Endurance secures two passenger-vehicle battery-pack nominations

Endurance Technologies received two passenger-vehicle battery-pack nominations in Q2 FY27, with production scheduled for the first and second quarters of the next financial year, after starting a two-wheeler electric-vehicle pack programme that is expected to reach full ramp-up in Q3 FY27.

Which passenger-vehicle battery-pack programmes has Endurance won?

Endurance has received letters of nomination from two passenger-vehicle original equipment manufacturers, or OEMs, for four-wheeler battery packs, with start of production, or SOP, planned for Q1 and Q2 of the next financial year, respectively. Management did not disclose the customers’ names, programme values, annual volumes or nominated vehicle models. In the earnings-call discussion, management said one programme would begin around March or April and the other in Q2 of the next financial year.

The two nominations extend a newly established battery-pack operation that Endurance linked to its diversification following the Maxwell acquisition. Management described battery packs as a high-value business with good return on capital employed, but gave no revenue or margin forecast for either passenger-vehicle programme. It said margins should be clearer after the business has begun operating at scale.

How far has Endurance progressed with two-wheeler battery packs?

Endurance has commenced SOP of battery packs for a leading two-wheeler electric-vehicle OEM and expects the programme to reach full ramp-up in Q3 FY27. Management also said peak sales for that customer should be reached during the current quarter. This existing two-wheeler launch provides the operating base before the first passenger-vehicle programme is due to begin in Q1 of the next financial year.

Management provided indicative production rates rather than Endurance-specific installed capacity. It said one two-wheeler line generally produces about 18,000 battery packs a month, compared with about 8,000 packs a month for a four-wheeler line. Endurance did not state its number of lines, capacity committed to the two nominations or expected pack revenue, so those line rates cannot be converted into a company sales estimate.

The battery-pack rollout coincides with growth at wholly owned subsidiary Maxwell. Maxwell’s Q2 FY27 revenue rose 95% year on year and 50% quarter on quarter to Rs 85 crore, while H1 FY27 turnover reached Rs 141 crore against Rs 161 crore for the full FY26. Management also said Maxwell had reported profit after tax in consecutive quarters.

How can battery packs increase Endurance's content per vehicle?

Endurance said battery packs can increase group sales of battery management systems, or BMS, and aluminium castings because those components are also supplied internally. Management told analysts that pack economics should be assessed together with BMS and casting content, where Endurance also earns a margin. It did not quantify the BMS or casting value attached to either of the two passenger-vehicle nominations.

Maxwell’s Bengaluru research and development cell is working on high-voltage BMS for four-wheelers and electric buses, as well as Internet of Things, vehicle-to-everything and tyre-pressure monitoring system solutions. That work is relevant to the new programmes because management identified BMS as a related source of content. However, it did not specify which technologies would be used in either Q1 or Q2 passenger-vehicle launch.

The nominations sit within a growing India electric-vehicle sales base. India standalone electric-vehicle sales rose 185% year on year to Rs 229 crore in Q2 FY27, representing 5% of total net sales. In Endurance’s Rs 6,372 crore business won since FY22 as of H1 FY27, electric vehicles accounted for 24%, compared with 11% in FY22.

What four-wheeler operations support Endurance's battery expansion?

Endurance is expanding four-wheeler aluminium-casting operations at Shendra, Chakan, Chennai and Vallam. Its AURIC Shendra plant started SOP on 25 September 2026 and has begun supplies to a US electric-vehicle OEM. The plant carries out high-pressure and low-pressure die casting, critical machining and powder coating, and is intended to serve four-wheeler OEMs in India, the UK and the US.

The company is also expanding casting work with Tata Motors and Mahindra and Mahindra, while helping Korean OEMs localise. This is adjacent to the battery-pack strategy because Endurance identified aluminium castings as a product that may gain from pack production. Management did not disclose the casting content, production location or revenue contribution associated with the two nominated pack programmes.

Four-wheeler proprietary products are also progressing on separate timelines. Endurance expects SOP for a Tata Motors four-wheeler driveshaft programme during the current quarter, while four-wheeler brake supplies are scheduled from H1 of the next financial year. Management expects cumulative SOP for four-wheeler suspension, brakes and driveshafts to increase from Rs 100 crore in FY28 to Rs 800 crore in FY31, a target separate from the undisclosed battery-pack programmes.

What investment and execution milestones matter for Endurance?

Endurance expects India capital expenditure of about Rs 1,100 crore in FY27 and consolidated capital expenditure of Rs 1,250 crore, after India capital expenditure of about Rs 800 crore in FY26 and Rs 611 crore in FY25. Management linked the higher FY27 investment to new growth areas, but did not allocate a specific amount to battery packs, BMS or the two passenger-vehicle programmes.

The company ended Q2 FY27 with consolidated net cash of Rs 436 crore as of 30 September 2026. Consolidated total income increased 33% year on year to Rs 4,811 crore, while earnings before interest, tax, depreciation and amortisation rose 17.3% to Rs 584 crore. Profit after tax increased 21% to Rs 274 crore during the quarter.

Execution remains the principal undisclosed variable. Endurance has provided launch windows but not contract terms, annual pack volumes, capacity, pricing or programme revenue. The two-wheeler programme’s Q3 FY27 ramp-up and the first passenger-vehicle SOP in Q1 of the next financial year are therefore the disclosed milestones for assessing the expansion.

Conclusion

The two passenger-vehicle nominations move Endurance from an initial two-wheeler battery-pack launch into a second vehicle category, while potentially adding BMS and aluminium-casting content. Maxwell’s Rs 85 crore Q2 FY27 revenue, up 95% year on year, and India standalone electric-vehicle sales of Rs 229 crore, up 185%, provide evidence of the group’s expanding electric-vehicle activity.

Next, investors should watch whether the two-wheeler pack programme achieves full ramp-up in Q3 FY27 and whether the first passenger-vehicle programme begins in Q1 of the next financial year as management plans. Management has also targeted a double-digit margin for Maxwell in the next financial year, while further disclosure on pack volumes, capacity, revenue and margins would be required to assess the nominations’ financial contribution.