Tenneco Clean Air India: FY2026 record margins, strong order book, and expansion capex

FY2026 value added revenue was INR 49,180 million (up 12.3% YoY), EBITDA was INR 9,255 million with an 18.8% EBITDA margin on VAR (up 13.5% YoY), and PAT was INR 6,044 million with a 12.3% PAT margin on VAR (up 9.3% YoY).

Q4 FY2026 VAR was INR 14,058 million (up 17.5% YoY), EBITDA was INR 2,573 million with an 18.3% margin on VAR (up 17.6% YoY), and PAT was INR 1,668 million with an 11.9% margin on VAR (up 18.8% YoY).

VAR (Value Added Revenue) is defined as revenue from operations excluding pass-through substrate costs. The company uses VAR as a primary metric to better reflect underlying operating performance and comparability across periods.

The company disclosed an incremental lifetime order book of about INR 124,000 million as of March 31, 2026. Management stated it provides multi-year revenue visibility over approximately 5 to 6 years and covers more than 100% of the FY2028 revenue target.

Management stated it announced a Northern India expansion of INR 710 million and plans a Western India expansion of INR 690 million, totaling about INR 1,400 million for greenfield capacity additions.

The presentation shows FY2026 VAR contribution of 50.6% from Advanced Ride Technologies and 49.4% from Clean Air and Powertrain Solutions.