Samvardhana Motherson Shares Rise 3% After Steady Q4 Results

Shares of Samvardhana Motherson rose over 3% on May 29 as investors reacted to the company’s Q4 earnings, marked by a steady growth across key parameters.

The company announced a net profit of Rs 1,050.5 crore for the fourth quarter of FY25, reflecting a 20% increase compared to the Rs 878.63 crore that it clocked in the same period last year. The company’s revenue also grew steadily, rising 6% year-on-year to Rs 29,316.83 crore, up from Rs 27,665.92 crore in the year ago period.

“Our results highlight the strength of our engineering and manufacturing expertise, enabling us to meet evolving customer needs and build a foundation for long-term, sustainable growth,” Chairman Vivek Chaand Sehgal said in an exchange filing.

Sehgal also pointed towards the company’s solid business momentum, with a booked business value exceeding $88 billion, including strong contributions from non-automotive sectors.

“Over the past five years, the Motherson team has delivered exceptional performance despite a volatile global environment. We’ve achieved record sales, outpaced the broader automotive industry, expanded our footprint through 23 acquisitions, and successfully entered new industries, all while maintaining a sharp focus on quality and cash flow.”

Moreover, he also highlighted the company’s disciplined financial management, with leverage ratios hitting their lowest in five years.

Aside from the earnings, Samvardhana’s board also announced its approval of a bonus share issue in the ratio of 1:2, which also triggered buying in the counter.

Trading volumes in the counter also surged after the release of the Q4 results, cementing the rally in the stock. As many as four crore shares of the company changed hands by the end of trade, double the one-month daily traded average of two crore shares.

With the gains today, the stock has now gained close to 30% in the last three months, despite getting embroiled in concerns over Trump’s tariffs on auto and auto component exports to the US.