Motherson emerging businesses revenue rose 50% in FY26

Motherson’s emerging businesses increased FY26 revenue 50% year on year to Rs 17,072 crore, led by Precision Metal and Modules, whose revenue rose to Rs 5,269 crore from Rs 1,942 crore. Emerging-business earnings before interest, tax, depreciation and amortisation (EBITDA) increased 26% to Rs 1,825 crore, while reported EBITDA margin moved to 10.7% from 12.7%.

How fast did Motherson’s emerging businesses grow in FY26?

Motherson’s emerging businesses added Rs 5,654 crore of revenue in FY26, taking the division from Rs 11,418 crore in FY25 to Rs 17,072 crore. That 50% increase exceeded the growth reported by Motherson’s four established operating divisions: Wiring Harness grew 11% to Rs 36,508 crore, Modules and Polymer Products grew 5% to Rs 62,894 crore, Vision Systems grew 8% to Rs 21,001 crore, and Integrated Assemblies grew 9% to Rs 11,035 crore.

The emerging portfolio’s EBITDA rose by Rs 373 crore, from Rs 1,452 crore in the 12 months ended FY25 to Rs 1,825 crore in the 12 months ended FY26. The divisional-performance page reports FY25 EBITDA of Rs 1,452 crore, while the detailed emerging-business table totals Rs 1,453 crore for FY25; both source presentations report FY26 EBITDA of Rs 1,825 crore. The revenue figures include 100% of joint ventures and associates accounted for under the equity method, which Motherson calls economic revenue.

Which emerging businesses contributed most to Motherson’s growth?

Motherson’s Precision Metal and Modules business supplied the largest absolute revenue increase, adding Rs 3,327 crore in FY26 and reaching Rs 5,269 crore, a 171% rise from Rs 1,942 crore. Lighting and Electronics remained the largest emerging-business revenue line at Rs 5,663 crore after increasing Rs 1,585 crore from Rs 4,078 crore. Together, these two businesses generated Rs 10,932 crore, or about 64% of the emerging portfolio’s FY26 revenue.

Aerospace added Rs 698 crore of revenue, rising to Rs 2,447 crore from Rs 1,749 crore, while Elastomer increased by Rs 128 crore to Rs 890 crore. Technology and Industrial Solutions rose by Rs 175 crore to Rs 1,356 crore, and Logistics Solutions grew by Rs 81 crore to Rs 312 crore. Health and Medical was the only operating line in the table with lower revenue, declining Rs 5 crore to Rs 19 crore.

How did profitability change across Motherson’s emerging portfolio?

Motherson’s emerging-business EBITDA increased from Rs 1,452 crore to Rs 1,825 crore, but EBITDA growth of 26% was lower than the 50% revenue increase. Consequently, reported aggregate EBITDA margin declined by 2.0 percentage points to 10.7% in FY26. The presentation reports this outcome at the portfolio level and does not identify a cause for the margin movement.

At the business-line level, Lighting and Electronics increased EBITDA by Rs 220 crore to Rs 918 crore, Precision Metal and Modules increased it by Rs 232 crore to Rs 484 crore, and Aerospace increased it by Rs 76 crore to Rs 203 crore. Technology and Industrial Solutions moved the other way, with EBITDA decreasing Rs 18 crore to Rs 63 crore, while Health and Medical’s EBITDA loss widened from Rs 53 crore to Rs 74 crore.

The margin change in emerging businesses contrasts with Integrated Assemblies, where EBITDA rose 29% to Rs 1,504 crore and EBITDA margin increased to 13.6% from 11.5%. Modules and Polymer Products also recorded a margin increase, to 8.1% from 7.7%, despite revenue growth of 5%. In the larger Wiring Harness and Vision Systems divisions, margins declined to 10.8% from 11.8% and to 9.7% from 10.0%, respectively.

What investment is Motherson making to expand emerging businesses?

Motherson recorded capital expenditure of Rs 5,911 crore in FY26, compared with Rs 4,433 crore in FY25, and said its FY27 capital-expenditure guidance is Rs 6,000 crore plus or minus 10%. Management classified about 50% of FY27 spending as growth capital expenditure and about 50% as regular capital expenditure. It also said about 60% of the FY27 outlay is planned for non-automotive businesses.

Motherson listed 17 facilities at different stages of completion, with all expansion located in emerging markets. Emerging-business projects include a consumer-electronics capacity expansion and backward-integration project in India scheduled for the fourth quarter of FY27, an Aerospace surface-treatment expansion in India scheduled for the fourth quarter of FY27, and Logistics package-handling projects in India and Hungary scheduled for the third quarter of FY27.

Motherson also listed an Elastomer rubber-components expansion in the United Arab Emirates with a fourth-quarter FY27 start of production, subject to alignment with delayed customer programmes. An Energy project for wind-power generation for captive consumption in India is scheduled for the third quarter of FY28. These disclosed projects connect planned capacity additions with Lighting and Electronics, Aerospace, Elastomer, Logistics and Energy activities, but the presentation does not provide project-level spending or expected revenue contributions.

Conclusion

Motherson’s FY26 figures show emerging businesses becoming a larger contributor to portfolio growth: revenue increased by Rs 5,654 crore, with Precision Metal and Modules contributing Rs 3,327 crore of that increase and Lighting and Electronics reaching Rs 5,663 crore of revenue. EBITDA also rose by Rs 373 crore, although the portfolio’s reported EBITDA margin declined to 10.7% as revenue expanded faster than EBITDA.

The next disclosed milestones are the FY27 capital-expenditure plan of Rs 6,000 crore plus or minus 10% and project start-of-production dates from the third quarter of FY27 through the third quarter of FY28. Key items to watch are whether the India consumer-electronics, Aerospace surface-treatment and Logistics projects begin as scheduled, and whether the delayed-customer-programme qualifier attached to the UAE Elastomer project changes its timing.