ASK Automotive Q2 net revenue grew 29.5%, ahead of output

ASK Automotive Limited reported Q2 FY27 net revenue growth of 29.5% year on year, exceeding the 16.5% growth in two-wheeler production cited by management, after excluding the effect of alloy-price pass-through and a strategic reduction in wheel assembly. Reported consolidated revenue growth was 47.5%.

How did ASK Automotive's Q2 revenue grow 29.5%?

ASK Automotive reported 47.5% year-on-year consolidated revenue growth in Q2 FY27, but management said net revenue growth was 29.5% after accounting for higher aluminium-alloy prices passed through to customers and a strategic reduction in the wheel assembly business. Management quantified the alloy-price pass-through impact at 23% and the wheel assembly reduction at 5%.

Management said alloy-price pass-through raised reported revenue and reduced the reported earnings before interest, tax, depreciation and amortisation, or EBITDA, margin percentage through a denominator effect. Absolute Q2 FY27 EBITDA nevertheless increased 30% year on year to Rs 185 crore, while the EBITDA margin was 11.8%.

Q2 FY27 profit after tax, or PAT, rose 27.3% year on year to Rs 102 crore. Earnings per share increased to Rs 5.15 from Rs 4.05 in the corresponding quarter a year earlier, and management described the quarter as ASK Automotive’s highest-ever quarterly revenue, EBITDA and PAT.

Did ASK Automotive outgrow two-wheeler production in Q2?

ASK Automotive said its 29.5% Q2 FY27 net revenue growth exceeded the 16.5% increase in two-wheeler production used in its comparison, a difference of 13 percentage points. Management therefore said the company outperformed its main vehicle market after the stated adjustments for alloy prices and reduced wheel assembly business.

Two-wheeler production reached 81 lakh units in Q2 FY27, compared with 69.5 lakh units in the corresponding quarter a year earlier, according to data cited on the call. For H1 FY27, domestic two-wheeler production reached 153.7 lakh units, up 19.5% from 128.6 lakh units in H1 FY26.

The comparison is between ASK Automotive’s net revenue growth and industry production growth, rather than a comparison of company and industry unit volumes. Management did not disclose ASK Automotive’s Q2 FY27 production volumes, but it reported net revenue growth of 29.5% against the 16.5% industry production measure.

Which ASK Automotive businesses drove Q2 growth?

All three disclosed product segments grew in Q2 FY27, led by aluminium lightweighting precision solutions, or ALPS, with 69% year-on-year revenue growth. Advanced braking systems revenue increased 46%, while safety control cables revenue rose 33%.

Export revenue increased 133.3% year on year to Rs 70 crore in Q2 FY27 from Rs 30 crore in the previous-year quarter. Management also said ASK Automotive’s electric-vehicle business grew 98% year on year in Q2 FY27, although it did not disclose the revenue contribution or share of ALPS revenue from that business.

ASK Automotive began regular supplies of high-pressure die-cast, or HPDC, alloy wheels to a Japanese customer on August 3, 2026, under a technical collaboration with Kyushu Yanagawa, Japan. Management said these were the first HPDC alloy wheels introduced in Indian two-wheelers and expected FY27 supply revenue of about Rs 80 crore from that customer.

What do ASK Automotive's first-half results show?

ASK Automotive reported H1 FY27 net revenue growth of 27.6%, ahead of the 19.5% rise in domestic two-wheeler production during the half year. Reported consolidated revenue growth was 49.6%, while management cited a 27.1% alloy-price pass-through impact and a 5.1% strategic reduction in wheel assembly in explaining net growth.

H1 FY27 EBITDA increased 31.3% year on year to Rs 348 crore, with an EBITDA margin of 11.9%. PAT rose 28% to Rs 187 crore, while earnings per share increased to Rs 9.47 from Rs 7.40 in H1 FY26.

H1 revenue grew 47% in advanced braking systems, 72% in ALPS and 27% in safety control cables. Export revenue rose 74% to Rs 109 crore from Rs 63 crore in H1 FY26, and management said the independent aftermarket accounted for about 11% of overall revenue.

What is ASK Automotive planning after Q2 FY27?

ASK Automotive management said it remained confident of high-teens FY27 net revenue growth, despite a higher base in Q3 and Q4 after GST 2.0. In response to an analyst, management confirmed that its high-teens outlook referred to net revenue growth rather than reported revenue including alloy-price pass-through.

Management said it expected FY27 export revenue to exceed its earlier Rs 180 crore guidance, while identifying geopolitical conditions as an uncertainty. For the Japanese alloy-wheel customer, management projected orders of about Rs 240 crore in the next financial year, while supplies to Indian customers remained in final-stage testing and would begin only in the next financial year if testing is completed.

ASK Automotive said it had commissioned its 19th plant for friction-material and brake expansion and expected its 20th plant, the fourth in Bengaluru, to be commissioned around January 14 or 15, 2027. Management said a prior plant built with investment of about Rs 380 crore was operating at 90% capacity utilisation, and it had budgeted about Rs 700 crore of capital expenditure for the current year and Rs 500 crore for the next year.

Conclusion

ASK Automotive’s Q2 FY27 results distinguish 47.5% reported revenue growth from 29.5% net revenue growth after management’s alloy-price pass-through and wheel-assembly adjustments. The net measure still exceeded the company’s cited 16.5% two-wheeler production growth, while Q2 EBITDA rose to Rs 185 crore and all three reported product segments recorded revenue growth.

The next measures to watch are management’s high-teens FY27 net revenue outlook, its expectation that exports will exceed Rs 180 crore, and the alloy-wheel supply ramp-up following the August 3, 2026 commercial start. Management also plans to commission its 20th plant around January 14 or 15, 2027, while alloy-price volatility may continue to affect reported EBITDA margin percentages.