Exide Industries Li-ion Cells: Samples by Q1 FY27

What changed in Exide’s lithium-ion timeline

Exide Industries has sharpened the near-term milestones for its lithium-ion cell venture as it moves from project execution to customer validation. Its wholly owned subsidiary, Exide Energy Solutions Ltd (EESL), is preparing to start customer sample deliveries from its cylindrical cell lines by Q1 FY27. Management commentary across updates also points to commercial dispatches around the end of FY26 or early FY27, subject to OEM validation and homologation.

This is a meaningful step because cell manufacturing is among the most import-dependent links in India’s EV supply chain. For Exide, it also signals a strategic shift from its traditional lead-acid base toward advanced chemistries targeted at electric mobility and stationary storage.

Facility build-out: phases, capacity and commissioning status

The planned lithium-ion cell facility is sized at 12 GWh, to be executed in two phases of 6 GWh each. The company has said equipment installation and commissioning are in the final stages for the initial lines. In another management update, Exide indicated the first line of its Li-ion cell plant was expected to become operational by March 2026.

Alongside the large headline capacity, Exide has also referenced an initial capacity of 1.5 GWh that it expects to utilise as customer programmes start to firm up. The ramp-up plan discussed includes initial utilisation of about 60%, scaling up to 80-90% over time.

Product mix: cylindrical first, prismatic next

Exide’s current plan places cylindrical cells first in the queue, with customer sample deliveries expected from Q1 FY27. Prismatic cell trials are expected to follow shortly after, as per the company’s project milestones. Another update stated that the cylindrical cell line validation for two-wheelers is underway in Bengaluru, while installation of the prismatic line for three-wheelers and battery energy storage systems (BESS) is to be completed by April 2026.

On chemistry, Exide has discussed a dual-track approach. It has referenced NCM or NMC-based cylindrical cells tailored for scooters and bikes, followed by a prismatic LFP line aimed at stationary energy-storage applications. Separately, the company has also highlighted a focus on locally produced LFP batteries for EVs in India.

OEM engagement and offtake discussions

Exide has said it is in advanced discussions with leading two-wheeler OEMs, with two expected to become its first customers. In response to a question on commercial dispatches, management said internal validation for cylindrical cells is in progress, and samples will be sent to OEMs shortly.

The company has also indicated that its lithium-ion business will primarily be business-to-business, with end customers being EV makers or OEMs across passenger and commercial vehicles. Prior engagements referenced include offtake-related agreements with Hyundai Motor Company and KIA Motors.

Technology tie-up supporting the cell programme

The cell manufacturing effort is supported by a technology tie-up with SVOLT Energy Technology. Exide has positioned this partnership as part of its capability build for local cell manufacturing. The focus remains on building a domestic manufacturing base in a segment where India continues to rely heavily on imports.

Investment: what Exide has put in and what it plans next

Exide’s disclosures and reports cite multiple investment markers tied to different dates and phases. One project snapshot cited FY26 investment of ₹1,500 crore and total investment of ₹4,800+ crore toward the lithium-ion ecosystem. Another update said the strategic pivot is nearing execution, with total investment reaching ₹4,252 crore and cell validation underway.

In a separate management update, Exide said it invested about ₹580 crore (INR 5.80 billion) during Apr-Sept in the lithium and cell manufacturing project. Exide has also said it will invest another ₹1,400 crore in its lithium-ion battery business in FY27, and that ₹500 crore will be invested in the fourth quarter of the current fiscal year, taking total investment in the lithium-ion segment to about ₹4,800 crore.

Financial context: Q3 FY26 revenue milestone and profitability

In its Q3 FY26 updates, Exide reported that quarterly revenue crossed ₹4,000 crore for the first time in Q3, with sales growth cited at about 5% year-on-year in one summary. Another update pegged revenue growth at 4.7% YoY for Q3 FY26, alongside a 5.6% rise in profit before tax (PBT). Exide also reported a 23% rise in consolidated profit after tax (PAT) to ₹194.97 crore for the quarter ended December 31, 2025.

The company has also cited periods of export weakness. For the September quarter in one management note, revenue from operations fell 2.1% year-on-year to ₹4,178 crore (INR 41.78 billion), with weak exports noted as a factor.

Export push: ₹400-₹500 crore incremental exports by FY27

Separately from the cell programme, Exide’s Managing Director and CEO Avik Roy said the company expects additional exports of ₹400-₹500 crore from the next fiscal year. He attributed the export outlook to an exclusive tie-up with a European partner and benefits expected from India-US and India-EU trade agreements.

Roy also said these developments are expected to lift exports’ contribution to about 8-9% of overall revenue by the next fiscal year. This export plan is running alongside the capex-heavy lithium transition, with Exide stating it expects to remain debt-free in FY27 and fund capex through internal accruals.

Key numbers and milestones at a glance

Market impact: why domestic cells matter for India’s EV supply chain

Battery cells remain one of the most import-dependent components in India’s EV ecosystem, and Exide’s entry adds to a broader domestic manufacturing pipeline. Exide’s stated approach of starting with two-wheelers reflects where EV adoption has been strongest in India. The validation-led timeline also clarifies that near-term progress will be measured less by installed capacity and more by OEM qualification and customer schedules.

The company has also signalled segment sequencing. Management commentary has discussed mobility-focused cylindrical cells first, with prismatic formats aimed at three-wheelers and BESS. Another line in the updates noted that management targets first revenue from the trade-heavy e-rickshaw prismatic segment, indicating where early volumes may emerge once validation is complete.

How Exide’s pivot fits the broader battery manufacturing race

Exide’s move comes as multiple Indian groups work on local cell manufacturing around FY27 timelines. Updates referenced Amara Raja Energy & Mobility targeting bulk production of lithium-ion EV cells in 2027, and Tata Group’s Agratas setting up a cell facility in Gujarat around a similar period. Against that backdrop, Exide’s near-term sample delivery schedule and commissioning targets put the focus on execution and customer validation rather than only announcements.

Exide has also provided longer-range business targets alongside the cell build-out. Management said it expects topline to reach ₹20,000 crore over the next three years and ₹25,000 crore by 2030, driven by the full benefits of its lithium-ion battery business.

Conclusion

Exide Industries has laid out a clearer pathway to becoming a domestic lithium-ion cell supplier, with cylindrical cell sample deliveries expected from Q1 FY27 and prismatic trials to follow. Investments cited across updates indicate cumulative spending moving toward about ₹4,800 crore, alongside a 12 GWh capacity plan executed in two phases. The next checkpoints are OEM validation outcomes, sample-to-order conversions, and the company’s stated commissioning milestones through March-April 2026 and into early FY27.