Lumax Auto Technologies up 4.36% on 35% Q2 revenue growth and raised FY27 outlook

On the call, management highlighted that Q2 FY27 consolidated revenue stood at Rs 1,556.00 cr, up 35% year‑on‑year and 14% quarter‑on‑quarter. This is the first time Lumax Auto Technologies has crossed the Rs 1,500.00 cr mark in a single quarter.

EBITDA for Q2 FY27, including other income, was Rs 228.00 cr, up 34% year‑on‑year, with an EBITDA margin of 14.7%. Management described this as “broadly stable” versus the prior year, even as input costs such as crude‑linked polymers, electronics and freight remained elevated.

Profit After Tax for the quarter came in at Rs 117.00 cr, registering 50% year‑on‑year growth. For many investors, the combination of 35% revenue growth and a 50% jump in PAT, with margins largely intact, helps justify the stock’s recent re‑rating.

For H1 FY27, consolidated revenue was Rs 2,919.00 cr, up 34% year‑on‑year. H1 EBITDA stood at Rs 434.00 cr, up 42% year‑on‑year, with an EBITDA margin of 14.9%, which management said reflected a 90 bps expansion versus H1 FY26. PAT before minority interest for the six months was Rs 215.00 cr, up 64% year‑on‑year, while Profit Before Tax for H1 was Rs 286.00 cr, up 60% year‑on‑year with a PBT margin of 9.8%.

A key part of the market’s positive read is that Lumax has managed to protect profitability despite inflation in raw materials and freight.

CFO Ankit Thakral explained that most raw‑material price increases given to vendors are “being 100% backed up by the OEMs”, albeit with roughly a one‑quarter lag. As he put it, if the company gives “INR 100 as a raw material price increase, we have been able to recover that INR 100”, but the recovery flows through revenue with “zero addition to profitability”. That dynamic lifted revenue but diluted margins by “maybe by 30‑40 bps in our EBITDA margins” on a quarter‑on‑quarter basis.

Managing Director Anmol Jain reiterated that the company remains confident it can pass through “almost all of the inflationary costs” to OEMs in subsequent quarters. For investors, the message is that the recent margin blip is mechanical rather than structural.

Where the transcript goes beyond the bare numbers is on guidance. On the call, management acknowledged that at the start of the year they were effectively working with a 12‑14% revenue growth assumption for FY27, based on their longer‑term framework.

After delivering 34% year‑on‑year growth in H1 FY27, Anmol Jain told investors that for H2 FY27, Lumax expects revenue growth “somewhere between the 15‑20% mark on a y‑o‑y basis”. On that basis, he said, “for the full year, we should be anywhere between a 20‑25% growth on a full‑year basis on the revenue”, implying “perhaps close to a INR 6,000‑odd crore” top line.

That effectively raises the near‑term growth bar and aligns with the market read that the company has upgraded its FY27 revenue growth outlook into the 20‑25% zone. The stock’s 4.4% move appears consistent with investors pricing in this faster‑than‑earlier‑indicated trajectory.

Beyond the headline growth, the transcript underscores improving visibility.

The consolidated order book at the end of Q2 FY27 stood at Rs 1,879.00 cr, up from Rs 1,600.00 cr at the end of Q1 FY27. Management said about 14% of this is expected to be executed in FY27, 59% in FY28 and 27% in FY29. Around 85% of the order book is new business.

By division, the order book is led by Advanced Plastics at 44%, followed by Mechatronics at 27%, Alternate Fuels at 20% and Structures & Control Systems at 8%. By powertrain, EV and CNG together account for 29% of the order book, with CNG at 20% and pure EVs at about 9%, while new future technologies account for 22%.

H1 FY27 segment performance also reassured the street:

• Advanced Plastics revenue rose from Rs 1,138.00 cr to Rs 1,655.00 cr, a 45% year‑on‑year increase, with an order book of Rs 834.00 cr.
• Mechatronics grew 45% year‑on‑year in H1, from Rs 122.00 cr to Rs 177.00 cr, with an order book of Rs 512.00 cr.
• Structures & Control Systems increased from Rs 380.00 cr to Rs 476.00 cr, up 24% year‑on‑year, with an order book of approximately Rs 150.00 cr.
• Alternate Fuels rose from Rs 170.00 cr to Rs 220.00 cr, up 30% year‑on‑year, with an order book of Rs 379.00 cr.
• The Aftermarket segment grew from Rs 216.00 cr to Rs 234.00 cr, up 9% year‑on‑year.

This breadth of growth, particularly in Mechatronics and Alternate Fuels, supports the narrative that Lumax is not just riding the cycle but also gaining content per vehicle and wallet share.

Two strategic announcements in the transcript also help explain the bullish reaction.

First, the Board has approved a new Mechatronics manufacturing facility at Manesar, Haryana, with a capital outlay of around Rs 150.00 cr, to be funded through a mix of debt and internal accruals. The facility will make advanced electronic components such as Body Control Modules for leading OEMs. It is expected to be commissioned in two phases starting Q3 FY28, with a peak annual turnover of around Rs 500.00 cr post‑commissioning.

Second, at Lumax Greenfuel Energy Solutions, the Nashik facility has commenced production in Q3 FY27, supplying ferrule‑less tubes, fittings and receptacles to Mahindra & Mahindra. Management noted that the industry had been importing these ferrule‑less tubes and fittings, and that Lumax is “the first company to have localized” their manufacturing. They also flagged firm order wins from Maruti Suzuki and highlighted that this localisation is a “sizable” growth driver within the CNG vertical.

These moves tie into the company’s broader 20.20.20.20 “North Star” — a 20% revenue CAGR from FY25 to FY31 and an ambition to inch EBITDA margins closer to 20% over the next 5–7 years. By FY31, Lumax aspires to more than double its current revenue base to around Rs 11,000.00 cr.

The transcript also reassures on funding. As of September 2026, free cash reserves stood at Rs 400.00 cr, while long‑term debt was Rs 442.00 cr, implying a debt‑to‑equity ratio of 0.26, which management described as within its comfort range.

Capex capitalised in H1 FY27 was Rs 60.00 cr, with full‑year capex guidance “around Rs 300.00 cr”, including new greenfield expansions in Mechatronics, Advanced Plastics and Alternate Fuels. These projects are expected to begin SOP in the second half of the year and are positioned as enablers of medium‑term revenue growth and localisation.

The 4.4% rise in Lumax Auto Technologies, with the stock last traded at Rs 2,102, came after the market had time to parse a transcript that:

• Confirms strong Q2 and H1 FY27 growth in both revenue and PAT.
• Shows margins broadly intact despite cost pressures, with a clear explanation of the temporary dilution.
• Upgrades the implied FY27 revenue growth outlook to 20‑25%, from a previously indicated 12‑14% range.
• Details a growing, largely new‑business order book tilted toward higher‑value Mechatronics and CNG.
• Lays out concrete capacity additions and localisation plays that support the long‑term 20% CAGR ambition.

While broader market conditions always play a role, the timing and scale of the move suggest that investors are rewarding Lumax Auto Technologies for pairing near‑term delivery with a clearer, more ambitious growth path.