Sansera Engineering Limited — Important, 10-02-2025: General Updates

**Financial Highlights:** Sansera Engineering reported a 2% YoY increase in Q3FY25 revenue, reaching INR 7,278 Mn, contributing to an overall revenue of INR 22,351 Mn for 9MFY25, an 8% increase from the prior year. EBITDA margins improved to 17.5%, supporting a PAT of INR 559 Mn for Q3, marking a 16% growth YoY.

**Strategic Initiatives and Growth Drivers:** The company maintains a robust order book of INR 22.0 Bn, with a diversified mix: Auto-ICE (45%), Tech Agnostic & xEV (25%), and Non-Auto (30%). Recent entries into the aerospace sector and semiconductor equipment supply signal a strategic pivot towards high-growth areas.

**Business Developments:** Sansera's strong performance in areas like Auto Tech-agnostic and xEV reflects its adaptability; this segment saw 9.5% growth YoY. Investment in capex totaled INR 3,623 Mn in 9MFY25, with plans to increase green energy utilization across manufacturing sites.

**Market Position and Competitive Advantage:** With a long-standing customer base and a commitment to innovation, Sansera's diverse product offerings and strengthening balance sheet position it well to capitalize on emerging market opportunities.

**Investor Implications:** There's a positive outlook for future growth driven by strategic customer acquisitions in emerging sectors. However, investors should remain cautious regarding potential disruptions in traditional auto segments. The company’s focus on increasing revenue from non-auto sectors and high-value tech-agnostic solutions enhances its growth trajectory.