Belrise Industries Ltd (NSE: BELRISE) Q3 2026 Earnings Call dated Feb. 02, 2026
Corporate Participants:
Shrikant Shankar Badve — Managing Director
Swastik Badve — Whole-Time Director
Sumedh Shrikant Badve — Chief Marketing Officer
Rahul Ganu — Chief Financial Officer
Analysts:
Unidentified Participant
Nitij Mangal — Analyst
Vijay Pandey — Analyst
Shubham Jain — Analyst
Viraj Sanghvi — Analyst
Navin Matta — Analyst
Radha Agarwalla — Analyst
Raman Venkata Kerti — Analyst
Presentation:
operator
Ladies and gentlemen, good morning and welcome to the Q3 and 9M FY26 earnings conference call of Bell Rice Industries Limited. As a reminder, all participant lines will remain in the listen only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal the operator by pressing Star then zero on your touchstone telephone. Please note that this conference is being recorded. Before we begin a brief disclaimer. This conference call may contain forward looking statements about the company which are based on the belief or opinions and expectations of the company has on date of this call.
These statements are not the guarantee of future performance of the company and it may involve risk and uncertainties that are difficult to predict. I now hand the conference over to Mr. Srikant Bhadwe, Managing Director from Bell Rice Industries Limited for opening remarks. Thank you and over to you sir.
Shrikant Shankar Badve — Managing Director
Good morning everyone and thank you for joining us for Boydrite Industries Q3 and 9 month financial year 2026 earnings call. Joining me on this call are my sons Sumed and Swastit along with our CFO Mr. Rahul Ganu, our CMO Mr. Swin Kulkarni and our Investor Relations Advisors SGA Buildright Industries is a leading tier one automotive component manufacturer with 22 manufacturing facilities across and France. As we look at Q3, our focus on innovation and expanding relationship has continued to drive growth within our core automotive business. We continue to strengthen our positioning through higher content per vehicle and expanding OEM partnerships.
During the quarter we secured a strategic order to establish a new management plant in Haridwar for one of India’s largest two wheeler OEMs. Our Chennai plant ramped up production in line with rising OEM volumes where we are single source supplier for a key two wheeler EV platform. Meanwhile, our Bihori plant began supplies for a premium Japanese model after achieving full operational readiness. A key highlight in the non ATTO segment was the acquisition of a French Co. Sdn. Doubt this acquisition, we have now entered the supply chains of the largest civilian aircraft OEM globally as well as a leading combat aircraft oem.
Further, we also entered into strategic partnership with Israel’s Plasm SASSA to bring the flagship ATEM platform to India and to become an integral part of the global supply chain. I am also happy to announce the much awaited merger of Autocomps and Eximus Infratech with Bellwright Industries limited. Both of these promoter entities are being merged at a valuation close to their respective book values and hence represent a significant discount to what Bill Rights is trading at today. This transaction will be EPS and Value accretive for all shareholders of Beltra Industries Limited from day one. I would request everyone to keep the merger presentation handy which has been uploaded on our website and the stock exchanges as we’ll be referring to it later in the call.
Coming to the results, Total revenue From operations for Q3 FY2026 stood at INR 23,405 million up by 8% year on year including manufacturing revenue of INR 18,660 million which grew 5% year on year. Our ER and Manu EBITDA stood at INR 2,869 million and INR 2579 million respectively with margins at 12.3% and 14%. Our adjusted PAT grew sharply to INR12.68 million which is up by 26% year on year. With this brief I now hand over the call to Swastika will take you through our merger and related business updates. Thank you very much.
Swastik Badve — Whole-Time Director
Thank you everyone for joining the call. Today I will be going through the merger presentation uploaded on our website as well as the topic changes. Firstly, it gives me immense pleasure to announce that the Board has approved the proposed merger of Budway Autoforms Private Limited and Eximis Infratech Solutions Private Limited with our listed entity Bellrise Industries. If you turn to page four of the merger presentation uploaded on the exchanges, I’ll walk you through the strategic rationale behind this transaction and explain why it makes strong financial as well as operational sense for the listed company and its shareholders.
To begin with, these two entities together represent one of the largest players in the Indian two Wheeler Plastic components segment with a combined market share of approximately 14%. Bell rice on a standalone basis currently has close to a 10% market share post merger. The combined entity will command nearly a 25% market share in two wheeler plastic components. This scale translates into a higher wallet share with OEM and greater customer stickiness. Second, both Badway Autocomp and Eximus Infratech are promoter owned entities with long standing relationships with Maki Global OEMs including a large two and three wheeler OEM and a leading global Consumer Durables OEM amongst others.
These relationships have been built steadily over many years and have grown in tandem with the success of these OEMs in the market. Third, from a financial standpoint, these entities are already meaningfully scaled. In FY25, Budway Autocoms reported revenues of approximately 14 billion INR while Exmed Infratech reported revenues of close to 7 billion INR. Profit after tax stood at INR 793 million and INR 330 million respectively. This represents a meaningful profit addition to Bellrise and accordingly the transaction will be earnings aggressive. Finally, on valuation, as discussed earlier, our objective has always been to execute this transaction as close to book value as possible.
In line with this philosophy, this merger is being executed at a PE multiple of 8.3x based on FY25 numbers for these two entities, while Bellrise is currently trading at a PE multiple of approximately 30.9 on a TTM basis. Given this valuation differential, the transaction will be both EPS and and value accretive from day one. If we now move to slide five, I’ll outline the merger rationale in greater detail. Firstly, the merger will result in significantly simplified group structure with rated party transactions reducing materially by close to 11.5 billion INR. Secondly, the merger will also increase our quantity per vehicle by over 3,000 rupees, taking it from approximately 17,300 to to 20,300, an increase of nearly 20%.
This will also be accompanied by a greater push towards tier 0.5 assemblies, enabling us to offer more consolidated system level solutions to our OEMs. Thirdly, given the merging entities and Bell Rise already transact and operate alongside each other, the merger will also lead to a higher degree of verticalization with all operations coming under a single umbrella. This will drive strong operational efficiencies across people, processes and procurement. Fourth, we also expect a meaningful increase in wallet share, particularly in the plastic component segment of over 30% with certain master OEMs. This expansion in wallet share will further enhance customer stickiness.
And finally, as mentioned earlier, the transaction is immediately EPS accretive. Now if you move on to page seven, I’d like to highlight a few additional data points that are worth noting. Together these entities operate five facilities across Maharashtra, four in Aurangabad and one in Pune. This will further expand bellrise’s geographical footprint. Their revenue mix is largely powered in agnostic. One particularly interesting capability is EXMIF Infratech’s presence in the EV powertrain space. The manufacture of copper busbars which are critical conductive components used in battery systems. Currently these are supplied indirectly to a major Indian passenger vehicle oem.
There is also a high degree of in house verticalization with capabilities spanning plastic molding, painting, aesthetic application and assembly resulting in minimal dependence on tier 2 suppliers. Moving to page 8 in terms of the post merger revenue mix, what is particularly exciting is the significant strengthening of our exported PV and CV OEM segment. Post merger. Approximately 34% of the incremental revenue contribution from these two entities will come from the passenger vehicle and commercial vehicle segments. This allows us to continue gaining market share in four wheelers and commercial vehicles and growth in these segments. On page nine from people and infrastructure standpoint, the merger will add approximately 2000 employees to the Banerai sundry including around 1550 blue collared workers and 400 white collared employees.
The operations of these two entities are also highly automated with approximately 50 robots used in fabrication, around 30 machines deployed in plastic molding. Moving on to page 10 while the overall product mix is broadly similar to Bellrise’s current portfolio, there are two key differentiators. The first is the fairing assembly where over 50 individual components, both manufactured in house and sourced externally are assembled into a complete module and supplied directly to OEMs. This is a strong example of a continued transition towards a tier 0.5 assembly model. The second differentiator, as I mentioned earlier, is the copper bus bar application for electric four wheelers, a capability that Belrise does not currently possess and one that strengthens our presence in the EV powertrain segment on page 11.
From the perspective of awards and customer relationships, these entities work closely with two marquee global OEMs. In addition, they export high precision engineered plastic components with tolerances less than 5 microns to a global consumer durable OEM across China, North America and Europe. Achieving this level of precision in plastic components at scale is challenging and Badway Autocoms has built this capability with strong R and D in mold design and product engineering. From an award perspective, we are also proud of receiving two GIPM awards from the Japanese Institute of Plant Maintenance which is among the most prestigious global recognitions for TPM excellence.
Now if you move on to the next slide, this merger also supports Bellrise medium to long term strategy in three key ways. Firstly in deepening our two wheeler presence, secondly in increasing verticalization and thirdly in accelerating our evolution from a Tier 1 to a Tier 5 supplier as shown on slide 14. Firstly, the merger is expected to drive an approximately 30% increase in wallet share in plastics for Maki 2 and CV OEM and beyond the guided content per vehicle of INR 17,300 for Bellrise we see an incremental increase of around 3,000 rupees, taking consolidated content per vehicle to approximately 20,300 rupees.
The flow charts on slide 15 illustrate how these entities already collaborate. For instance, in fairing assemblies, Bellrise supplies the metal components while Exmit Infratech supplies the plastic parts with final assembly carried out at Eximit and Protect. Similarly, in exhaust systems, Bellrise focuses on heavy stamping and cube costing while Budway autoforms handles fabrication, surface treatment and assembly. Bringing these capabilities under one umbrella will further enhance operational efficiencies. Moving on to slide 16, as mentioned earlier, we undertake a highly complex fairing assembly comprising over 50 individual components for a leading two wheeler and three wheel OEM. This is tough to replicate as an extremely sticky business.
Lastly, coming to the financials on slide 18, these entities generate strong profitability with a combined profit after tax of approximately 1.1 billion INR. With robust EBITDA margins post merger net of related party elimination. We expect an incremental 10 billion INR of revenue to be added to Bellrise along with a margin uplift driven by the internal RPD net offs. As mentioned earlier, based on FY25 numbers, the transaction is being executed at a PE multiple of 8.3x based on FY25 numbers while Bellrise is trading at approximately 30.9p ratio on a TTM basis. In terms of advisors on this deal, Ernst and Young acted as the independent registered valuer while GM Financial provides the fairness opinion for the transaction.
Promoter Shareholding currently stands at approximately 66.5% free merger and is expected to increase to around 67.9% post merger with the balance held by the public. This is of course subject to regulatory and shareholder approvals at the upcoming AGM or egm. With that I will pause here and hand it over to Sumedh who will walk you through our NT into aerospace and dependent and how this opens up the next phase of growth beyond automotive.
Sumedh Shrikant Badve — Chief Marketing Officer
Thank you Zasir. The quarter was particularly significant for us with meaningful progress across both these verticals. First, during the quarter we entered into a strategic collaboration agreement with Plassan sassa, a leading Israel based defence company with strong capabilities in advanced armoring and and autonomous defense mobility solutions. Lasan is globally recognized for its integrated platforms and has a flagship product the Atom, which translates to All Terrain Electric Mission Module which has been deployed across multiple geographies globally and at scale. The Atom platform is particularly suited for highly rugged and inaccessible terrains and is also capable of autonomous operations making it relevant for deployment in sensitive defense zones where human and conventional vehicle movement is constrained.
This strategic collaboration with Plasan is two pronged. Number one, we will team with Plasan in India to jointly engage with the MoD, defence PSUs and other relevant stakeholders to industrialize and productionize the Atom solution for the Indian ecosystem. The initial phase will involve assembly in India and testing this solution across diverse terrains in the country, like in remote inaccessible areas such as the northeast and the north of India such as the Siakhan Glacier, etc. Second, beyond the Indian market, we will become an integrated manufacturing partner for Plasan’s global supply chain, enabling cost effective production of Plasan’s advanced systems in India.
We’ve already initiated prototype and initial supplies for select platforms and over time we expect to become one of Plasan’s key partners globally for components catering to their global exports. This dual approach allows us to generate revenues while simultaneously building a differentiated defense mobility solution tailored to Indian operating conditions. In addition to this, during the quarter, I’m very happy to share that we also completed our first ever international acquisition in the aerospace segment through the acquisition of sdm, a European aerospace manufacturer specializing in high precision machine parts for aerostructures and robotics. Today, SDM supplies to some of the world’s leading aerospace OEMs, including the largest global aircraft manufacturer, French fighter aircraft OEM, including the largest global commercial aircraft manufacturer and the fighter OEM that I mentioned, and a large French robotics OEM and various others.
With this acquisition we have entered the supply chain of all these marquee customers. To lead this business, we have onboarded the former CEO of an Airbus subsidiary who not only has key experience in scaling business in Europe, but also in shifting complex supply chains globally. From a supply chain angle, the acquisition was completed at an attractive valuation. SGM is expected to generate revenues of approximately 3 to 4 million in FY27, while the acquisition was done at a consideration of 0.35 million euros, implying an entry valuation of approximately 0.1x sales. This is a very strategic acquisition in nature and it’s small enough to manage and gives us a European footprint to further grow our engagement in that geography.
Going forward, we plan to grow the business in Europe while also leveraging SDM’s technical capabilities to establish and scale aerospace manufacturing operations in India and positioning India as the best cost manufacturing hub. When we refer to best cost, we mean a combination of three specific factors. Number one, favorable labor economics number two, a strong engineering depth recognized globally across automotive, industrial, medtech and aerospace sectors and number three. India’s proven ability to integrate culturally and operationally with global customers. Together, these factors position India as a preferred destination for aerospace manufacturing. Also, given the strong order pipeline of global aircraft OEMs and the increasing importance of India as one of the largest aviation markets globally, we believe this trend will continue to play out over the next five to 10 years and we expect to be a key beneficiary of this shift.
Let me now hand over to Mr. Rahul Garnan, our CFO to take you through our financial performance of Q3 and 9 months of FY26 over to you please.
Rahul Ganu — Chief Financial Officer
Thank you Mr. Sumit and good morning to everyone on the call. Let me take you through the Key Financial Highlights Quarter 3 FY26 Consolidated Financial Highlights Total Revenue of Quarter 3 FY26 to INR 23405 million up 8% Year on Year from INR to 1668 million in Q3FY25 Manufacturing Revenue for Q3FY26 student INR 18660 median up 5% YoY from INR 17801 million. EBITDA stood at INR28.69 million up 10% YoY in Q3FY25 EBITDA margin stood at 12.3%. Manufacturing EBITDA stood at INR25.79 million up 11% YoY and Manufacturing EBITDA margin stood at 14%. And just step back which is excluding the exceptional Item Expense of Rupees 64.1 million related to increase in employee benefit obligations resulting from the change in the Labor Law by Government of India 1,268 million up 26% yoy INR 1006 million and part margin stood at 5.2%.
Export contributed 5.8% to our manufacturing revenue in quarter three FY26 I.e. iNR 1075 median. Coming to the segmental performance on the manufacturing front, two wheeler and three wheeler contributed 80.6%. Passenger vehicles contributed 4.9% Commercial vehicle contributed 7.9% FOB Q3FY26 and others would be 6.6%. 9 monthly FY26 consolidated financial highlights Total revenues for nine monthly FY26 stood at INR 69563 million up 16% yoy from INR 60165 million 9 monthly FY25 manufacturing revenue for nine monthly FY26 stood at IRR 55583 million up 16% yy from INR 47947 million it is S student INR 8636 median up 16% yy from INr 7452 median in nine monthly FY25.
EBITDA margins were stable at 12.4%. Manufacturing EBITDAs were INR 7778 million up 18% yy from INR 6608 million and manufacturing EBITDA margin stood at 13.8%. Adjusted tax stood at INR 3714 million up 51% yoy from INR 2454 Medial I and PAT margin at 5.3%. Exports contributed 5.6% to our manufacturing revenue in nine monthly FY26, I.e. iNR 3127 million. Net debt as of December 2025 stood at INR 7767 million and ROIC stood at 15.1%. Coming to the segmented performance of the manufacturing fund, two wheeler and three wheelger contributed 81.5%, passenger vehicles contributed 4.8%, commercial vehicles contributed 8.3%.
For quarter three FY26 and others would be 5.4%. With this, I would like to give this back to Mr. Sumet for his closing remarks on this opening note.
Sumedh Shrikant Badve — Chief Marketing Officer
Thank you, thank you Mr. Ganu. Finally, we would like to share our vision for the company and and where we’re headed over the next few years. Since embarking on our public market journey, we’ve continued to strengthen and win in our core capabilities in sheet metal fabrication, in stamping and surface treatment. We’ve not only secured incremental program wins with our top three two wheeler OEM customers, but also achieved meaningful traction with the challenger OEMs, customers that are growing rapidly where our historical presence was limited. This momentum is translating into increased market share both with existing customers and across new large OEM relationships.
Alongside this, we have deliberately established new verticals, each of which we believe has the potential to become a substantiative revenue contributor over the medium term. In steering columns, we now supply to all marquee OEMs in India across two wheelers and three wheelers and have recently commenced exports to a global European OEM as well. In suspensions, we’ve made strong progress, expanding from engagements with two large two wheeler OEMs at the start of the year to four today. In parallel, our execution in high tensile technology has enabled us to deepen relationships with existing Japanese customers while expanding our offering to Indian OEMs as well.
We strongly believe that high tensile technology will see wider adoption in India over the next few years as the industry reaches an inflection point driven by the need for lightweighting and enhanced crash safety trends which are already well established in North America and in Japan. In addition, we’re undertaking a fundamental strategic pivot in our approach to the defense and aerospace segment. This has been a focus area for us for some time and through recent milestones including our collaboration with Plasan and the acquisition of SDM, we’re now working with six aerospace and defense OEMs within a very short span.
We’re bullish on this segment and expect to become a meaningful revenue contributor over the next few years. Lastly, a key commitment we made during our IPO and subsequent earning calls was to simplify our corporate structure. We’ve delivered on this commitment in in a very value accretive manner for both public and institutional shareholders from day one. We believe this merger will enable higher wallet share, greater vertical integration, increased customer seekiness and overall EBITDA accretion at the consolidated level. As we move forward with this vision, we would like to thank all our stakeholders for being part of this journey so far.
This is only the beginning. With this we can open the floor for questions. Thank you so much.
Questions and Answers:
operator
Thank you. Ladies and gentlemen, we will now begin with the question and answer session. Anyone who wishes to ask a question may press Star and one on the Touchstone telephone. If you wish to remove yourself from the question queue, you may press star and 2. Participants are requested to use their handsets while asking a question. Ladies and gentlemen, in the interest of time and fairness to others, we request you to restrict to two questions per participant and rejoin the question queue. We will wait for a moment while we poll for questions. We take the next first question from the line of Nitesh Mangal from Jefferies.
Please go ahead.
Nitij Mangal
Hi, good morning and thanks for taking my question. Firstly, congratulations on getting the approvals for the merger of the promoter entities and I must say it’s coming at pretty attractive valuations. My first question is on the core business where we have seen some depth in two wheeler revenues as well as passenger vehicle revenues on a Y o y basis. Could you explain what is leading to this and how do you see the trend in these businesses going forward?
Swastik Badve
Thank you. Thank you Nitaj for that question. Firstly, on the two year bit I’d like to talk about the outcome. So in terms of revenues, the company two wheeler revenues remains largely flat on a sequential basis. So we were around 15,085 million in the quarter two of FY26 and right now we’re at around 15,041 million in quarter two FY26. So if you even look at the volumes of our top four customers in the two wheeler segment, even their volumes have largely remained flat on a sequential basis. Hence if you would have asked me at the start of October about where we would see volumes, this would largely have been an expected outcome for us.
Secondly, I think if you look at the larger Trend for Tier 1, December usually is a slow month for the industry. So OEMs really have a plan maintenance shutdown for at least a few days and perhaps what you’re also seeing is a bit of a lag between perhaps the numbers of the tier one players report and what the OEMs operate. Maybe a bit of timing gap is seen over here and that’s what we’re probably seeing in this quarter. One thing I would like to point out is in terms of our two wheeler growth in the nine months we’re still outperforming the industry, we’re still up 12% on a yoyo basis.
If we compare the nine months of this year as compared to the nine months of last year and we see absolutely no issue in terms of us continuing to outperform the industry. Of course in the coming quarter I think we’ll get a lot of help of the upcoming facilities. The one in Chennai for the leading EV platform for a two wheeler oem, the Biwadi facility where we’re supplying to a premium Japanese two wheeler OEM as well as the Haridwar facility for a leading two wheeler oem. So all three of the facilities will come into play in this quarter and in that sense we see absolutely no issue in continuing to out from the industry and doing well going forward.
Nitij Mangal
Thanks Asad. Secondly, I do see you winning quite a number of orders in the new components like suspension, steering, columns, hide and side products etc. Over the last one one and a half year. How do you see these business scaling up let’s say over the next few years and how much can these components start to contribute to the top line?
Swastik Badve
So thanks Ranit. So firstly I will talk about these components that you mentioned including suspensions or steering columns or height and components. So firstly these are as you mentioned largely proprietary parts so they require a fair amount of investment that goes into the IP itself. And because they are say parts that have IP and require RD, usually OEMs have a very long gestation period to onboard these parts. Anytime they have to onboard any of these parts they actually go through at least 9 to 12 months of testing. If not More to kind of get to a stage like this.
So I think what we really achieved so far is really penetration or entry amongst multiple OEMs. So in suspension we started the year supplying to only two OEMs. Now we’re supplying to four OEMs. These are all really large OEMs that we’re working with in steering columns. We are again working with all of the Indian OEMs as well as the mastiff OEM and also in height and cell components. Now we are working with almost all of the Japanese OEMs as well as speaking to a couple of Indian OEMs. Across all of these segments we have now entered multiple OEMs.
So the NP and the broad basing of OEMs has been a critical part so far. Now the real key will be penetrating and gaining wallet share amongst all of these OEMs. I think the tougher part if you ask me is the entry itself. Because once a technology is established to take it to an inflection point is not as tough as say entering in the first place. Now that we are in all of these OEMs, the purchase side, R and D side, production side is convinced of the benefit we’re getting from this technology. Now all we have to do is continue to win new programs and grow this business in terms of where we want this business to be.
We feel each of these three verticals so suspension, steering columns and high tensile components, each of them can be a growth vertical of its own. I think it would be pretty fair to say that each of them going forward can be multi hundred crore businesses. And this we’re speaking about from medium term perspective in the next two to three years. So that’s where we want our ambition to be and we think we have the building blocks in place to achieve that.
Nitij Mangal
Thanks Ken. I have one more question.
operator
I’m sorry to interrupt you Danitej. If you could please join back the queue for follow up questions.
Nitij Mangal
Sure.
operator
Thank you. Ladies and gentlemen, if you wish to ask a question Please press star and 1. We take the next question from the line of Vijay Pandey from Nuwama. Please go ahead.
Vijay Pandey
Thank you for taking my question and good that you have completed the acquisition. The related party acquisition, it was one of the key points which you highlighted at the time of IPO. So coming on to the Q3 doctors generally the other suppliers which have reported the numbers they have seen a good level of growth especially for the two wheeler segment. Even Bajaj Auto their sales was up around 7% in. So I’m a Bit confused that where our underperformance is coming from. Is it like any particular model or how is it. Because I’m just not able to get that sense why we have underperformed even if I compare it with Bajaj Auto’s number.
Swastik Badve
So while we don’t comment on particular OEMs, you’d appreciate that our growth is based across multiple OEMs. I think we answered on why we think two wheeler numbers have been fairly stagnant as compared to last year. Of course there can be a bit of impact of mix. But that being said, it’s not like we’re losing any programs. We’re continuing to get more RFQs, win more programs. Of course different OEMs grow in different segments. It’s not say state sailing for each of them. There can be certain models that do well, certain models that don’t do well.
So we of course don’t inform OEM strategy in that sense. What we can talk about is what we’re hearing from the OEMs and the plan that we’re setting up for them means that we are well on track to achieve the numbers that we have guided for not only in the two wheeler segment but also as a larger company.
Vijay Pandey
How do you think currently the demand looking like? So for the fourth quarter, do you expect it to be like positive mid single digit growth going to the fourth quarter or we expect a flattish growth.
Swastik Badve
We won’t be commenting on quarterly guidance. We have an annual guidance that we give to all analysts and investors and we maintain that going forward, of course the GST rate cut has been positive. I think the numbers for January should be out soon and they show quite a positive trend.
Vijay Pandey
Okay. Just. I do. It’s a follow up to the same question please. Just want to check. So how is the inventory situation at the OEMs level? Because some of the OEMs have guided that the inventory level is single digits.
Swastik Badve
We don’t comment on, we don’t comment on OEMs for our customers.
Vijay Pandey
Okay.
operator
Thank you. Ladies and gentlemen, if you wish to ask a question please press star and 1. Ladies and gentlemen, if you wish to ask a question please press Star and one. We take the next question from the line of Jimmy Shah from Motilalo SWAL Financial Services Ltd. Please go ahead.
Unidentified Participant
Hi, Am I audible?
Swastik Badve
Yes.
Unidentified Participant
Hi. Thanks for the opportunity. Just a couple of questions. So one of the key growth strategies for us was taking the CPV for the number one and number two OEMs from 12 and a half thousand to 70, 10,000. Now it would go to 20 and a half thousand with the inclusion and for number three, number four to go to 12 and a half thousand first. So where are we in that journey? Is the traction from the OEMs? Any update on that?
Swastik Badve
Right, so I can talk about maybe one of our marquee OEMs, but one of the larger OEMs that we work with, we’ve already gone from say 12 and a half thousand to 14,000 with the addition of steering columns. And with this acquisition with the same OEM, we have gone close to 17,000. And as we speak we are also in discussions with them for two new products which we think can take it from 17,000 to say upwards of 18,000 over this fiscal year. So with one OEM we’re already seeing that journey from 12,500 to 18,000, which is a close to 45% increase.
And that is something that has happened over the past few months. One thing I would like to point out is usually when you enter a new product, of course you will not get alliance share of the wallet share immediately. OEMs usually introduce you to one model and then based on performance, kind of broad based your growth amongst different models. So I think the entries are important and those are things that are happening as we speak now. We’ll continue to grow them. In terms of the second question on taking our third and fourth largest OEMs to higher levels.
So I can talk about one of the larger two wheel and three wheel OEMs which is in that category. And with them now we’ve two different things. One, we are supplying to them for their premium segment. So by supplying to them in their premium segment, our content per vehicle has gone up by around 1.8 to 2 times specifically for them. Secondly, for the same OEM, we have now entered the plastic commodity segment. And by entering the plastic commodity segment, we are now supplying a wide variety of products including fenders, cowls, covers, dashboards, visors, all relevant plastic parts which can result in an increase in contour vehicle around 2000 rupees.
And maybe with another premium four wheeler, two wheeler OEM, we are basically doing more of the suspension part. So suspension entry has just happened recently and that will also lead to a quantum vehicle increase of around 1500 rupees. So just to summarize, our top OEM, we’re kind of growing quite fast, Increased cost per vehicle by 45%. And with say our third, fourth, fifth OEMs, there’s a continued increase of new commodities that we’re selling to them.
Unidentified Participant
Thanks for the detail Ankur. Secondly, on the overall business side of things, on the core business, so 2 wheel OEMs have been very congruent and demand going ahead. So u4 numbers and expect it to be very strong for all two wheel or three wheel OEMs and relatively low base of H1 for the next year also bodes well for the industry growth. So is there any ramp up of schedules from the OEMs that you’ve seen or anything on the demand front that we are expecting?
Swastik Badve
In general, we don’t comment on the schedules that we get from OEMs. I think the numbers are out for everyone to see. In terms of the January production numbers for OEMs, I think as you mentioned correctly, you know, the numbers seem positive and seem to be going in the right trajectory. We maintain our guidance of outperforming the industry in two wheelers substantially and also kind of maintaining that mid teens kind of revenue growth going forward.
Unidentified Participant
Thanks Udash.
Swastik Badve
Thank you,
operator
thank you. We take the next question from the line of Shubham Jain from Investec. Please go ahead.
Shubham Jain
Hi, thanks for the opportunity. My first question was on defense and aerospace growth prospects. How do we see this business scaling up over the next few years? And the second question was a bookkeeping question. The tax rate this quarter seems to be high at about 29%. Like what should be the tax rate number that we should work with here? Yeah, that’s all.
Sumedh Shrikant Badve
I can take the first one. Yeah. From a defense perspective, I think as we mentioned on the call, fundamentally we started working with six new OEMs. There is very, very positive traction from domestic as well as international OEMs. I want to supplement that with saying not just defence, but defence and aerospace. Aerospace is an area for us that we’re looking at very keenly. We have already entered supply chain of two of the largest players in that space. And as I’m sure you must have seen in the news over the past few months of the year, the largest OEMs in the aerospace industry, in the aviation industry, are looking at India very, very seriously.
They’re looking to set up manufacturing or sort of source more from India and also manufacture in India. We want to capitalize on that positive trajectory. While the French acquisition is an entry mechanism for us to start very close engagement with the European counterparts, with the European OEMs, we want to fundamentally. Set. Up manufacturing facilities in India for the aerospace and defence vertical, which is currently in the works largely in the medium term. We see this as a very, very positive and meaningful contributor to our revenues going forward. I unfortunately Cannot comment on the specific numbers but it will be a meaningful contributor in a short time.
Swastik Badve
Yeah. And to answer your second question on the tax rate, I think over the course of the year we’ll see this normalize around 20 to 24% of corporate tax rate.
operator
Thank you. We take the next question from the line of Viraj Sanghvi from Ambed Capital. Please go ahead.
Viraj Sanghvi
Hi, thanks for taking my question. So my first question is on the formula part. We’ve mentioned in the merger presentation that the post merger exposure to four wheelers is rising sharply than what we have currently. So can you provide more color as to what is the customer profile over here? Is it largely E4 Wheeler OEMs and what are the kind of products and what is the change in CPD on the four wheeler side post Baja?
Swastik Badve
Right, thank you Viraj for the question. So just to shed some light on that, we’ll be adding close to 1000 crores of revenue or 10,000 million INR of revenue post merger. And around 34% of this would be geared towards passenger vehicles as well as commercial vehicles. I think two major parts of what will be supplying to passenger vehicle and commercial vehicles. Number one will be the copper bus bars which are extremely important from a battery and battery management perspective since it’s a critical part that rules conductivity in a system. And secondly, these companies also have a decent exposure in the plastic segment supplying a lot of different parts like dashboards, tyre covers, tyre wheels and interior infotainment parts for marquee passenger vehicle ocean.
So in terms of mix we actually also work, we work with a four wheeler Indian domestic OEM for the bus bars and for the plastic part there’s a wide variety of OEMs including a couple of European OEMs as well as a couple of domestic OEMs, some of which is direct and some of which is through a tier one. Given that a lot of these parts go into infotainment systems which are say managed by particularly Tier 1s, I think the content per vehicle increase that we can see in four wheelers would be slightly higher, would be close to 5,000 rupees that we’ll be able to see.
Viraj Sanghvi
Thanks. Secondly, from this quarter’s perspective we’ve seen a decline in the PV revenues as well. So you shed some details on how the two wheeler performed but any color on why the decline was higher on the PV side.
Swastik Badve
So on the PV side a couple of factors coming together contribute to it. So firstly, in the last quarter, in this quarter there was some supply chain issues with one of our largest Europe based four wheel OEM which is a premium automaker. And in fact this OEM is also our largest four wheeler OEM and as they’ve struggled volumes of that has had a negative impact on our revenues. Second was as we announced last time, we are setting up a facility in Biwadi for plastic moulding for one of the largest Japanese OEMs. This plant was being shifted from other locations so during the shifting of course there was a bit of loss of production.
However, that is transitional and you will see it getting recovered in the fourth quarter of 526. Another important point I’d like to highlight is H1 and Bellright both also work a lot in the tooling and dyes industry where we supply tooling to a lot of marquee Japanese as well as Indian passenger vehicle OEMs. This has been categorized in the other category. So while these sales are in the end happening to a passenger vehicle oem, we have technically classified them as others because you know, it’s a kind of different product category. And just fourthly on a broader perspective, if you look at our passenger vehicle numbers, we’re still up 24% on a year on year basis.
If you compare nine months against nine months and we again don’t see any change in our guidance which is to double our four wheeler and too much to vehicle revenue in the next two years as compared to FY25 numbers. So I think we can definitely achieve that and there’s no reason why that’s not happening.
Viraj Sanghvi
Got it, thanks. Lastly, just one thing, I would request you to please turn back to the queue.
operator
Thank you. We take the next question from the line of Naveen Mata from Mahindra Manulife Investment Management Private Limited. Please go ahead.
Navin Matta
Yeah, hi sir. Thanks for the opportunity. Just another kind of follow up on the two wheeler growth being lower for us in this quarter. I just wanted a little more understanding. When we look at your mixes, two wheeler plus three wheeler is about 64%. Just is it possible for you to split this between two wheeler and three wheeler? What would be the composition of this?
Swastik Badve
Thank you Naveenji for the question. So this would largely be two wheeler. While I don’t have the exact number in front of me, I think it would be close to 60% two wheelers, probably 3 or 4% three wheelers.
Navin Matta
Okay. Because when I look at your largest customers production growth y It looks like two wheelers is about 3, 4% growth and three wheelers is about 30% growth. Which is why the question that if we have lesser saliency in the three wheeler mix, is that the reason why our number is kind of trending, flattish or kind of broadly in line with our largest customer? Is that the explanation or do you think there’s another way to kind of look at this?
Swastik Badve
I think that that’s also a fair way to look at it. I think another important point that I would like to highlight here is that our penetration in the three wheeler sector is going up. So for our largest customer or for a couple of largest customers, we have won orders with them across their upcoming chassis systems for their upcoming three wheeler platforms both across ICE and ev. We’ve also won additional orders from them for suspensions both in ICE and ev. So you’re right. Right now the presence in three wheelers per se is lower. But I think that is also going up in the future.
Navin Matta
Fair enough. That’s it for now. Thank you.
operator
Thank you. We take the next question from the line of Radha from BNK securities. Please go ahead.
Radha Agarwalla
Hi sir. Thank you for the opportunity. So my first question is I wanted to understand how big is the market size of plastic components in two wheelers and three wheelers and four wheelers separately in India and is this business entirely outsourced by OES in India or is there a captive market share also?
Swastik Badve
I would probably have the two wheeler numbers handy on me right now. That market for a limited size of products. If I just consider three product which is a fender cowl and cover, that would be close to 5 to 600 crore market. Of course if you add the dashboard and the visor and the helmet accessories, I think my best guess would be this would be close to 2000 crore market on a console basis. In the two wheeler segment I unfortunately don’t have the numbers handy on me for passenger vehicles and whether this is all outsourced.
Yes, I don’t think any OEM does a lot of plastic manufacturing in house. It is usually outsourced to tier one Cicasa.
Radha Agarwalla
And what is the maximum content per vehicle that can be reached in these products in two wheelers and four wheelers separately? So this would help us understand how big can this business become for us.
Swastik Badve
So one thing I would like to point out is when it comes to plastic moulding or say fabrication, I think the process largely remains the same. So we can say manufacture almost all components that go into a two wheeler or four wheeler using a similar plastic injection molding process. So in say two wheelers I think the quantum vehicle that we have guided for is around 2000 rupees that is there currently. And of course that going up with fairing assemblies which have a bit of plastic as well a bit of metal. So that can say go from 2000 rupees to around 3000 rupees in four wheelers.
It’s tough to comment on a content per vehicle amount because there’s a very wide variety of products that go into a four wheeler and usually each of them are managed by system integrators. So it depends a lot on which system integrators you’re working with. If you get entry with system integrator or become a system integrator yourself, that’s a very lumpy type of growth that you get in four wheelers.
Sumedh Shrikant Badve
Just to add to that in the. Four wheel especially it’s more complex because. Like Saskit said it is system integrators and these are much larger assemblies that they supply. Now the tier one especially, you know a lot of it also includes a part of the system, it includes the side panels. So all of this comes pretty much well for well furbished and just ready to fit. So apart from plastic there are other parts also which get into it. So it’s really very difficult to analyze. As to what would be the, the. Total content when you look at such kind of assembly is being supplied to four wheelers.
Radha Agarwalla
Thank you and all the best.
operator
Thank you. We take the next question from the line of Raman KV from Sequent Investments. Please go ahead.
Raman Venkata Kerti
Hello sir, can you hear me?
operator
Yes, please go ahead.
Raman Venkata Kerti
Yes. Yeah. My first question is with respect to the merger of the promoter owned entities. So together this Badway Autocomp and Eximus Infra they did around 2100 crores of revenue in FY25. I just want to understand how, how they performed in the current nine month period for the financial year FY26. And what do you expect the growth of these two entities to be in the next one or two years? One is that and you as you mentioned this will reduce the related party transaction by 1100, 1200 crores which will basically add around thousand crores to the revenue of Bell Rise.
So I just want to understand by when this will be finalized by FY26 or FY27. Right.
Swastik Badve
So I think to answer your second question, this is of course subject to a lot of regulatory approvals because we’ll have to get the approval from the exchanges as well as the NCLT for the merger to be finalized. And I think the timeline that we’ve indicated in our presentation is anywhere between 10 to 12 months. So you can assume that this happens within FY25 itself. And. Sorry, what was your second question?
Raman Venkata Kerti
My first question was the growth with respect to the Birdway outcomes and exomus infra.
Swastik Badve
Right, right. So in general we’ll not be commenting on the growth for these companies of now. Once let’s get a clarity of when and how these companies we’ll more about it then.
Raman Venkata Kerti
Understood. Just a follow up on this or both of this merger. I mean it will reduce your excess corporate overheads. This mergers will be margin aggressive as well. Right.
Swastik Badve
Of course. When. When your RPT revenues are getting netted off and the EBITDA is being added in. So I think if you look at the EBITDA margins of these two entities they say close to 12 to 13%. So fairly in line with what Bellrise EBITDA margins are. So imagine that the revenues are getting netted off but the EBITDA is getting added in. So in that sense of course it should be EBITDA credit as well as pat aggressive.
Raman Venkata Kerti
Understood sir. Answer.
operator
I would request you to please join back the queue for follow up questions.
Raman Venkata Kerti
Just a follow up. I just want to understand the debt and cash in this, both the entities.
Swastik Badve
So I think that’s part of the presentation. You can, you can just take a quick look at it.
Raman Venkata Kerti
Okay, thank you sir.
operator
Thank you. We take the next question from the line of ashwin Patil from LKP securities Ltd. Please go ahead. Ashwin. Please unmute your line and proceed with your question. Since there is no response. Ladies and gentlemen, due to time constraint we take that as the last question and we conclude the question and answer session. I now hand the conference over to the management for their closing comments.
Swastik Badve
Thank you everyone for your time. Interesting questions.
Sumedh Shrikant Badve
Hey everyone. I would like to. Thank everyone for their time interest questions. I hope we have been able to address most of your queries. We remain confident in our growth trajectory both near term and long term driven by strategic investments and our commitment to advancing products and technologies. For any further queries please reach out. To us or to study our IR partners.
operator
Thank you on behalf of Bellrise Industries Ltd. That concludes this conference call. Thank you for joining us and you may now disconnect your lines.