Motherson Sumi Wiring India (MSWIL), a leading and fast-growing full-system solutions provider to OEMs, in the wiring harness segment in India has announced its financial results for Q2 FY2022-23.
The company reported revenue of Rs 1,835 crore, which was 31 percent higher versus Rs 1,400 crore revenue last year. The quarterly EBITDA came at Rs 190 crore, up 2 percent and profit after tax of Rs 116 crore, which was 2 percent compared to Rs 114 crore for the same period last year.
MSWIL says it has achieved significant growth in business on back of strong capabilities and long-standing customer relationships, expanding capacities to meet enhanced requirements of customers. During the quarter the company says its EBITDA was impacted due to costs such as initial one-time startup costs of new programs at Bengaluru and new facility at Chennai.
Furthermore, to meet the increased volume, additional costs on expedited freight/extra ordinary manpower costs have been incurred, further aggravated by supply chain constraints. Ongoing discussions with customers for one time compensation as well as alignment to new cost structure to mitigate current and future impact.
Vivek Chaand Sehgal, Chairman, Motherson Sumi Wiring India said, “Indian automotive industry is showing signs of revival and our customers are also ramping up production. This has resulted in one-time costs which should be mitigated in the coming quarters. The company is well positioned to leverage India growth story and mega trends, thanks to our consistent performance and long-standing customer relationships.”
