting order wins diversify the order book.
• NDR Hayashi Automotive India Pvt Ltd commences Bengaluru sunshade operations.
• South India plant inaugurated to cater to OEMs in the region.
• ESOPs approved for key NDR Auto Group employees.
• Outlook remains strong; focus on OEM relationships, new OEMs, disruptive offerings.

Financial Performance

• Revenue from operations rose 19.56% YoY to Rs 221.45 crore.
• Debt-free company; capex funded entirely through internal accruals.
• Q1 FY27 EBITDA margin 11.88%; up from 11.01% year-ago quarter.
• Profit before tax was Rs 21.10 crore; PAT Rs 16.40 crore.
• ROCE -35.34% as of June 30, 2026 (excluding non-productive land/surplus cash).

Capex & Investments

• Total expansion capex across projects: Rs 149.80 crore.
• Seat insert fabric at Manesar: Rs 21.89 crore; 6 million p.a. capacity.
• Seat trim & frames at Ananthpur: Rs 22.56 crore; 0.17 mn p.a. capacity.
• Ambient light, carpet, sun shades at Bengaluru: Rs 80.49 crore; sunshade produced.
• Seat latch at Pathredi: Rs 17.43 crore; Jan-27 SOP.
• Seat belt reminder system: Rs 7.43 crore; Jan-27 SOP.
• All capex funded via internal accruals.

JV & Partnerships

• Bharat Seats Limited (BSL) 28.66% equity held by NDR Auto Components.
• Toyota Boshoku Relan India Private Ltd (TBRI): 50% equity owned by NDR.
• Toyo Sharda India Private Limited (TSIL) JV for seat devices and frames.
• NDR Hayashi Automotive India Pvt Ltd formed in 2025 to manufacture interior/exterior components including ambient lighting.

Risks & Mitigation

• Macro and regulatory risks; forward-looking statements are non-guaranteed.
• Industry structure changes, tax/import duty changes, litigation, and labour relations.

Governance & Leadership

• Board includes Chairman Sanjiv Kapur and Co-Chairman Rohit Relan.
• Group CEO: Rajiv Arora; Group CFO: Vikram Rathi.
• ESOP grant approved for key employees.

Financial results approved

• Approved unaudited standalone and consolidated results for quarter ended 30 June 2026.
• Limited Review Report noted with no qualification.

ESOP grant approved

• Grant of 66,641 ESOPs to employees and Bharat Seats Limited; vesting after 2 years; exercisable for 5 years.

Investment in subsidiary

• Approved Rs 8 crore via Rights Issue for 80 lakh shares of NDR Auto Components South Private Limited.

Acquisition / related party funding

• Acquisition via Rights Issue of NDR Auto Components South Private Limited; wholly owned subsidiary; related party; arm's length.

Tax-related auditor emphasis

• Emphasis of matter on Income Tax Search; management expects favorable outcome; no modification.

Pranav Relan – Re-appointed Whole-time Director

• Re-appointment as Whole-time Director for 27 Oct 2026–26 Oct 2029.
• Approved by AGM; board recommended on 11 May 2026.
• Profile: Economics degree; Emory University; NISM Series VIII; automobile industry experience.
• Relationship: Father of Ayush Relan; brother of Rishabh Relan.
• Not debarred from directorship.

Ayush Relan – Re-appointed Whole-time Director

• Re-appointment as Whole-time Director for 2 Jan 2027–1 Jan 2030.
• Approved by AGM; board recommended on 11 May 2026.
• Profile: B.S. in Business Administration; Entrepreneurship & Marketing; automobile industry experience.
• Relationship: Son of Rohit Relan; brother of Pranav and Rishabh Relan.
• Not debarred from directorship.

Rajat Bhandari – Re-appointed Executive Director & Company Secretary

• Re-appointment as Executive Director & Company Secretary; Whole-time Director for 2 Jan 2027–1 Jan 2030.
• Approved by AGM; board recommended on 11 May 2026.
• Profile: Chartered Accountant and Company Secretary; 40 years in Indian automotive sector.
• Relationship: Nil.
• Not debarred from directorship.

AGM Details

• 7th AGM held on 27 July 2026; results declared after Scrutinizer report.

Resolutions & Outcomes

• Adoption of standalone and consolidated financial statements — Passed.
• Dividend of Rs 4 per equity share — Declared.
• Ayush Relan re-appointment as director (retiring by rotation) — Passed.
• Rajat Bhandari re-appointment as director (retiring by rotation) — Passed.
• Pranav Relan remuneration as Wholetime Director — Passed.
• Ayush Relan remuneration as Wholetime Director — Passed.
• Rajat Bhandari remuneration as Wholetime Director (Executive Director and Company Secretary) — Passed.