NDR Auto revenue grew 46.6% as working capital reached 15 days

NDR Auto Components Limited increased revenue from Rs 114 crore in FY21 to Rs 823 crore in FY26, a 46.61% compound annual growth rate, while working-capital days fell by 284 days to 15. NDR Auto also reported FY26 EBITDA of Rs 94 crore and profit after tax of Rs 62 crore.

How quickly did NDR Auto's revenue and profit grow?

NDR Auto's revenue grew at a 46.61% CAGR between FY21 and FY26, rising by Rs 709 crore from Rs 114 crore to Rs 823 crore. NDR Auto recorded annual revenue of Rs 233 crore in FY22, Rs 393 crore in FY23, Rs 602 crore in FY24 and Rs 713 crore in FY25 before reaching its FY26 level.

The expansion was accompanied by growth in the two reported profit measures. Earnings before interest, tax, depreciation and amortisation, or EBITDA, increased from Rs 14 crore in FY21 to Rs 94 crore in FY26, a 46.02% CAGR. Profit after tax, or PAT, rose from Rs 9 crore to Rs 62 crore over the same period, representing the fastest disclosed CAGR among the three measures at 48.66%.

The annual sequence increased for all three measures during FY21 to FY26. Revenue increased by Rs 110 crore in FY26 from Rs 713 crore in FY25, while EBITDA rose by Rs 16 crore and PAT increased by Rs 9 crore. That differed from the FY21-to-FY22 increase, when revenue rose from Rs 114 crore to Rs 233 crore while EBITDA increased by Rs 8 crore.

Did NDR Auto's margins improve alongside sales?

NDR Auto's EBITDA margin was 11.3% in FY26, compared with 11.6% in FY21 and 10.8% in FY25. The measure first declined to 9.0% in FY22, then moved through 9.5% in FY23 and 9.9% in FY24 before recovering in the final two years shown.

PAT margin increased to 7.5% in FY26 from 7.0% in FY21 and 7.4% in FY25. Its path also varied: the margin was 6.2% in FY22, returned to 7.0% in FY23, fell to 6.4% in FY24 and rose to 7.4% in FY25. FY26 EBITDA margin remained 0.3 percentage points below FY21, whereas PAT margin was 0.5 percentage points higher.

The reported growth rates also show a difference between revenue and profit expansion. PAT's 48.66% CAGR exceeded revenue's 46.61% CAGR by 2.05 percentage points, while EBITDA's 46.02% CAGR was 0.59 percentage points below revenue growth. NDR Auto reported FY26 revenue of Rs 823 crore, EBITDA of Rs 94 crore and PAT of Rs 62 crore, with EBITDA and PAT margins of 11.3% and 7.5%, respectively.

How did NDR Auto change working-capital efficiency?

NDR Auto reduced working-capital days to 15 in FY26 from 299 in FY21, a reduction of 284 days stated in the presentation. Most of that change occurred early in the period: days declined to 122 in FY22 and 34 in FY23, then stayed at 33 in FY24 and 31 in FY25 before reaching 15.

Net capital turnover, expressed in times, rose from 1 in FY21 to 23 in FY26. The source describes this as an improvement of 20.5 times since FY21, while the annual table shows 3 times in FY22, 11 times in both FY23 and FY24, and 12 times in FY25. The displayed FY26 figure was 11 times above FY25 and 22 times above the FY21 starting level.

Inventory turnover increased from 11.83 times in FY21 to 17.88 times in FY26, although it was lower than the 19.26 times recorded in FY25. Trade receivables, or debtors, turnover rose from 6.14 times to 8.47 times across FY21 to FY26, after reaching 12.76 times in FY23. Creditors turnover moved from 3.51 times in FY21 to 4.80 times in FY26.

What happened to NDR Auto's returns and liquidity ratios?

NDR Auto's return on equity was 20.11 in FY26, up from 7.03 in FY21 but slightly below 20.47 in FY25. Return on capital employed, or ROCE, rose from 6.73 in FY21 to 23.28 in FY26, above the 23.08 reported in FY25. Both measures were higher than their FY21 levels, though their FY26 movements differed from the immediately preceding year.

Adjusted ROCE reached 36.22 in FY26, compared with 12.80 in FY21 and 32.29 in FY25. NDR Auto defines adjusted ROCE as earnings before interest and tax excluding non-productive land income and surplus cash income, divided by average capital employed. For this calculation, average capital employed comprises net fixed assets and working capital.

The current ratio declined to 1.25 in FY26 from 3.39 in FY21 and 1.39 in FY25. The sequence included 2.67 in FY22, followed by 1.39 in FY23 and 1.47 in FY24. This movement occurred alongside the fall in working-capital days from 299 to 15 and the increase in net capital turnover from 1 time to 23 times.

What does the FY27 interim performance add to the FY26 record?

NDR Auto reported consolidated revenue from operations of Rs 465.47 crore in H1 FY27, up 20.8% from Rs 385.18 crore in H1 FY26. EBITDA rose 25.3% to Rs 53.92 crore, and the EBITDA margin increased to 11.5% from 11.1%. The half-year revenue was more than half of FY26 revenue of Rs 823 crore, but it covers a partial period and is not directly comparable with a full year.

Consolidated PAT for H1 FY27 was Rs 36.18 crore, 27.2% above Rs 28.44 crore in H1 FY26, and PAT margin rose to 7.7% from 7.4%. In Q2 FY27 alone, revenue was Rs 244.02 crore, up 22.0% year on year, while PAT rose 33.2% to Rs 19.78 crore. H1 FY27 EBITDA of Rs 53.92 crore was Rs 10.89 crore above the Rs 43.03 crore reported a year earlier.

Conclusion

NDR Auto's FY21-to-FY26 record combines a rise in revenue from Rs 114 crore to Rs 823 crore with EBITDA growth from Rs 14 crore to Rs 94 crore and PAT growth from Rs 9 crore to Rs 62 crore. The operating-metric shift occurred alongside a reduction in working-capital days from 299 to 15 and an increase in net capital turnover from 1 time to 23 times.

The next factor to watch is whether NDR Auto sustains its H1 FY27 growth and margins against the industry outlook cited in the presentation. CRISIL Ratings expects passenger-vehicle volumes to grow 5% to 7% in FY27 and two-wheeler volumes to grow 7% to 9%, while NDR Auto reported H1 FY27 revenue growth of 20.8%, an EBITDA margin of 11.5% and a PAT margin of 7.7%.