Sundaram Brake Linings Ltd

Sundaram Brake Linings Limited: Trading window closed from 01 October 2026 until 48 hours after the date of declaration of Unaudited Financial results for the quarter ending 30 September 2026

Board approval

• Board approves unaudited standalone financial results for quarter ended 30 June 2026.

Audit report

• Limited Review Report by statutory auditors with unmodified opinion attached.

Meeting timing

• Board meeting held 12:15 to 13:49 IST.

Financial results approved

• Unaudited standalone financial results for quarter ended 30 June 2026 approved.
• Limited Review Report with unmodified opinion issued by statutory auditors.

Board update and insider window

• Board to consider and approve unaudited Q1 FY27 results for quarter ended 30 June 2026.
• Board meeting scheduled for 08 August 2026.
• Trading window closed for promoters, directors and designated employees from 01-Jul-2026 to 12-Aug-2026.

AGM Details

• Date held: July 24, 2026; mode: VC/OAVM.
• Total shareholders on record date: 8,840.
• No physical attendees; 62 attendees via VC (Promoter 7; Public 55).

Key Resolutions and Outcomes

• Adoption of audited financial statements and reports—ordinary; passed.
• Declaration of dividend of Rs 0.65 per equity share—ordinary; passed.
• Re-appointment of Shripriya Mahesh Ramanan on rotation—ordinary; passed.
• Appointment of Shrikirti Mahesh as Director—ordinary; passed.

Dematerialisation processing and listing

• Securities received for dematerialisation were confirmed (accept/reject) to depositories and stock exchanges.
• Securities dematerialised have been listed on the stock exchanges.
• Security certificates received for dematerialisation were mutilated and cancelled after due verification.
• Depository name substituted as registered owner within 15 days.

Financial performance

• Revenue from operations: 34,465.22 lakhs; down from 35,221.30.
• PAT: 256.71 lakhs; EPS: 6.52; final dividend 0.65 per share.
• ROCE: 5.83%; net worth: 10,203.94 lakhs; debt-equity: 0.45.
• Cash flow: operating 2,137.21; investing -720.64; financing -1,416.20 lakhs.
• Net foreign exchange earnings: 12,152.03 lakhs; prior year 14,464.01.
• R&D spend: 657.05 lakhs; DSIR recognition valid to 31.03.2027.
• Debtors turnover: 78 days; inventory turnover: 7.0x; current ratio: 1.39.

Dividend and shareholder matters

• Final dividend Rs 0.65 per share; subject to AGM approval.
• Share capital unchanged at 39.34 crore; promoter holdings 63.94%.
• AGM on 24 July 2026 via VC/OAVM; book closure 18-24 July; record date 17 July.
• 39% of shares dematerialised; NSE fine of 3.28 lakh paid.

Operations and strategy

• Domestic turnover grew 9%; exports down 17% due to tariffs.
• New products: copper-free CV pads; lined shoe assemblies in NA & Australia.
• North American market shows good acceptance for premium CV pads.
• DSIR-recognised in-house R&D; 657.05 lakhs spent; 1.91% of turnover.
• Energy optimization: 86% renewable energy usage; target >75%.
• New niche: industrial/rail friction products; approvals received; supplies from Q2 2026.
• R&D outputs include copper-free pads, CFRP/GFRP components for EV/defense.

Governance and board changes

• Board size six; three independent; one executive.
• Sandhya Subramanyam retired Aug 2025; Rahul Agrawal appointed Aug 2025.
• Shripriya Mahesh Ramanan reappointed; Shrikirti Mahesh appointed May 2026.
• CFO changes: V. Srinivasan resigned Feb 9, 2026; Hari S appointed Mar 9, 2026.
• Company Secretary: J R Vishnu Varthan resigned Mar 18, 2026; Pradeep Kumar Nath appointed May 2026.
• NSE penalty of 3.28 lakh paid; BSE filing delay addressed.
• Independent directors met Mar 18, 2026; performance evaluation completed.

Capital structure and liquidity

• Borrowings: total 4,579.03; debt-equity 0.45.
• ICRA rating: BBB+ with Negative outlook; short-term A2.
• Demat shareholding: 98.39% of shares; top holders include promoter group.
• Top customers: Indian client 10,153.57 lakhs; overseas 3,455.29 lakhs.
• Total revenue from operations: 34,797.04 lakhs; two customers >10% of revenue.

R&D and technology

• DSIR-recognised R&D facility; 657.05 lakhs expenditure; 1.91% of turnover.
• Energy/production: process optimization; renewable energy usage; recycling initiatives.
• EV/defense focus: CFRP/GFRP components; zero-emission brake development.
• Renewable energy share: 86% of energy consumption.

Risks and outlook

• Tariffs and global trade policy remain key external risks; diversification ongoing.
• Indian automotive demand anticipated to grow in 2026-27; aftermarket expansion favorable.
• Raw material price volatility and supply-chain disruptions remain threats.
• Localization and China+1 strategies present domestic and international growth opportunities.

CSR and sustainability

• CSR expenditure: 8.19 lakhs; math training kits and solar lamps.
• CSR policy and CSR projects disclosed on company website.
• CSR committee chaired by Krishna Mahesh; members include Shripriya Ramanan and S Venkataraman.

Audit and internal controls

• Independent Auditor: Brahmayya & Co; no qualifications.
• Secretarial Auditor: no adverse remarks; NSE penalties disclosed.
• Internal financial controls adequate; quarterly reviews by Audit Committee.
• No frauds reported; going concern assumption maintained.