Endurance Technologies FY26 Annual Earnings Summary

European order inflow declined to €15M in 9M FY26 vs €40M prior year due to regulatory uncertainty on ICE/EV transition and Chinese import competition.

Management expects 3-6 month delay based on past experience; final notification awaited. Could push back revenue ramp.

New car sales down 1.8% YoY; market waiting for government incentives (Green Deal). Europe capex being reduced due to uncertainty.

Price corrections to compensate commodity inflation negatively impacted standalone EBITDA margins by 50bps. Further inflation could pressure margins.

Standalone EBITDA margin fell 116bps YoY partly due to aluminum alloy price increase, which forms 55% of raw material purchases.

Second 1.2M ABS line investment is contingent on final government guidelines expected this month; any delay could impact capacity utilization.

European market growth is driven by destocking with discounts; actual production continues to decline, posing risk to future orders.

Entry into four-wheeler suspension faces established competition with aggressive pricing; management admits it's a 'tough business' but confident in technology partnership.

Raw material cost increases, especially aluminum (55% of purchases), led to 40bps EBITDA margin contraction; pass-through may be limited.

ABS guidelines still awaited; any further delay could push back expected revenue from ABS and hydraulic brake systems.

Multiple greenfield plants (Chennai, Shendra, Aurangabad, Pune) are under construction; delays in SOP or customer approvals could impact revenue.

KTM export uptake lower than earlier years; management expects improvement with Bajaj control but no specific timeline.