Steel Strips Wheels Limited Earnings Summary — Q4 FY2026
Steel Strips Wheels Limited (SSWL) Hits Record Quarterly Sales and Net Profit Recovery in Q4 FY2026
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue has increased for 5 consecutive quarters.
- Revenue of ₹1,510 Cr is 27.2% higher year-on-year.
- Revenue has compounded at 16.6% annualised over the last 10 quarters.
- Revenue is at its highest level in 10 quarters.
- Net profit of ₹69 Cr is 47.0% above the same quarter last year.
- Profit growth is outpacing revenue growth, pointing to positive operating leverage.
- Net profit has compounded at -59.0% annualised across the period.
- Operating margin stands at 10.8% in Q1 FY2027.
- Operating margin expanded by 55 bps year-on-year.
- Over the last two years operating margin has contracted by 23 bps.
- PBT margin is 6.2%.
- Expense growth of 26.4% remained below revenue growth of 27.2%.
- Operating profit of ₹163 Cr is 34.1% higher year-on-year.
- Operating leverage continues to improve.
- 6 of the last 6 measured quarters delivered year-on-year revenue growth.
- Overall quarterly business momentum scores 69/100 (Healthy) on the latest 10 quarters.
- Business momentum remains positive heading into the next quarter.
Quarterly Financials
Last 10 Reported Quarters • All figures in ₹ Crore • Margins in %
| Metric | Trend | Latest Q1 FY2027 | Q4 FY2026 | Q3 FY2026 | Q2 FY2026 | Q1 FY2026 | Q4 FY2025 | Q3 FY2025 | Q2 FY2025 | Q1 FY2025 | Q4 FY2024 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | Improving | 1,510 | 1,475 | 1,321 | 1,201 | 1,187 | 1,234 | 1,075 | 1,095 | 1,025 | 1,069 |
| Expenses | Improving | 1,347 | 1,325 | 1,193 | 1,089 | 1,065 | 1,100 | 957 | 976 | 912 | 959 |
| Operating Profit | Accelerating | 163 | 150 | 127 | 111 | 122 | 134 | 118 | 119 | 113 | 110 |
| Operating Margin | Stable | 10.8% | 10.2% | 9.7% | 9.3% | 10.2% | 10.9% | 10.9% | 10.9% | 11.0% | 10.3% |
| Other Income | Volatile | 1 | 1 | 0 | 1 | 1 | 1 | 0 | 1 | 1 | 478 |
| Interest | Stable | 32 | 31 | 32 | 32 | 29 | 29 | 26 | 30 | 31 | 28 |
| Depreciation | Stable | 38 | 37 | 35 | 32 | 32 | 28 | 27 | 28 | 29 | 37 |
| Profit Before Tax | Stable | 93 | 83 | 62 | 48 | 61 | 78 | 64 | 62 | 55 | 523 |
| Tax | Strong Uptrend | 24 | 22 | 15 | 13 | 14 | 17 | 17 | 16 | 14 | 7 |
| Net Profit | Stable | 69 | 61 | 47 | 36 | 47 | 61 | 48 | 46 | 41 | 516 |
| Net Margin | Softening | 4.6% | 4.1% | 3.5% | 3.0% | 4.0% | 4.9% | 4.4% | 4.2% | 4.0% | 48.2% |
Key Takeaways
- Revenue reached a significant quarterly high of ₹1,475 Crores, representing strong 19.5% YoY growth.
- Net profit recovered to ₹61 Crores, matching the previous year's high after several quarters of volatility.
- Operating margins have stabilized at 10%, though they remain below the 11-13% historical range.
- The alloy wheel segment and export contributions are becoming central drivers of the company's value proposition.
- Working capital management is slightly deteriorating, with Debtor Days expanding to 43 days by year-end.
- Borrowings have remained stagnant at ₹828 Crores, showing disciplined debt management despite ongoing capital expenditure.
- Raw material costs (Expenses) grew by 20.5% YoY, slightly outpacing revenue growth and pressuring gross spreads.
Management Guidance
Management is prioritizing a strategic pivot toward alloy wheels and export markets to capture higher-margin business. They aim to maintain 'preferred supplier' status with major OEMs while managing the high debt-servicing costs associated with recent plant expansions.
Sentiment Shift
Improving
After a year of profit stagnation and margin compression, the Q4 results show a powerful volume-driven recovery in both top-line and bottom-line figures.
Outlook
The outlook remains optimistic as SSWL scales past the ₹5,000 Cr annual revenue mark, supported by high capacity utilization in the alloy wheel segment and a recovery in export demand across the Passenger Vehicle and Commercial Vehicle segments.
From the Annual Report (Key Quotes)
“SSWL has evolved from a steel wheel manufacturer into a diversified wheel solution provider.”
“The strategic pivot toward exports and alloy wheels for passenger vehicles is the primary driver of value.”
“High capacity utilization is critical to driving profitability given the capital-intensive nature of the business.”
Official Quarterly Documents
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This summary is AI-generated from Steel Strips Wheels Limited's latest quarterly filing and earnings call. For informational purposes only — not investment advice.