Latest news with #EnduranceTechnologies
Business Standard
4 days ago
- Automotive
- Business Standard
Endurance Tech gains after Q1 PAT climbs 11% YoY to Rs 226 cr
Endurance Technologies added 2.78% to Rs 2601.20 after the company's consolidated net profit jumped 11.03% to Rs 226.35 crore on 17.46% increase in revenue from operations to Rs 3,318.89 crore in Q1 FY26 over Q1 FY25. Profit before tax (PBT) jumped 12.54% YoY to Rs 301.57 crore in Q1 FY26. EBITDA was at Rs 479.5 crore during the quarter, recording the growth of 17.5% compared with Rs 408 crore posted in same quarter last year. EBITDA margin remained unchanged at 14.3% in Q1 FY26 over Q1 FY25. Anurang Jain, managing director, Endurance Technologies, said: Two-wheeler sales volumes of Indian OEMs in Q1FY26 stood at 5.8 million units, a YoY decline of 1.6%. Our standalone business topline has again fared better with a growth of 10.1 %. Our European operations topline has grown 28.5% in Euro terms. Even if we remove the impact of the Stoferle acquisition, our Total Income grew 0.6% despite the European new car registrations declining 1.8%. Businesses worldwide are currently facing uncertainties with regard to trade barriers, rare earth magnet supplies, inflation and end-user demand. Very recently, challenges faced included the pandemic, wars, chip shortages and energy price hikes. Individual businesses like ours cannot change the course of these events. We instead focus on building strength and diversity in our own business. Today, we serve multiple OEMs across India and Europe. Our products go into ICE and electric vehicles. In India, we are strong in 2-wheeler and 3-wheeler end use, and are focused on growing our presence in 4-wheeler segment, which is already our area of strength in Europe. We are also adding new products to our portfolio. While the markets look indecisive, we have maintained a sharp focus on ensuring that we remain on the path of profitable growth. Our overseas subsidiary has completed the acquisition of Stoferle entities. In India, we are in different stages of planning and construction of five manufacturing facilities - Shendra Castings, Bidkin Alloy Wheels, Battery Pack, Brakes expansion and Forgings expansion. The recent announcement mandating Anti-Lock Braking systems in all 2-wheelers provides further tailwind to our growth plans." Endurance Technologies is one of the leading automotive component manufacturers, offering a diverse range of technology-driven products with operations in India and Europe (Italy and Germany). In India, the company predominantly caters to two and three-wheeler OEMs, with products including aluminium castings, suspensions, transmissions, braking, and battery management systems. In Europe, it supplies aluminium castings to four-wheeler OEMs and also serves the aftermarket for two-wheeler components.
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Business Standard
4 days ago
- Automotive
- Business Standard
Endurance Technologies share rises 5% after Q1 results; key numbers here
Endurance Technologies share price: Endurance Technologies shares were in demand in a volatile session, with the scrip rising up to 5.25 per cent to an intraday high of ₹2,663.95 per share on Thursday, August 14, 2025. Around 1:20 PM, Endurance Technologies shares were trading 3.04 per cent higher at ₹2,607.85 per share. In comparison, BSE Sensex was trading 0.17 per cent higher at 80,673.12 levels. Why did Endurance Technologies share price rise today? Endurance Technologies share price rose on the back of a strong result in the June quarter of financial year 2026 (Q1FY26). The company's consolidated total income, including other income, rose 17.3 per cent year-on-year (Y-o-Y) to ₹3,354.5 crore from ₹2,859.4 crore in Q1FY25. Ebitda increased 17.5 per cent to ₹479.5 crore, maintaining a stable margin of 14.3 per cent versus 14.3 per cent last year. Profit before tax (PBT) grew 12.5 per cent Y-o-Y to ₹301.6 crore, both before and after exceptional items. Profit after tax (PAT) before minority interest rose 11 per cent to ₹226.4 crore, with the PAT margin slightly declining to 6.7 per cent from 7.1 per cent in the same quarter last year. Anurang Jain, managing director of the company said, "Two-wheeler sales volumes of Indian OEMs in Q1FY26 stood at 5.8 million units, a Y-o-Y decline of 1.6 per cent. Our standalone business topline has again fared better with a growth of 10.1 per cent. Our European operations topline has grown 28.5 per cent in Euro terms. Even if we remove the impact of the Stoferle acquisition, our Total Income grew 0.6 per cent despite the European new car registrations declining 1.8 per cent.' Jain added, 'Businesses worldwide are currently facing uncertainties with regard to trade barriers, rare earth magnet supplies, inflation and end-user demand. Very recently, challenges faced included the pandemic, wars, chip shortages and energy price hikes. Individual businesses like ours cannot change the course of these events. We instead focus on building strength and diversity in our own business. Today, we serve multiple OEMs across India and Europe. Our products go into ICE and electric vehicles. In India, we are strong in 2-wheeler and 3-wheeler end use, and are focused on growing our presence in the 4-wheeler segment, which is already our area of strength in Europe. We are also adding new products to our portfolio. While the markets look indecisive, we have maintained a sharp focus on ensuring that we remain on the path of profitable growth. Our overseas subsidiary has completed the acquisition of Stoferle entities. In India, we are in different stages of planning and construction of five manufacturing facilities - Shendra Castings, Bidkin Alloy Wheels, Battery Pack, Brakes expansion and Forgings expansion. The recent announcement mandating Anti-Lock Braking systems in all 2-wheelers provides further tailwind to our growth plans." About Endurance Technologies Endurance Technologies is among the leading automotive component manufacturers with a strong presence in India and Europe (Italy and Germany). In India, it primarily serves two- and three-wheeler OEMs, offering a wide range of products including aluminium castings, suspensions, transmissions, braking systems, and battery management solutions. In Europe, the company supplies aluminium castings to four-wheeler OEMs and supports the two-wheeler aftermarket. As a full-service solutions provider, Endurance partners with customers across the entire product lifecycle – from concept to end-user delivery – and also caters to the replacement market. The company operates 33 plants globally, with 19 in India, five in Germany, and nine in Italy, supported by an in-house tool room, a 29-acre proving ground, five DSIR-approved R&D facilities in India, and two technical centres in Italy.
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Business Standard
01-07-2025
- Automotive
- Business Standard
Endurance stock nears record high. What's driving 95% rally from April low?
Endurance Technologies share price: Shares of Endurance Technologies hit a 52-week high of ₹3,029.85, surging 9 per cent on the BSE in Tuesday's intra-day trade amid heavy volumes on a healthy business outlook. In the past week, the stock has rallied 21 per cent, as compared to a 1 per cent gain in the BSE Sensex. The market price of the auto ancillary company has bounced back 95 per cent from its 52-week low of ₹1,555.65 touched on April 7, 2025. The stock surpassed its previous high of ₹2,816.90, which it had on July 5, 2024. It hit a record high of ₹3,059.05 on June 14, 2024. Track LIVE Stock Market Updates Here What's driving Endurance share price? The current movement in the company's share price is solely influenced by broader market dynamics and driven by market news, which are beyond the Company's control, Endurance had said on June 25 in clarification of share price movement. According to media sources, the Indian government has approved a new mandate requiring all new two-wheelers -- scooters, motorcycles, and bikes -- to be equipped with anti-lock braking systems (ABS), regardless of engine capacity, starting January 1, 2026. This regulation extends the current requirement, which applied only to models above 125cc, to the entire two-wheeler segment. The move aims to significantly reduce road accidents and fatalities, particularly head injuries, as two-wheelers account for a significant portion of both accidents and deaths on Indian roads. According to ICICI Securities, this will provide new opportunity for the ancillary space with annual opportunity size pegged at ₹3,000-6,000 crore with major beneficiaries being Bosch Ltd and Endurance Technologies among others. The change, however, will be positive for component suppliers who make ABS and Disc brakes. For ABS, Bosch and Continental (unlisted) are the leading players. In Disc brakes/ Systems, Endurance is the largest player with 60 per cent/42 per cent market share, analysts at Nomura said in the auto sector report. ALSO READ: Meanwhile, according to ICRA, the domestic auto component industry is in a transitory phase with the automotive players increasingly focusing on sustainability, innovation and global competitiveness. Demand from domestic OEMs, which constitutes over half of the industry revenues, is estimated to grow by 8-10 per cent in FY26. Part of the growth would stem from the premiumisation of components and higher value addition. Growth in replacement demand is pegged at 7-9 per cent in FY2026, driven by an increase in vehicle parc, higher average age of vehicles/used car purchases, preventive maintenance and growth in organised spare parts, among other reasons. Endurance's Management commentary As per the Society of Indian Automobile Manufacturers (SIAM) report, forecasts for a favourable monsoon helping rural areas, strong replacement demand, and government support for the purchase of electric vehicles would be factors for the growth of two-wheelers in this financial year. The management in the Q4 earnings conference call said that moderating inflation, coupled with higher capital expenditure proposals in the Union Budget this year, is expected to spur consumption and investment. ALSO READ: BEL share price up 3%, hits record high on ₹528-cr order win; do you own? While Endurance's India business is fairly insulated from U.S. markets, certain components made by European plants do find a way into the U.S., particularly components for the higher-segment cars. The management said the company awaits clarity on the U.S. duty structure, and it also remains to be seen if duty changes would drive consumer preference away from niche European models. With anticipated growth in two-wheeler industry volumes, a focus on product premiumisation, and a strategic shift towards four-wheeler, coupled with encouraging performance in the European Union business despite a challenging environment, the company is expected to witness an improvement in Ebitda margins. Track LIVE Stock Market Updates Here
Time of India
25-06-2025
- Automotive
- Time of India
ABS for below 125 cc two-wheelers to impact Hero Moto, TVS margins most; Endurance to benefit: Rishi Vora
Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads , Associate V-P,, says the Indian two-wheeler market is still recovering from pre-COVID levels, posing challenges for manufacturers. Making ABS must for below 125 cc two-wheelers, will significantly impact Hero MotoCorp and TVS due to potential cost increases, affecting their margins. Endurance Technologies , a key player in the ABS market, stands to benefit from the anticipated five-fold growth in the ABS market due to new you look at the ABS norms , it already existed in the above 125cc two-wheeler segment for the last five years. Globally, these are not the norms for under 125cc two-wheelers. So, if it happens, it will be first of its kind for the two-wheeler sector. Now, at least from an OEM perspective, it would not be appreciated given that there will be a decent cost increase which will have some detrimental impact on the overall the OEMs will at least suggest to the government that this can create further headwinds for the sector and they will try to delay this. Obviously from a government perspective, it is more about safety. The government has been reported to have said that almost 44% of the road accidents involve two-wheelers. So, it is more in keeping with the safety of the riders in mind and hence they are going for stringent safety norms for the two-wheeler segment. Yes, it is negative from the demand perspective. But from a consumer perspective, the government is focusing more on the safety time in 2020 when this norm was implemented for above 125cc two-wheelers, there was Rs 4,000 to Rs 8,000 price increase depending on single channel or dual channel ABS and over time they passed it on. Now, again if this rule gets implemented, then there will be anywhere between Rs 3,000 and Rs 5,000 cost increase as per our estimates, which is roughly 5% of the vehicle ex-showroom price. So, over time, they will be able to pass it on. But it might have some impact on demand at least in the near term when this I discussed, Rs 3,000-5,000 is the approximate cost increase that will happen. So, assuming they pass it on in one go, a 5% cost increase in the entry-level – 110cc, 125cc motorcycle segments, there can be a 5-7% decline in the segment which gets impacted. So, yes, there is a good amount of headwind which the sector will have to face and we have to keep that in we look at the domestic two-wheeler market in FY2025, the industry volumes ended at around 20 million which is still below the pre-COVID peak. So, it is not like the two-wheeler industry has surpassed the pre-COVID peak and that is another challenge. So, this can be an incremental headwind. If they decide to take a hit and not pass it on to the customers, each company will have a different impact, given what part of their portfolio gets impacted. As per our analysis, Hero will be the most the case of Hero MotoCorp, almost 94% of their portfolio will go through a cost increase, followed by TVS where around 64-65% will be affected. If they do not pass it on, there can be an impact of anywhere between 50 to 100 basis point on their it is right. Again, OEMs will have to comply with this norm if it comes into effect and then cost increases will take place. A 5% cost increase in a price sensitive segment has a detrimental impact on demand. So, there will be some immediate impact. Over time, it will get absorbed, but it might take a year or one-and-a-half years before things start to Bosch is the largest player in terms of market share within ABS. But again, that is an unlisted entity and not a listed one. The ABS part sits in the unlisted segment. Beyond that, there is Continental and Endurance Technologies. So, yes, among the listed names one of the major beneficiaries would be Endurance Technologies. They roughly have around 10-15% market share right now in the ABS this norm comes through, our assessment is that the ABS market in India will increase almost five-fold from roughly Rs 2,000 crore today to 5x growth over the coming years. So, even if we assume that Endurance Technologies maintains a similar kind of market share, it is going to be a decent tailwind for them in terms of demand as things stand today, none of the OEMs have gotten approval from the Chinese government for lifting the restrictions on rare earth material. It continues to remain a lingering issue for the sector. Now, obviously some OEMs have or suppliers have two-three months of inventory; some have a month's inventory. So, within a month's time, we will start seeing issues or production cuts pertaining to the shortage of rare earth materials. The first sector in general which will be affected will be EVs because the motor uses permanent magnets and that is a very direct impact and the dependence on China is extremely high over there. So, the EV sector will get impacted all the companies – some earlier, some later – which cater to the EV segment will eventually get impacted. The good thing is that once the approvals come through, the magnets or rare earth materials can be airlifted and production restarted,within one to two days. So, that is a good thing and no freight related time wastage will happen once the approval comes through. But yes, right now, everybody is discussing it with the Indian Indian government is trying to get in touch with China and trying to resolve this issue, but that is something that needs to be watched out over the next one to two months. If it does not get resolved, then we will see some production cuts starting with the EV segment and maybe then it can flow through to the ICE passenger vehicle segment as well. But that will take at least a couple more have seen some corrections, especially after the festive period last year and it is predominantly because of very sharp deceleration in demand. In the first half of FY25 domestic two-wheeler demand was growing in low-teens and then, suddenly the industry growth came down to a flattish number. That resulted in a negative surprise terms of what we like, we continue to prefer a passenger vehicle segment over two-wheelers as we believe it is still on the two-wheeler side, valuations are expensive and the industry growth would be lower than what Street is expecting at this point in time. Within passenger vehicles, our preferred pick is Mahindra & Mahindra, Hyundai Motors, and Maruti Suzuki.
Economic Times
25-06-2025
- Automotive
- Economic Times
ABS for below 125 cc two-wheelers to impact Hero Moto, TVS margins most; Endurance to benefit: Rishi Vora
Synopsis The Indian two-wheeler market faces challenges as it recovers from pre-COVID levels. Proposed ABS mandates for sub-125cc vehicles could increase costs, impacting Hero MotoCorp and TVS, while benefiting Endurance Technologies. Rare earth magnet shortages pose further risks, potentially leading to production cuts, especially in the EV sector. Passenger vehicle segment is preferred over two-wheelers due to valuation concerns. Rishi Vora, Associate V-P, Kotak Institutional, says the Indian two-wheeler market is still recovering from pre-COVID levels, posing challenges for manufacturers. Making ABS must for below 125 cc two-wheelers, will significantly impact Hero MotoCorp and TVS due to potential cost increases, affecting their margins. Endurance Technologies, a key player in the ABS market, stands to benefit from the anticipated five-fold growth in the ABS market due to new regulations. ADVERTISEMENT What is your take on the two-wheeler counters because the latest concern in the two-wheeler stocks is over reports suggesting that the transport ministry may approve the anti-lock braking systems (ABS), in two-wheelers from CY2026. Has this been a long-standing demand from the industry or is the timing a bit of a surprise? Rishi Vora: if you look at the ABS norms, it already existed in the above 125cc two-wheeler segment for the last five years. Globally, these are not the norms for under 125cc two-wheelers. So, if it happens, it will be first of its kind for the two-wheeler sector. Now, at least from an OEM perspective, it would not be appreciated given that there will be a decent cost increase which will have some detrimental impact on the overall demand. So, the OEMs will at least suggest to the government that this can create further headwinds for the sector and they will try to delay this. Obviously from a government perspective, it is more about safety. The government has been reported to have said that almost 44% of the road accidents involve two-wheelers. So, it is more in keeping with the safety of the riders in mind and hence they are going for stringent safety norms for the two-wheeler segment. Yes, it is negative from the demand perspective. But from a consumer perspective, the government is focusing more on the safety aspects. Can auto companies take a price hike whatever the incremental cost is loaded up on the product? Rishi Vora: Last time in 2020 when this norm was implemented for above 125cc two-wheelers, there was Rs 4,000 to Rs 8,000 price increase depending on single channel or dual channel ABS and over time they passed it on. Now, again if this rule gets implemented, then there will be anywhere between Rs 3,000 and Rs 5,000 cost increase as per our estimates, which is roughly 5% of the vehicle ex-showroom price. So, over time, they will be able to pass it on. But it might have some impact on demand at least in the near term when this happens. If they take a price hike, how much could that affect demand? If they do not take a price hike, how much could that affect the financials of these companies? Rishi Vora: As I discussed, Rs 3,000-5,000 is the approximate cost increase that will happen. So, assuming they pass it on in one go, a 5% cost increase in the entry-level – 110cc, 125cc motorcycle segments, there can be a 5-7% decline in the segment which gets impacted. So, yes, there is a good amount of headwind which the sector will have to face and we have to keep that in mind. If we look at the domestic two-wheeler market in FY2025, the industry volumes ended at around 20 million which is still below the pre-COVID peak. So, it is not like the two-wheeler industry has surpassed the pre-COVID peak and that is another challenge. So, this can be an incremental headwind. If they decide to take a hit and not pass it on to the customers, each company will have a different impact, given what part of their portfolio gets impacted. As per our analysis, Hero will be the most impacted. ADVERTISEMENT In the case of Hero MotoCorp, almost 94% of their portfolio will go through a cost increase, followed by TVS where around 64-65% will be affected. If they do not pass it on, there can be an impact of anywhere between 50 to 100 basis point on their margins. If somebody wants to buy a three-wheeler, you will have to buy these new norms. It is like wearing a seat belt, wear it or pay chalan. So, why will demand get impacted because for those who want to buy a two-wheeler, it is a need-based product and the safety measure are compulsory. Why should this impact demand just because there is a Rs 3,000 additional load up? Is this market that sensitive? Rishi Vora: Yes, it is right. Again, OEMs will have to comply with this norm if it comes into effect and then cost increases will take place. A 5% cost increase in a price sensitive segment has a detrimental impact on demand. So, there will be some immediate impact. Over time, it will get absorbed, but it might take a year or one-and-a-half years before things start to normalise. ADVERTISEMENT What about the other side of the spectrum, the players who operate in the ABS supply chain band? How will they be impacted by this news flow? Will it be very incremental? Rishi Vora: Obviously Bosch is the largest player in terms of market share within ABS. But again, that is an unlisted entity and not a listed one. The ABS part sits in the unlisted segment. Beyond that, there is Continental and Endurance Technologies. So, yes, among the listed names one of the major beneficiaries would be Endurance Technologies. They roughly have around 10-15% market share right now in the ABS market. If this norm comes through, our assessment is that the ABS market in India will increase almost five-fold from roughly Rs 2,000 crore today to 5x growth over the coming years. So, even if we assume that Endurance Technologies maintains a similar kind of market share, it is going to be a decent tailwind for them in terms of demand uptake. ADVERTISEMENT The other concerning factor for the auto space right now is the whole shortage related to the rare earth magnet issue. We have been talking to a lot of these companies as well as suppliers. The companies have been saying that they have the stocks only till July and August. How do you see the situation right now and how do you see this situation getting worrisome? Rishi Vora: Again, as things stand today, none of the OEMs have gotten approval from the Chinese government for lifting the restrictions on rare earth material. It continues to remain a lingering issue for the sector. Now, obviously some OEMs have or suppliers have two-three months of inventory; some have a month's inventory. So, within a month's time, we will start seeing issues or production cuts pertaining to the shortage of rare earth materials. The first sector in general which will be affected will be EVs because the motor uses permanent magnets and that is a very direct impact and the dependence on China is extremely high over there. So, the EV sector will get impacted firsthand. So, all the companies – some earlier, some later – which cater to the EV segment will eventually get impacted. The good thing is that once the approvals come through, the magnets or rare earth materials can be airlifted and production restarted,within one to two days. So, that is a good thing and no freight related time wastage will happen once the approval comes through. But yes, right now, everybody is discussing it with the Indian government. The Indian government is trying to get in touch with China and trying to resolve this issue, but that is something that needs to be watched out over the next one to two months. If it does not get resolved, then we will see some production cuts starting with the EV segment and maybe then it can flow through to the ICE passenger vehicle segment as well. But that will take at least a couple more months. ADVERTISEMENT Given that most of the two-wheeler companies have corrected anywhere between 30% and 40% in the past one year, is anything looking attractive to you purely on the valuation front, and not just from two-wheeler but the passenger vehicles and tractor companies as well? Rishi Vora: We have seen some corrections, especially after the festive period last year and it is predominantly because of very sharp deceleration in demand. In the first half of FY25 domestic two-wheeler demand was growing in low-teens and then, suddenly the industry growth came down to a flattish number. That resulted in a negative surprise overall. In terms of what we like, we continue to prefer a passenger vehicle segment over two-wheelers as we believe it is still on the two-wheeler side, valuations are expensive and the industry growth would be lower than what Street is expecting at this point in time. Within passenger vehicles, our preferred pick is Mahindra & Mahindra, Hyundai Motors, and Maruti Suzuki. 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