TVS Holdings (Erstwhile known as Sundaram Clayton Ltd) was incorporated in Chennai in 1962 and is part of the TVS group, led by Mr. Venu Srinivasan. It is engaged in the business of manufacturing and distributing aluminum die castings. Sundaram Clayton manufactures non-ferrous gravity and pressure die castings.
Q3 FY26 Earnings Results
- Revenue from Operations: Consolidated ₹15,276 cr, +34.5% YoY vs ₹11,377 cr, +5% QoQ vs ₹14,549 cr; record quarterly high driven by automotive vehicles/parts segment PBIT surge (+66% YoY to ₹1,084 cr) and financial services PBIT (+29% QoQ to ₹560 cr).
- EBITDA: PBDIT excl other income ₹2,464 cr (+34% YoY), margin 16.11% (+13 bps YoY, +57 bps QoQ); operating margins expanded to 16.89% (+59 bps YoQ) on leverage from volume growth and cost efficiencies.
- PAT: Attributable to owners ₹493 cr (+27.8% YoY vs ₹386 cr, +11.4% QoQ vs ₹443 cr), PAT margin 6.65% (+48 bps YoY); EPS basic ₹628.5 (+193 bps YoY); 9M revenue ₹42,567 cr (+27.5% YoY), PAT ₹1,272 cr (+44% YoY).
- Other key metrics: Interest coverage 3.79x (highest ever), debt/equity 6.25x (lowest 9M), inventory turnover 19x (peak); automotive strong, financial services resilient; net debt/equity improved to 5.1x (−1 YoY).
Management Commentary & Strategic Decisions
- Strongest-ever Q3 with record sales/profits reflecting diversified portfolio strength and execution amid favourable demand; sustained momentum positions well for FY26.
- Strategic moves: Focus on growth investments, EV/exports ramp in automotive, portfolio optimization; “Outstanding” financial trends with peak metrics.
Q2 FY26 Earnings Results
- Revenue from Operations: Consolidated ₹14,549 cr (+26% YoY vs ₹11,450 cr, +14% QoQ); total income ₹14,562 cr.
- EBITDA: PBDIT excl OI ₹2,273 cr (+34% YoY), margin 16.3% (+121 bps YoY).
- PAT: ₹443 cr (+59% YoY vs ₹279 cr, +32% QoQ), EPS ₹218.89; H1 PAT ₹778 cr (+57% YoY).
- Other key metrics: H1 sales ₹27,291 cr (+24% YoY); promoter stake up to 23%; debt/equity −0.31x.
Management Commentary Q2
- Record Q2 sales/OPBIT with margin gains despite costs; H1 momentum strong.
- Strategic moves: Growth capex, efficiency focus; attractive valuation 0.56x BV.
To view the company’s previous earnings and latest concall transcripts, click here to visit the Alphastreet India news channel.