Automobile and Auto Components · NSE/BSE: SCHAEFFLER

Schaeffler India Limited Earnings Summary — Q4 FY2026

Sentiment: Positive
AI-generated summary

Schaeffler India Reports Strong Revenue Growth but Quarterly Profit Declines Sequentially

Key Takeaways

  • Revenue for the quarter grew 18.95% YoY to ₹2,586 Cr, though it saw a 5% sequential decline.
  • Net profit followed a similar trend, up strongly by 44% YoY but dipping 1.86% from the previous quarter.
  • Operating margins have remained remarkably stable at 18%, showcasing resilient cost management.
  • The balance sheet remains robust and effectively debt-free, supporting high financial stability.
  • Annual TTM profit growth of 25% suggests positive operating leverage over the longer term.
  • Asset efficiency remains high with a ROCE consistently exceeding the 25% threshold.
  • Localization and R&D focus continue to drive the company's multi-segment auto and industrial expansion.
  • Working capital management showed improvement with the cash conversion cycle narrowing to 68 days.

Management Guidance

Management emphasizes technology-led growth, digital transformation via the Koovers acquisition, and a continued focus on R&D-driven product development to expand their addressable market.

Sentiment Shift

Stable

Outlook

The outlook remains healthy driven by a strong presence in precision bearings and expanding reach in engine and transmission components. Growth is expected to be fueled by the transition toward higher-value industrial and automotive systems despite ICE-specific cyclical risks.

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This summary is AI-generated from Schaeffler India Limited's latest annual report and public disclosures. It is for informational purposes only and is not investment advice.