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Minda Corp reports profit of Rs 52.5 crore for Q1 FY2023

Minda says the company will continue to work on its overarching vision to become a complete solution provider for OEMs and build on the growth momentum by enhancing and strengthening its core business with consistent focus on innovation and technology.

Minda Corporation, the flagship company of Spark Minda has announced its financial results for the first quarter ended June 30. The company reported its highest ever quarterly revenue of Rs 1,010 crore, compared to Rs 558 crore a year ago. The net profit came at Rs 52 crore compared to Rs 7 crore for the same period last year.

The company attributes the improvement in most vehicle segments on both YoY basis as well sequential basis.

Ashok Minda, Chairman and CEO, Minda Corp said, “The first quarter of FY23 started on an optimistic note. The growth was primarily driven by economic recovery from adverse impact of the pandemic and through continuous support from the Government to ease inflationary pressure. The other challenges include shortage of semiconductors, upward movement in commodity prices and ongoing global geopolitical tensions. Amidst these headwinds and tailwinds, I am pleased to report that Minda Corporation continues to deliver a stellar performance with reported Revenue from Operations at Rs 10,102 million during the quarter, robust growth of 80.8% on Y-o-Y basis.”

“The growth was driven by better revenue visibility in both business verticals, increasing share of business from existing customers and increase in content per vehicle. Our order book remains healthy with EV segment contributing more than 20% of our lifetime order won during the quarter.”

“EBITDA for the quarter stood at Rs 1,066 million with EBITDA margin of 10.6%, owing to higher operational efficiencies. The robust performance is a testimony to company’s commitment to manufacturing excellence and cost leadership. We are constantly evolving to address the demands of automotive market of the future by continuously investing in R&D and innovation. During the quarter, we remained focussed on enhancing our core capabilities through technological upgradation via inhouse R&D and achieving operational excellence through cost leadership and digitalisation of processes. Going forward, we expect demand to remain strong despite inflationary pressure and geopolitical risks while the supply situation is expected to improve further. Moreover, stabilization of commodity prices is expected to aid improvement in underlying margins. We will continue to focus on steady improvement in market share, basis our strong product portfolio and will continue to invest aggressively in future technologies and business models,” added Minda.

Minda says the company will continue to work on its overarching vision to become a complete solution provider for OEMs and build on the growth momentum by enhancing and strengthening its core business with consistent focus on innovation and technology.

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