NDR Auto Q2 profit rises 33% as revenue increases 22% year-on-year

NDR Auto Components Limited reported consolidated net profit of Rs 19.78 crore for the quarter ended September 30, 2026, up 33% from Rs 14.85 crore a year earlier, as revenue from operations rose 22% to Rs 244.02 crore. The unaudited results were approved by NDR Auto’s board on November 4, 2026.

How did NDR Auto perform in the September 2026 quarter?

NDR Auto increased consolidated revenue from operations to Rs 244.02 crore in the September 2026 quarter from Rs 199.96 crore in the September 2025 quarter, a year-on-year increase of 22%. Sequentially, revenue rose from Rs 221.45 crore in the June 2026 quarter, while total income, including other income, reached Rs 247.86 crore versus Rs 200.77 crore a year earlier.

Consolidated net profit rose to Rs 19.78 crore from Rs 14.85 crore, while profit before tax increased to Rs 24.95 crore from Rs 19.60 crore. Basic and diluted earnings per share were Rs 8.32, compared with Rs 6.24 in the corresponding quarter last year; NDR Auto stated that quarterly earnings per share are not annualised.

What changed in NDR Auto’s costs and profit contributors?

NDR Auto’s total expenses rose 24% year on year to Rs 228.11 crore in the September quarter from Rs 184.01 crore. Raw-material and component consumption increased to Rs 181.73 crore from Rs 150.44 crore, employee-benefit expense rose to Rs 8.41 crore from Rs 7.32 crore, and other expenses increased to Rs 30.86 crore from Rs 21.88 crore.

Depreciation and amortisation increased to Rs 6.64 crore from Rs 5.01 crore, while finance costs rose to Rs 1.08 crore from Rs 81.71 lakh. The group’s share of post-tax profit from its associate and joint ventures was Rs 5.20 crore, compared with Rs 2.85 crore a year earlier, contributing to profit before tax of Rs 24.95 crore after profit before that share reached Rs 19.75 crore.

For the six months ended September 30, 2026, NDR Auto reported revenue from operations of Rs 465.47 crore, up from Rs 385.18 crore in the prior-year period. Six-month net profit rose to Rs 36.18 crore from Rs 28.44 crore, and total tax expense increased to Rs 9.87 crore from Rs 8.59 crore as profit before tax reached Rs 46.05 crore.

What do NDR Auto’s balance sheet and cash flows show?

NDR Auto’s trade receivables stood at Rs 136.27 crore on September 30, 2026, up from Rs 100.82 crore on March 31, 2026. Inventories increased to Rs 52.39 crore from Rs 47.71 crore, while trade payables to creditors other than micro and small enterprises rose to Rs 137.53 crore from Rs 115.07 crore over the same six-month period.

Capital work in progress more than doubled to Rs 38.97 crore at September 30 from Rs 19.35 crore at March 31, while property, plant and equipment declined to Rs 193.44 crore from Rs 201.59 crore. Total assets increased to Rs 607.36 crore from Rs 563.02 crore, and total equity rose to Rs 384.49 crore from Rs 357.72 crore.

Net cash from operating activities was Rs 23.89 crore in the six months to September 30, 2026, compared with net cash used of Rs 15.44 crore in the previous-year period. The improvement occurred despite a Rs 35.45 crore increase in trade receivables, compared with a Rs 16.95 crore increase a year earlier, while trade payables provided Rs 24.37 crore of cash against an outflow of Rs 12.50 crore previously.

NDR Auto spent Rs 31.71 crore on purchases of property, plant and equipment, including capital work in progress, capital advances and capital creditors, down from Rs 39.51 crore in the prior-year six months. Investing activities used Rs 21.20 crore and financing activities used Rs 12.75 crore, leaving cash and cash equivalents of Rs 5.05 crore at September 30, 2026, down from Rs 15.10 crore at the start of the period.

What disclosures and unresolved matters should readers note?

NDR Auto operates as one reporting business segment, manufacturing seating systems and automobile components, including for two-wheelers, and operates only in India. The consolidated accounts include NDR Auto, two subsidiaries, one associate and three joint ventures; the statutory auditor issued an unmodified review conclusion on the September 2026 unaudited results.

The results retain an uncertainty related to income-tax proceedings following a 2023-24 search. Assessment demand orders had aggregated Rs 5.10 crore, including penalty, for assessment years 2020-21, 2021-22, 2023-24 and 2024-25, with a separate Rs 1.34 crore demand for 2022-23; subsequent appellate relief reduced the first amount to Rs 4.14 crore.

During the September 2026 quarter, the Income Tax Department appealed to the Income Tax Appellate Tribunal against relief for assessment year 2023-24, while NDR Auto appealed the amount sustained for 2021-22 and the 2022-23 appeal remained pending before the Commissioner of Income Tax (Appeals). NDR Auto management said it believes it has a favourable position and made no adjustment in the results, while the auditor’s conclusion was not modified for this matter.

NDR Auto also granted 66,641 options under its 2024 employee stock option plan during the quarter, at an exercise price of Rs 500.50 per option, subject to market and performance vesting criteria. The group has stopped recognising Rs 12.37 lakh of accumulated losses from Toyota Boshoku Relan India Private Limited after those losses exceeded the Rs 50,000 carrying amount of its investment.

Conclusion

NDR Auto converted a Rs 44.06 crore year-on-year increase in quarterly revenue into a Rs 4.93 crore increase in consolidated net profit in the September 2026 quarter. The results also show greater investment and working-capital requirements: capital work in progress rose by Rs 19.62 crore from March, receivables rose by Rs 35.45 crore, and closing cash declined by Rs 10.06 crore during the six months.

Next, readers can watch NDR Auto’s proposed renewable-energy special-purpose vehicle, in which it plans to acquire 26% equity for Rs 36.30 lakh and indicated completion in the first quarter of 2027-28. NDR Auto also disclosed a proposed 51:49 venture with DYA Co., Limited for passenger-car seats for KIA and Hyundai vehicles, with total project cost approved at Rs 62.96 crore and initial equity investment of Rs 10 crore.