Minda Corporation Limited (NSE: MINDACORP) Q3 2026 Earnings Call dated Feb. 05, 2026
Corporate Participants:
Ajay Agarwal — President Finance and Strategy
Vinod Raheja — Group CFO
Analysts:
Munendra Upadhyay — Analyst
Raghunanda Nel — Analyst
Jyoti Singh — Analyst
Sridhar Kalyani — Analyst
Shubham Bhatra — Analyst
Devesh Kayal — Analyst
Vijay — Analyst
Dhananjay Mishra — Analyst
Presentation:
operator
Sam. Sat. Sat. Sa.
operator
Ladies and gentlemen, good day and welcome to Minda Corporation Limited Q3FY26 earnings conference call hosted by Alara Securities India Private Limited. As a reminder, all participant lines will be 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 this conference call, please signal an operator by pressing Star then zero on your touchstone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Munendra Upadhyay from Ilara Securities India Private Limited. Thank you. And over to you sir.
Munendra Upadhyay — Analyst
Thank you Rudra. Good evening everyone. On behalf of Ilara Securities I would like to welcome you all to Q3FY26 earnings conference call of Minda Corporation Limited. Today we have with us from the management team Mr. Akash Minda, Executive Director, Mr. Ajay Agarwal President Finance and Strategy and Mr. Nitesh Jain, Lead Investor Relationship. I would like to thank the management for giving us this opportunity. I’ll now hand over the call to the management for their opening remarks post which we’ll open the floor for Q and A. Over to you sir.
Ajay Agarwal — President Finance and Strategy
Good afternoon everybody and thank you Elara Capital and Mr. Bhadiay for organizing this call. Good afternoon everyone. Welcome to the quarter three and nine months financial year 26 earning conference call of Minda Corporation Limited. I hope you all are doing well. It is our pleasure to connect with you today and present our performance for the quarter. Along with some key developments across the businesses, India has recently secured significant trade deals with the uk, European Union and the United States marking a transformative step in the Indian market. For the Indian market, these agreements promises to to unlock greater market access and business opportunities positioning India as a key player in the global trade arena especially for the automotive and auto component industry.
The Union Budget 2026 we revealed on Sunday has set a clear course for India’s automotive future shifting the focus from short term buyer subsidies to long term supply chain resilience and green energy integration with initiatives like Semiconductor 2.0, ECMS scheme, Rare Earth Corridor establishment and focus on Focus for MSMEs. Also. For Quarter 3 FY26 we witnessed strong performance across all major vehicle segments due to the key reasons such as GST reductions, festive season buying, new launches, improved financial availability supported by favorable market conditions. Overall, the auto industry grew by 17% and entered the quarter for FY26 on a firm footing with stable macroeconomic conditions and policy led affordability gain. Coming to the performance from Inda corporation for the quarter three FY26 the company has maintained its strong growth momentum led by outperforming the automotive industry growth and achieved its highest ever quarterly revenue of rupees 1560 crores representing a robust growth of 25% on year on year basis.
The performance was fueled by sustained demand across key vehicle segments, increased share of businesses and content per vehicle and strong traction in EV and premium product categories. During the quarter, the Company’s EBITDA stood at rupees 184 crores reflecting a margin of 11.8%. The reported profit after tax reached rupees 84 crores with a PAT margin of 5.4% supported by improved operational efficiencies and a favorable product mix. I am also happy to share that our Board of Directors has recommended an interim dividend of 30%, I.e. rupees 60 paisa per equity share. Our associate company Flash Electronics continued to deliver strong performance with revenue of over rupees 488 crores with an EBITDA of 90 crores representing a margin of 18.4%.
This strategic partnership has significantly strengthened our presence in high growth domains such as EV, power electronics, traction motors, motor controllers and other related products. The collaboration continues to deliver operational synergies and will play a pivotal role in achieving our growth roadmap. Our performance continues to be guided by the key pillars of growth which we have shared earlier. First, investment and growth in existing businesses. Second, export market focus Third, premiumization of existing products. Fourth, new product launches by way of partnerships and organic technology development through our technical centers. We are happy to share that the Board of Directors of the company has appointed Mr.
Ajay Agarwal as Group Chief Financial Officer and a key managerial personnel of the Company in addition to his existing role of President, Finance and Strategy for the company effective 5 February 2026. We are also happy to let you know that the Board of Directors have approved an ESOP Scheme 2025 marking an important milestone in rewarding our employees. Our ESOP Scheme 2025 is forward looking and aligns with our Vision 2030. This is of course subject to shareholders approval. Looking ahead, we remain committed to executing our strategic priorities with continued focus on enhancing our system, solutions offering, strengthening customer relationships and investing in new technologies and systems.
Our emphasis on operational excellence, strategic partnerships and innovation will play a critical role in driving the growth in FY26 and beyond. Our key focus remains on disciplined capital allocation, expanding our presence in high growth segments and advancing our R and D capabilities that will drive long term value creation for all our stakeholders and shareholders. With that I would like to invite Mr. Ajay Agarwal Cook CFO to take you through our detailed financial presentation and performance and key highlights for the quarter. Over to you. Thank you.
Vinod Raheja — Group CFO
And good afternoon to all of you. I hope you have the slides in front of you that was shared a while back. I’m on slide number two. Slide number two pretty much gives you the overview of Minda Corporation and its scale of operations. As many of you know, the Group’s revenue in FY25 stood at 7,472 crore with a consolidated statutory revenue at 5,056 crore. We have manufacturing footprint which includes 32 plants and 18,000 employees all across the globe. Our strong performance is backed by strong focus on innovation with which we have close to about 320 patents filed out of which 147 patents have already been granted.
Moving to slide number three, this slide talks about the auto industry in India. As many of you would have already seen, the auto industry in Q3 grew at around 16.8% vis a vis last year and all across strong performance were witnessed whether it is tractors, whether it is commercial vehicle, three wheeler, passenger vehicle and two wheeler. Of course tractors and commercial vehicle and three wheelers left the chart on a quarter. On quarter basis we saw a marginal dip. Of course that is pretty much to do with the post festive season normalization. We saw a very strong Q2.
That could be one of the reasons but despite that the growth is quite stupendous. Speaking about the Q3 key strategic developments in Minda 1 of course we recorded the highest revenue of 1560 crore representing a growth of 25% year on year. Our EBITDA margin stood at 11.8% in Q3. 26 registering a growth of 30bps year on year. We have also registered a lifetime order book of 2000 crore with multiple orders across product category within the organization. We also secured multiple platform specific instrument cluster order across leading OEMs for our instrument cluster or display business. During the quarter we also filed four new patents taking the total patents filed thus far to 320plus on nine months performance our revenue grew at 20% year on year, obviously backed by strong fiscal policy and strategic initiatives adopted and announced by the government.
The nine month margin of EBITDA stood at 11.6% representing a growth of 26. Our lifetime order book for nine month period recorded at 7000 crores. And as we have already announced our partnership with Toy and ISO, it is also shaping good shape for our switch Business across vehicle segment and in the nine month period we had also filed 16 new patents taking the total patents filed to 320 chains. From a revenue I’m on slide number five from a revenue perspective on year on year our revenue grew by 25% at 1560 crore. For a similar period our EBITDA grew by 28% to 184 crores and packed for a similar period due to by 36% to 88 crores.
Speaking of nine month period result our revenue grew by 20% taking the top line to 4482 crores and EBITDA the similar period stood at 518 crore registering a growth of 23% and paired for a similar period due to 238 crore representing a growth of 17%. As we all know, in the month of December the government announced a new labor law Due to the change in the labor regulation, we had to account for 4 crore of exceptional items due to the change in the regulation that has also been accounted for in these numbers. From the business vertical performance perspective our mechatronics and aftermarket and other businesses view by 17% from 608 crores to 710 crores and information and connected system business from overall perspective during the quarter grew from 645 crore to 850 crore representing a growth of 32%.
For a similar period. On a nine month period the revenue stood at 2,073 crore for and aftermarket whereas information and connective business stood at 2,409 crore. Vis a vis 1914 crore representing a growth of 26%. Moving to slide number 7. This slide gives you bit of a snippet in terms of our revenue breakup. Where from we have got the revenue of. 1500 crore revenue. Wiring harness contributed about 28%, vehicle access contributed 23%, cluster business contributed 18% and die casting business contributed 15%. From a geography perspective as the company continues to be a heavily India dependent company.
India contributes about 88% and export contributes about 12% and out of that 5% comes from Southeast Asia. Business and Europe and North America contribute 7%. From a end market standpoint 45% revenue comes from two wheeler and three wheeler. Commercial vehicle contributes 29%, passenger vehicle contributes 15% and aftermarket contributes about 11%. I’ll not speak much about our associate of these Flash’s performance because Aakash has already in detail covered. They have also witnessed a strong and strategic. They have seen a strong and strategic growth path across their product line and they have also admitted Few large players during the quarter.
From a capital capex perspective, during the year we had committed to spend close to about 400 odd crore for the capex. We have already spent about 276 crores for the nine month ended FY26 and we plan to spend another 100 crore in the coming quarter as well. We are moving strongly in operationalizing most of our capex. Whether it is diecasting plant in Pune, MIL plant in Una as well as die casting plant in Greater Noida. Moving to slide number 15. These are some of the products which are under launch. We have already detailed out in our Investors day presentation as well.
Whether it is Sunroof, png, whether it is switches or EV products. And slide number 13 gives you our consolidated income statement from FY21 till FY25 and slide number just 7. With this back to the operator, we can start with the Q and A.
operator
Thank you very much. We’ll now begin 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 handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. Our first question comes from the line of Raghunanda Nel from Nuvama Research. Please go ahead.
Raghunanda Nel — Analyst
Congratulations sir. Extremely strong numbers. Sir, my first question was on commercial vehicle space. It’s an important segment for us representing around 30% of revenue. Can you indicate your thoughts about the outlook here? Do you think the demand conditions have significantly improved and you see an upcycle in this space going forward?
Ajay Agarwal — President Finance and Strategy
Yes. Hi Raghu, how are you? I think the commercial vehicles has done growth in the recent quarter as well as the first nine months. We expect the commercial vehicles also to continue growth in the next quarter four as well as in the first half of next year. The primary reasons we believe is due to the regulation changes that have been there plus the infrastructure upgradation that is happening all across India. And last, not the least, of course the trade has been booming within India as well as for exports. So India is of course on a.
Growth. With the GDP growing. So we believe that these are the reasons where the commercial vehicle segment is expected to grow at least for the immediate future.
Raghunanda Nel — Analyst
Noted, sir. Thank you. Secondly, on the orders for switches and sunroof, a very large order of thousand crore. For switches and sunroof, 350 crore. Both are starting SOP or the manufacturing is starting for both in FY27. Firstly you know when you say lifetime order for how many years does it represent? And you know like would there be a ramp up phase for this order? That is would it take two, three years to reach the peak? How does it work?
Ajay Agarwal — President Finance and Strategy
Yes, Raghu, I think what you answered is also your own questions. So yes, the switches business is expected to start in quarter two, FY28. So next year the plant is already under construction, its partners are already here. And now the localization, the other things are going on. So we expect one year from here ends the production to start. And yes, the orders as you mentioned are lifetime. So they will take about two years to ramp up and then subsequently it will move forward. Number two when it comes to the sunroof. So that is also a lifetime business.
It is expected to start SOP in quarter one of FY28 which is next year and 27 and the ramp up is expected to happen over the next few quarters. So that is how we expect these businesses to ramp up.
Raghunanda Nel — Analyst
Thanks for the meeting. And would it be fair to assume that lifetime order would mean four years?
Ajay Agarwal — President Finance and Strategy
Yes, on a. Typically you can say four to five years. Yes.
Raghunanda Nel — Analyst
Understood sir. And on the export side, how are you seeing the signs of improvement? Recently there has been both talks of EU and US agreements with India. So how do you see the future for FY27 and also your strong markets of Asia? If you can talk about all of them.
Ajay Agarwal — President Finance and Strategy
Yes. So for us at least now we can see the exports coming back to normalcy in this quarter. You will acknowledge that over the last many quarters, about four to five quarters, the exports have been kind of subdued. But this quarter we have seen coming back to normalcy where our exports to Europe as well as to the US both are picking up. And it is across the divisions that we have now. We welcome the trade agreement between UK and Europe as well as the tariff alignment that has happened between India and us. However, all the components is not clear yet and we will get a clarity soon.
But hopefully it should be in the similar range and not much of a difference where we continue to engage with our customers. The order books that we have already one in the last quarters where we have shared before they expect to come without any delay into startup production over the next few quarters.
Raghunanda Nel — Analyst
Thank you sir. And lastly to Ajay sir, if you can indicate other expenses have seen a 7% QoQ drop. Can you indicate the reason and whether this number is sustainable? Also if you can talk about copper, there has been a big increase in copper price. Is there A lag for us in pass through of that commodity impact to customers.
Ajay Agarwal — President Finance and Strategy
See all indexed costs are having a reciprocal arrangement from our vendors. Plus from our customers perspective there could be a lag of a quarter or so while we do the through up with our vendor and pass those on to the oem. That arrangement has been there with the organization for several years now and the practice is working quite well. Yes, definitely. This year has been quite aberration when it comes to commodity and not only for copper, it is equally applicable for aluminum and rest of the alloys as well because we are heavily dependent on aluminium, copper and rest of the index products too.
Speaking about the other expenses, we have managed to reduce the other expenses and largely those are two three counts. One is savings in energy cost due to renewable and few other things. Second, we have managed to carry out certain activities through job work as well. That has also led to reduction of our other expenses.
Raghunanda Nel — Analyst
Thank you sir. So fair to assume that you will be able to maintain the other expenses to revenue at this reduced level.
Ajay Agarwal — President Finance and Strategy
Yeah. Thank you sir. I’ll come back in the queue.
Raghunanda Nel — Analyst
Thank you.
operator
Thank you. Our next question comes from the line of Jyoti Singh from arihant Capital Markets Ltd. Please go ahead.
Jyoti Singh — Analyst
Good evening sir. Hope I’m audible.
operator
Yes ma’. Am.
Jyoti Singh — Analyst
So my first question is while the shift to information and connectivity system is driving top line growth but consolidated EBITDA margin have remained stagnant around 11.5, can you, can you bridge the path to your target of 12.5%? Specifically how much of this margin expansion is dependent on the localization of high tech electronics versus the pure operating leverage.
Ajay Agarwal — President Finance and Strategy
So. Mr. We have already shared before that first of all where we come from is about high single digit. About a couple of years ago and the last 8 to 12 quarters we have come from about 10% to a sustainable and consistent delivery of 11.5% which is what we had committed as well as shared with all our shareholders and all your colleagues. Similarly, I think this is also one of the highest favor EBITDA that we have posted with 25% growth in the revenue and on the nine month basis. Also we have posted the highest ever EBITDA in terms of the value and percentage terms.
What is going to drive growth going forward is on multiple aspects. Our first continue focus on operational excellence. Number two is we are investing and going to be focused on localization and backward integration as well. There are multiple initiatives that are happening that I can’t share on the call which are strategic in nature on how we can improve that Whether it is related to the electronics or some of the subsidies that the customers have. Sorry. The government has offered us and we will be investing in that which will help us drive MINDAC operations growth both from top line and bottom line.
So this is what I would like to share about how we have come across and where we are looking at growing from the EBITDA perspective.
Jyoti Singh — Analyst
Okay. Okay. Got it sir. So you have announced around 2000 crore capex plan to triple revenue by 2030. So how will this massive investment translate into a 15% plus ROCE? And at what stage do we expect to see the peak of this capital intensity?
Ajay Agarwal — President Finance and Strategy
See every year we spend you know give or take 300 to 400 crore. So if you are looking at you know up to FY 2030 by design we will land up spending around 1500 crores. And given our other strategic priority, whether it is premiumization, whether investment in new businesses, acquiring new clients, focusing on exports, launching new products, all those will also accelerate our capex from 1500 crore design 1500 crore to 2000 odd crore. From a return on capital employed perspective if you do an Apple to Apple comparison they are already doing a margin of about 22%.
Because you know why the dysfunctional numbers you are able to arrive at is due to the fact that you know interest is labeled in mind of corporation whereas the revenue or the profit of flash is not consolidated. But if you do the Apple to Apple comparison we do close to about 24% ROCE. And I think you know what we have promised the market to deliver by 2030 is improvement from 22 to 20. And given our disciplined capital allocation and making sure that whatever investment we do particularly from connected business, high revenue business and high margin business we are confident that we will be able to you know increase our ROC from current 20% rate to 25%.
Jyoti Singh — Analyst
Okay. Okay. What is our current gross debt as of 12-3-31? Both long term and short term. And have we repaid any during this period? And what are the repayment plan going forward?
Ajay Agarwal — President Finance and Strategy
So our gross debt is about 1100 odd crore and we have paid about 70 odd crore debt during the first nine month period. I don’t have the quarter wise details but during the nine month period we paid about 70 odd crore. And as you know promoter has infused around 104 crore through share warrant. That amount was largely used towards the repayment of debt.
Jyoti Singh — Analyst
Okay. During FY26 or further during FY26. Okay. Okay. Thank you so much sir. That’s it for. Thank you.
operator
Thank you. Participants who Wish to ask a question? May press star and one on the Touchstone telephone. Our next question comes from the line of Sridhar Kalyani from Antique Stockbroking. Please go ahead.
Sridhar Kalyani — Analyst
Thank you for the opportunity. Sir. My question is with regards to flash electronics where Mr. Sanjeev had mentioned few months back on Minda Corporations investor day that they were in very advanced state with respect to the non ferrite synchronous motor. Just wanted to understand what is the status on that product? Are we ready for mass production or do we have any commercial order from any of the OEMs?
Ajay Agarwal — President Finance and Strategy
Yeah, so that motor is already designed, developed by our technical center or Flash technical center in Poland. Yes, it is already, you know, it takes a lot of time on the field drives as well. But yes, we have showcased this product to our couple of customers as well and we are working with them closely. But yes, no order has been booked so far, but all our large customers are moving forward for final evaluation or further evaluation and then we can hopefully be able to conclude something in the next couple of months.
Sridhar Kalyani — Analyst
Is it fair to understand that the OEMs are currently testing the product rigorously? Is that the current status?
Ajay Agarwal — President Finance and Strategy
That’s right, yes. We are also testing. Yeah. And then we have some customers as well and on the field.
Sridhar Kalyani — Analyst
So generally sir, how much timeline does it take for the OEMs to test and validate a product and then for that product to come under our sop?
Ajay Agarwal — President Finance and Strategy
So technically in the automotive industry, you know, whether it’s a new product, you can say once the product is ready to offer to the customer, then depending on the product and in this case you can say at least about six to eight months time because entire architecture and the vehicle performance is based on the motor. So yes, with the technically proven solution and all the simulations and the validation that are done in the lab, it could take somewhere about six to nine months from after you know what to come into the mass production or from, from the first proportion, the first sample to come into the order and then so on.
So.
Sridhar Kalyani — Analyst
Got it. And this is a proprietary product which is under the label of Flash Electronics. Is the understanding correct, sir?
Ajay Agarwal — President Finance and Strategy
Yes. Okay, thank you so much. Thank you.
operator
Thank you. Anyone who wishes to ask a question may press star and one on the touchtone telephone. Our next question comes from the line of Shubham Bhatra from Ambit amc. Please go ahead.
Shubham Bhatra — Analyst
Hi sir, thanks for taking my question. Congratulations on a strong set of numbers. Couple of questions. Firstly, the flash margins have been doing really well and we are growing margins quarter on quarter what would be a sustainable level of margins to assume going forward? Secondly, if you could talk on what is the capacity utilization across.
operator
Sorry to interrupt you sir, but can you speak a little louder? Just a little louder?
Shubham Bhatra — Analyst
Sure. My first question was flash margins have. Been doing really well. What is the sustainable level of margin. To assume going ahead? Secondly, what is the capacity utilization across business segments for us currently?
Ajay Agarwal — President Finance and Strategy
So the margins you know are again going to be in the same. Same level that we have shown in the last two or three quarters which is somewhere about 16 to 17%. And we expect this to be of course stay sustainable and consistently going forward. Of course many of this or a lot of this is also dependent on the export orders which is also good for this quarter as well for flash electronics and. Sorry, your second question was. Yeah, capacity utilization on the second capacity utilization on their gear business. Their capacity utilization is quite, you know, high.
But they have, you know, how do I say the facility where they can add on new machines and create capacity. So that’s you know, not a concern in terms of space when it comes to the other EV motor and the other, you know, the ICE products related. So they have capacity to the tune of let’s say about 20%. And plus for the electric vehicle motors and the motor controllers and integrated drive unit. The plant that they had inaugurated about a year ago is already full and we are now starting investing in the new plant which will be ready in about three to four months time.
Shubham Bhatra — Analyst
Sir, I also wanted capacity utilization on our Minda business, the die casting and.
Ajay Agarwal — President Finance and Strategy
Yeah, I see, I see. Yeah. Minta Corporation overall capacity at the group level is you can say somewhere about 84 to 85%.
Shubham Bhatra — Analyst
Okay, got it. Got it, sir. Thank you.
Ajay Agarwal — President Finance and Strategy
Thank you.
operator
Thank you. Our next question comes from the line of Devesh Kayal from Monarch aif. Please go ahead.
Devesh Kayal — Analyst
Yeah, so can you share Rnd springs are that expensive. What was the amount of R D spends in other expenses?
Ajay Agarwal — President Finance and Strategy
So you can repeat the question please.
Devesh Kayal — Analyst
Can you share R D amount?
Ajay Agarwal — President Finance and Strategy
So R D expenses. We are investing somewhere about 4% of our top line which is including OPEX and Capex. It is not included in others expenses because you know, obviously the whole expenditure can be bifurcated into one opex. The other is personal expenses, people related expenses. So people related expenses will feature in employee costs and other expenses will accordingly get clubbed across each of those separate. But as Akash mentioned, we spend about 2% of our revenue in R. Understood.
Devesh Kayal — Analyst
And for the nine months also it would be around 4%. Sorry, for the nine months also it would Be around 4%.
Ajay Agarwal — President Finance and Strategy
Yeah. Nine months after 26. Yes, yes. Close to 4%.
Devesh Kayal — Analyst
And so if I see the others other segment. So if I exclude the aftermarket revenue from that other segment. So the remaining basically the EV products and all. So that seems like a very low number for this year, for this quarter. Is that understanding?
Ajay Agarwal — President Finance and Strategy
Right? Yeah. Again this includes firstly our multiple products which is the, you know, the small starter motor division, the EV product lines, then the interior plastic division. You know there are other products which are under startup range. So yes, there are products which are getting into sop. There are products which have recently got into sop. The ramp up does happen. But overall the quarter product mix is you know, depending on the. On the larger vertical. And that segment includes aftermarket revenues also in the others. Sorry, speak up. I am saying the others segment includes the aftermarket revenues also. Right? Yes. Yes.
Devesh Kayal — Analyst
Okay. Okay. That’s it from my side. Thank you.
Ajay Agarwal — President Finance and Strategy
Thank you.
operator
Participants who wish to ask a question may press star and one on the Touchstone telephone. Our next question comes from the line of Vijay from Nuama. Please go ahead.
Vijay — Analyst
Hi sir, thank you for taking my question. Couple of questions I had. First is on Flash Electronics. So there is a very good margin expansion on the Flash Electronics over last six to nine months. Just wanted to understand what is driving this margin expansion. How much is coming from the synergies and what else are the main factors for that?
Ajay Agarwal — President Finance and Strategy
Yeah, so as you know Flash electronics houses multiple products which is EV as well as on the ICE related powertrain product line. And the third vertical is on the cares business. So there are three primary product lines. Of course margin expansion is coming from the EV product portfolio as well as other gear businesses which are exports. These are the reasons again a favorable product mix on how the expansion of the margin is happening. But yes, growth is coming across all three product lines and across domestic as well as exports.
Vijay — Analyst
And do we expect to maintain this 18% EBITDA margin going forward for Flash Electronics?
Ajay Agarwal — President Finance and Strategy
So I just shared before its sustainable numbers could be again about 16 to 17% year and then. But of course our interest is how we can expand them further which is our efforts that we are putting in place.
Vijay — Analyst
Secondly sir, just on the same the rare earth magnet issue that is behind us. Right. We are still seeing some impact from this.
Ajay Agarwal — President Finance and Strategy
That is behind us. The overall industry I think has figured out, you know, multiple ways. So have we. And plus now with the new budget and the overall magnetic corridor that is being created, a lot of efforts have been done and a lot of opportunities. Open up for the industry as a whole. And secondly technically on technology wise also we have created motors which are Magnet less and rarer 3 and so with ferrite magnet also which are not coming from China or from other countries as well. Technology wise also we have developed products across segments which can cater products.
Also.
Vijay — Analyst
Looking Forward into the fourth quarter and FY27 are you seeing any raw material headwinds and how do you start to session it Especially on the copper, aluminum and other metal side.
Ajay Agarwal — President Finance and Strategy
You know I was reading some of the financial statement of some of the large resource companies in India. Many have hedged their position and many have not hedged. And you would have already seen some companies had hedged silver at some $39 in Q2. If those companies are not able to predict how the commodity cycle will behave, it’s very very difficult. But thankfully whether it is flash, whether it is Minda Corporation, all our group companies are following a very strategic approach which is passing on the cost. We don’t enjoy the upside neither we lose our sleep because of the price going down.
So therefore we are properly hedged and we are not in the business of making money out of commodity uptrend or downtrend. We are here to really excellent manufacturing capability and deliver quality service.
Vijay — Analyst
This work like there is no time lag between the raw material price increase and pass on to the customer, is it? There is a delay.
Ajay Agarwal — President Finance and Strategy
I think I just answered question to the previous question. We typically, you know do this index cost quarter on quarter. So we do true up every quarter.
Vijay — Analyst
Okay. Okay. Thank you sir and all the best for upcoming quarters.
Ajay Agarwal — President Finance and Strategy
Thank you. Thank you.
operator
Thank you. Our next question comes from the line of Dhananjay Mishra from Sunidi Securities. Please go ahead.
Dhananjay Mishra — Analyst
Thanks for the opportunity and conversation. The strong numbers. Sir, we have mentioned about kit value in two wheeler segment including flash electronic. So likewise what could be the expected kit value for the four wheeler and TV segment once all our product go on stage?
Ajay Agarwal — President Finance and Strategy
Oh that’s a good question. But you know it depends. If I look at a complete kit value with flash electronics and what we can offer only from the engine side, you know it is only from the primarily on the power electronics and now we are working for the four wheeler motor that we have developed so you can typically put somewhere about 50,000 to 60,000. However if I club products and make it a system solution into six in one or seven in one that could even go up to 90,000 or one lakh rupees. So it really depends as a complete kit value.
But Customers may select to take all as a combination. They may select to take you know one, one component out of this. They may select integration. So a lot of possibilities are there when it comes to this, you know, product offering in the four wheeler space.
Dhananjay Mishra — Analyst
And you mentioned for the new order which is into smart key segment that will start in Q2 FY28.
Ajay Agarwal — President Finance and Strategy
Right. The new new lifetime order we have received thousand crore. So which will start. That part of it will start Q2 of next fiscal year and part will start in Q2 of 28 or 20.
Dhananjay Mishra — Analyst
Okay, here it is mentioned. The facility will be completed by Q4 of 0.27. Which, which are you talking about? The Sunroof or the, the mentioned Q2. Q1.
Ajay Agarwal — President Finance and Strategy
Which is is already under commissioning. The plant is already expected to be ready by quarter four FY27 which is about one year from here and the SOP is expected to start in quarter one and or quarter two in FY28 and then the ramp up, you know further will happen in let’s say about a year from there.
Dhananjay Mishra — Analyst
And once we start getting other orders from other OEMs in this sun Group segment, what could be the potential annual contribution from this segment let’s say in FY 2029?
Ajay Agarwal — President Finance and Strategy
That’s a very broad question. But as you know the Sandroof market in India is expanding and growing very fast. Now of course there are a couple of you know, companies as well who are working at this segment. But Sunroof is expected to penetrate faster. There are also various technologies that are coming in. So our target is how we can go to at least you know, 10 to 15% of market share by FY 2030 or 31. That is our intentions at first.
Dhananjay Mishra — Analyst
Okay, thank you. That you’ll open my face.
Ajay Agarwal — President Finance and Strategy
Thank you. Thank you very much.
operator
Thank you. Anyone who wishes to ask a question may press Star and one on the Touchstone telephone. Our next question comes from the line of Munindra Upadhyaye from Elara Securities India Private Limited. Please go ahead.
Munendra Upadhyay — Analyst
Thank you for taking my question. Actually I have couple of questions on the bit long term trend first. So on the ADAS and sensors business, what kind of demand, outlook or localization potential do we see for the say next three to four years down the line and what are our plans to like capitalize on that product?
Ajay Agarwal — President Finance and Strategy
Yeah, so I think firstly safety is I think very important globally and more importantly in India. It is also personally very close to my heart on how we can contribute as an organization to this coming about to the ADAS systems In the new four wheelers that are coming in that are very much equipped until L1 level of DAS systems coming from the Indian or even global OEMs. Number two is these systems are currently provided by the large global tier ones as it is a system solution offering. Our focus here across the ADAs as a product is to enter from the component side and not the system when it comes to the passenger vehicle or others.
So that’s number one focus. Number two when it comes to the other segments such as two wheelers and all. We have already developed products which are already getting tested at customer tent which is a complete system solution offering for front collision, rare blind spot. So these are some of the systems that we have already developed for this market. And then looking at the components from the adas, this is where we would like to work and we’re looking for a couple of opportunities in that respect. So that is something that we are going to be taking going forward from the component side primarily.
Munendra Upadhyay — Analyst
Okay, that was helpful sir. My second question was on the export front. So how are we see the demand like panning out? Is the situation improving there or like any comment on the recent fta like do we expect to pick up in demand due to this? Any commentary or outlook would be good on this.
Ajay Agarwal — President Finance and Strategy
Yeah. So Mr. Pradeh, the first time in I think six to eight quarters particularly for Minda Corporation, the export orders have come to normalcy and you know thanks to the clarity that is brought by various, you know, EU agreements as well as you know, the tariff clarity, etc. However, going in the quarter four and the next, you know, year, we expect our new SOPs to come into new orders coming to startup production as well as the existing business ramp up to happen. So it is expected to grow. I cannot really comment how much and how fast but it is just the first quarter and too early to comment.
So we’ll have to see quarter on quarter basis at least for the next two quarters. And in addition to what Akash just said, our long term vision remains quite strong for export. We expect to take our export business from current about 500 odd crore to 1500 crore by 2030. That vision remains static.
Munendra Upadhyay — Analyst
Okay, thank you sir, that’s really helpful. That was all from Matt.
operator
Thank you ladies and gentlemen, as there are no further questions from the participants, I would now like to hand the conference over to the management for closing comments.
Ajay Agarwal — President Finance and Strategy
So thank you very much and I would like to really thank Elara for organizing this call and thank everyone for joining the call. We remain highly confident in our growth trajectory both in the near term and long term, driven by strategic investments and unwavering commitments to advancing our products and technologies. We are committed to creating value for all our stakeholders and shareholders. We are investing deeply in our capabilities in terms of people capacities, capabilities, technologies and competencies across space. I hope we have been able to respond to most of the queries. For further information, we request you to please do get in touch with our IR team.
Thank you and have a great day.
operator
Thank you. On behalf of Alara Securities India Private Limited that concludes this conference. Thank you for joining us and you may now disconnect your lines.
operator
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