REMSONSIND - Remsons Ind

📊 NSE: REMSONSIND 🏢 Auto Ancillaries 📅 Last Updated: 12/14/2025 11:49

💰 Financial Performance

Revenue Growth by Segment

Consolidated revenue grew 20.4% YoY to INR 379.86 Cr in FY25. Q2 FY26 revenue grew 27% YoY to INR 115.5 Cr. Segments include 2-Wheelers, 3-Wheelers, Passenger Cars, LCV, HCV, Farm, and Railways.

Geographic Revenue Split

Global presence in Italy, Germany, Spain, UK, USA, and Asia. Export realizations are a key driver for the 77% EBITDA growth in Q2 FY26.

Profitability Margins

Consolidated Net Profit Margin was 3.82% in FY25, down 10% from 4.26% in FY24. Standalone PAT margin was 3.98% in FY25.

EBITDA Margin

Consolidated EBITDA margin was 10.7% in FY25 (INR 40.63 Cr). Q2 FY26 EBITDA margin improved to 11%, marking a 77% increase in absolute EBITDA to INR 13.3 Cr.

Capital Expenditure

Planned investment of INR 100 Cr over the next three years to support the 3X revenue jump target and capacity expansion.

Credit Rating & Borrowing

Upgraded to CRISIL BBB+/Stable/A2 from BBB/Stable/A3+. Total outside liabilities to adjusted networth (TOLANW) stood at 1.58 times as of March 31, 2025.

⚙️ Operational Drivers

Raw Materials

Not specifically disclosed in available documents, but described as an engineering-driven, backward-integrated precision solutions provider for cables and shifters.

Capacity Expansion

Identified an additional 80,000 sq. ft. of property in the National Capital Region (NCR) to bolster manufacturing and operational capacity.

Manufacturing Efficiency

Operating margins improved to over 10% in FY25 due to better fixed cost absorption and higher export sales.

📈 Strategic Growth

Expected Growth Rate

20%

Growth Strategy

Achieving 20% CAGR to reach INR 900-1,000 Cr by FY29 through expansion into the Railways sector, increasing high-margin product mix (Next Gen products), and geographic expansion. The company is adding 80,000 sq. ft. of capacity in NCR and pursuing growth via JVs, collaborations, and acquisitions.

Products & Services

Control cables, gear shifters, winches, pedal boxes, and handle bar assemblies.

Brand Portfolio

Remsons.

New Products/Services

Diversifying into the Railways sector and expanding product offerings to Next Gen mobility solutions.

Market Expansion

Expanding presence in domestic and export markets, specifically targeting adjacent mobility and non-automotive sectors.

Market Share & Ranking

Established market position in the automobile cables industry; specific ranking not disclosed.

Strategic Alliances

Growth strategy includes accelerating the journey via JVs, collaborations, and acquisitions.

🌍 External Factors

Industry Trends

Shift towards electrification (EV agnostic portfolio), premiumisation, and localisation. The industry is evolving towards high-value precision components.

Competitive Landscape

Caters to a broad base of OEMs and dealers in India and the UK, competing in both domestic and international arenas.

Competitive Moat

Established market position in the automobile cables industry with a strong customer base of major OEMs. The portfolio is EV agnostic, ensuring sustainability during the ICE to EV transition.

Macro Economic Sensitivity

Performance is linked to overall economic trends and the prospects of the automotive industry.

Consumer Behavior

Driven by increasing customer demand for premium and localized automotive components.

Geopolitical Risks

Rising geopolitical challenges are noted as a risk, though the business model has shown resilience.

⚖️ Regulatory & Governance

Industry Regulations

Compliance with SEBI Listing Obligations and Disclosure Requirements (LODR) 2015 and Section 177 of the Companies Act 2013 for audit committee oversight.