Sundaram-Clayton Q4 Profit Jumps To ₹426 Crore On Exceptional Gain, Revenue Slips 12%

Mumbai: Sundaram-Clayton Limited reported a sharp rise in consolidated net profit to Rs 426.4 crore in Q4 FY26, compared with Rs 143.6 crore in the year-ago quarter, aided by a Rs 521.2 crore exceptional gain from sale of assets. Revenue from operations, however, declined 11.7 percent year-on-year to Rs 518.1 crore from Rs 586.9 crore.

Sequentially, revenue improved from Rs 501.1 crore in Q3 FY26, while the company swung back to profit from a loss of Rs 51.9 crore in the preceding quarter.

The automotive components maker posted total income of Rs 527.2 crore for the March quarter against Rs 599.7 crore a year earlier. Profit before exceptional items and tax stood at a loss of Rs 37.9 crore compared with a loss of Rs 37.1 crore in Q3 FY26 and a loss of Rs 29 crore in Q4 FY25.

The quarter’s profitability was supported primarily by the exceptional gain booked on sale of assets.

Sequentially, the company’s operating performance showed moderate improvement. Revenue rose 3.4 percent quarter-on-quarter, while total expenses increased to Rs 565.1 crore from Rs 543.1 crore in the December quarter.

Employee benefit expenses rose to Rs 102.7 crore from Rs 92.5 crore, while depreciation costs climbed to Rs 59.6 crore from Rs 49.2 crore. Finance costs eased marginally to Rs 26.5 crore. The company also recorded a deferred tax expense of Rs 2.6 crore during the quarter.

Sundaram-Clayton said the exceptional income represented profit on sale of assets amounting to Rs 521.2 crore. The company also noted that revenue comparability with previous periods was impacted due to the transfer of a business unit effective March 31, 2025.

During the quarter, the company invested Rs 54.3 crore in overseas wholly owned subsidiary Sundaram Holding USA Inc. The board had earlier declared an interim dividend of Rs 4.5 per share for FY26. For the full year FY26, consolidated revenue from operations stood at Rs 2,025.6 crore against Rs 2,259.3 crore in FY25.

The company reported a consolidated net profit of Rs 252.4 crore for FY26 compared with a loss of Rs 10.7 crore in the previous year. Annual EPS stood at Rs 114.48 versus a loss per share of Rs 5.05 in FY25.

Disclaimer: This report is based on unaudited/audited financial filings and is not investment advice.