Sundram Fasteners posts 14% Q1 profit growth; earmarks ₹400 crore capex

Auto components maker reports 20 per cent revenue growth in Q1FY27 and plans fresh investments to expand capacity across automotive, aerospace, wind energy and defence

Auto parts major Sundram Fasteners posted a consolidated net profit of Rs 168.69 crore during the first quarter of the current financial year, compared with Rs 147.94 crore for the same period last year, registering growth of 14 per cent.

 

The company’s consolidated revenue from operations for the quarter ended June 30, 2026, stood at Rs 1,846.07 crore, compared with Rs 1,533.39 crore during the same period last year, registering growth of 20 per cent. Consolidated earnings per share (EPS) for the quarter ended June 30, 2026, amounted to Rs 8.01.

 

Arathi Krishna, Managing Director, Sundram Fasteners Ltd, said, “We have entered the new financial year on a strong footing, buoyed by improving business conditions across key markets and the enduring confidence of our customers. Despite a dynamic global environment, we are encouraged by the steady recovery in export demand and the continued resilience of domestic markets."

 

 

To drive long-term growth, the company has earmarked capital expenditure of Rs 400 crore towards capacity expansion initiatives. These investments are expected to significantly enhance the company's capabilities to address increasing customer requirements across various segments, including internal combustion engine vehicles (ICEVs), plug-in hybrid electric vehicles (PHEVs), and electric vehicles (EVs).

 

Within the Fasteners Division, an investment of approximately Rs 250 crore is proposed to strengthen the company's presence in the growing wind energy sector, as well as the space and aerospace industries. In addition, the company plans to invest approximately Rs 100 crore in the Cast and Machined Assemblies business to augment its capabilities in the manufacture of high-value precision-engineered assemblies.

 

Collectively, these investments reflect the company's strategic focus on expanding into adjacent product categories, enhancing its technological capabilities, and developing diversified revenue streams across the automotive, industrial, renewable energy and emerging mobility sectors, it said.

 

"Our continued investments in technology, manufacturing excellence and customer partnerships have enabled us to respond with agility to evolving market requirements. We are also making steady progress in expanding our presence across high-potential non-automotive sectors such as aerospace, wind energy, railways and defence, which will further strengthen the resilience and diversity of our business. As we move through the year, we remain focused on operational excellence, prudent capital allocation and creating long-term value for all our stakeholders," Krishna added.