India (10th Aug 2023) – Samvardhana Motherson International Limited (SAMIL) [formerly Motherson Sumi Systems Ltd.] today announced its financial results for the first quarter of the fiscal year 2023-24, which ended on 30th June 2023.
Commenting on the results, Mr. Vivek Chaand Sehgal, Chairman, Motherson said,
“We have delivered another quarter of strong performance. The automotive industry is stabilising with new cost structures and Motherson continues to adapt to the evolving landscape. We are working in close collaboration with our customers, and to better serve them in these challenging times we have closed 7 acquisitions with their support. We aim to bring innovative solutions, to streamline and solve operational issues. These acquisitions will further increase our value added content and will provide new growth opportunities for Motherson. We are grateful to our customers for their trust and support.
Motherson extends a warm welcome to over 8,500 employees of the new companies into our family. We believe that these are very exciting times for Motherson.”
Key Highlights
- Outgrowing industry by far on YoY basis with strong growth across all business divisions
- Strong growth in EBITDA is driven by operating efficiency, softening in material and energy price and continued customer support
- Leverage ratio of 1.4x maintained, normalisation of working capital underway
- EV’s revenue has increased over Rs 1,600 crores in Q1FY24 (FY23 EV revenue was ~Rs 4,900 crores)
- Macro-economic factors stabilising at elevated levels while wage bill and interest rates continue to mount pressure on profitability
- Sharing of inflationary pressure continues with customers.
- Continued focus on improving performance / restructuring of sub-optimal units alongside customers
Financial Performance
| Q1FY24 | INR Crores |
| Revenues | 22,462 |
| EBITDA | 1,940 |
| EBITDA Margin | 8.6% |
| PAT | 601 |
