Aftermarket Revenue Growth
30%
+30% YoY
Aftermarket business (LPS Automotives) grew over 30% YoY driven by distribution expansion and product portfolio increase.
PPAPAUTOMOTIVE
Manufacturing
13 Feb 2026
PPAP Automotive Limited — Q3 FY26
PPAP Automotive's Q3 FY26 consolidated revenue was ₹138 crore, flat YoY, impacted by model-specific demand softness at key OEMs (Maruti, Tata, Honda).
✓ Verified against BSE filing
2-Min Summary
✦ AI-Generated from Full Transcript
PPAP Automotive's Q3 FY26 consolidated revenue was ₹138 crore, flat YoY, impacted by model-specific demand softness at key OEMs (Maruti, Tata, Honda). PAT turned positive at ₹6.61 lakh vs. prior quarter loss, signaling operational stabilization. The company completed the sale of its 50% stake in the Tokai Kogyo JV for ₹100 crore, which will reduce net debt and fund capex. Management reiterated FY26 guidance of ₹575 crore revenue and ₹58 crore EBITDA, with PAT of ₹8 crore (ex-JV gain). Aftermarket grew 30% YoY, now 5% of revenue. The Chennai EPDM rubber plant expansion (₹30 crore capex) is on track for April 2026. Key risk: continued model-specific volume weakness at major customers could delay the expected Q4 recovery.
Key Numbers
Order Book
₹752 crore
N/A
Order book of ₹752 crore includes ₹38 crore from EV and ₹714 crore from non-EV segments, primarily passenger vehicles.
Capex Spent (9M FY26)
₹37 crore
N/A
Total capex spent in 9M FY26 was ₹37 crore against planned ₹55 crore for the full year.
Aftermarket Monthly Revenue Run-Rate
₹2.5 crore
+67% YoY
Aftermarket monthly revenue increased from ₹1.5 crore at start of FY26 to ₹2.5 crore in Q3; target ₹3 crore in Q4.
Management Guidance
FY26 Revenue Guidance of ₹575 crore
Management reiterated full-year FY26 consolidated revenue guidance of approximately ₹575 crore.
Management guidance revenueFY26 EBITDA Guidance of ₹58 crore
Management guided for FY26 EBITDA of ₹58 crore, implying a margin of ~10.1%.
Management guidance marginsFY26 PAT Guidance of ₹8 crore (ex-JV gain)
PAT for FY26 is expected at ₹8 crore, excluding the extraordinary gain from the JV stake sale.
Management guidance growthAftermarket Business to Grow 30% in FY27
Management expects the aftermarket business to grow by another 30% in FY27, targeting monthly revenue of ₹5 crore.
Management guidance growthKey Risks
Model-Specific Volume Softness at Key OEMs
Q3 performance was impacted by lower-than-expected volumes for specific models at Maruti, Tata, and Honda. If this persists, Q4 recovery may be delayed.
high · management_commentaryBattery Division Turnaround Uncertainty
The lithium-ion battery business (Avena Batteries) has been a drag on profitability. Despite recent traction, the turnaround is not yet proven and could require further capital.
medium · analyst_questionImpact of New Labor Codes
Management noted that the FY26 guidance does not factor in potential implications of the renewed labor codes, which could increase costs.
medium · management_commentaryCapital Allocation Discipline
An analyst questioned the company's history of seeding multiple businesses without timely exits. Management acknowledged past concerns but provided no specific exit criteria.
medium · analyst_questionNotable Quotes
We are not emotionally attached to any business. Business is business end of the day. We have to give it due time to get matured and the moment it starts and then we have to take a feedback on do we continue with it or do we not continue with it.
The exit significantly enhances PPAP's strategic flexibility and sharpens its ability to pursue independent growth initiatives.
Our basic competitiveness comes from the fact that we've been in the automotive business for the past 35 years and we have a sense of how a stable reliable quality focused product can be made.
Frequently Asked Questions
What was PPAP Automotive's revenue in Q3 FY26?
PPAP Automotive reported revenue of ₹139 Cr in Q3 FY26, representing a 0% change compared to the same quarter last year.
What guidance did PPAP Automotive management give for FY27?
FY26 Revenue Guidance of ₹575 crore: Management reiterated full-year FY26 consolidated revenue guidance of approximately ₹575 crore. FY26 EBITDA Guidance of ₹58 crore: Management guided for FY26 EBITDA of ₹58 crore, implying a margin of ~10.1%. FY26 PAT Guidance of ₹8 crore (ex-JV gain): PAT for FY26 is expected at ₹8 crore, excluding the extraordinary gain from the JV stake sale. Aftermarket Business to Grow 30% in FY27: Management expects the aftermarket business to grow by another 30% in FY27, targeting monthly revenue of ₹5 crore.
What are the key risks for PPAP Automotive in FY27?
Key risks include Model-Specific Volume Softness at Key OEMs — Q3 performance was impacted by lower-than-expected volumes for specific models at Maruti, Tata, and Honda. If this persists, Q4 recovery may be delayed.; Battery Division Turnaround Uncertainty — The lithium-ion battery business (Avena Batteries) has been a drag on profitability. Despite recent traction, the turnaround is not yet proven and could require further capital.; Impact of New Labor Codes — Management noted that the FY26 guidance does not factor in potential implications of the renewed labor codes, which could increase costs.; Capital Allocation Discipline — An analyst questioned the company's history of seeding multiple businesses without timely exits. Management acknowledged past concerns but provided no specific exit criteria..
Did PPAP Automotive meet its previous quarter's guidance?
Scorecard data is being built as historical quarters are processed.
Where can I read the full PPAP Automotive Q3 FY26 concall transcript?
The full earnings conference call transcript or source release is available on the linked source material. This page provides an AI-generated summary verified against official BSE/NSE filings.