Growth within guide, but 4-wheeler miss and margin squeeze cloud outlook

Delivered ₹775.4Cr, YoY growth 17.7% — revenue higher than stated but growth rate lower

Delivered PAT growth 12.8% — 340 bps lower than management's own calculation

Q1 EBITDA margin 13.5%, but 120 bps compression QoQ and below 14% full-year guidance

Prior call guided ₹100-150Cr; now ~₹19Cr (2.5% of 775). Explicit 2-quarter delay on ₹100Cr+ target

Q4 FY26: ₹100-150Cr from 4-wheeler in FY27. Q1 FY27: ~₹19Cr (2.5%), shifted to FY28. Explicit acknowledgment of 'longer conversion cycle' with OEMs.

Management had implied sharp acceleration; now admits 'stagnated' 7 quarters. Guided only 70% by 24 months (from 63%), not higher.

Q1 EBITDA margin 13.5% vs 14% full-year guide. Q1 typically has higher employee costs; margin recovery contingent on 2-quarter customer price lag.

Now guiding ₹100Cr (from ₹110Cr last year), down from ₹200Cr over 2 years. Reflects scaled 4-wheeler capex plan.

Procedural checklists and longer-than-expected customer conversion cycles. Taking time to onboard new OEM clients and satisfy compliance processes.

Revenue target pushed out 2 quarters to FY28. What we expected to materialize in FY27 will spill to 2028. Long-term trajectory intact; some orders lumpy.

80 bps from raw materials (pass-through in 2-quarter lag), 40 bps employee cost (Haryana 35% minimum wage hike in Q1, will repeat in other states). Should recover at normalized full-year level.

Entry-level 2-wheelers still use halogen. EV mandatory LED but smaller volume base. Should move to 70% in next 24 months as new models launch.

Current quarter wallet share same or better, in line with customer requirement. Working on new model projects; some under RFQ. Hopeful on outlook.

Gogoro exited India, so hub motor initiative stopped. Focusing on core lighting and LCM (light control module) to consolidate lamp functionality.

Cannot disclose due to customer confidentiality. Can only say top 4 customer wallet share stable and we're growing in line with them.

Hands-off detection: POC done, presented to all customers, waiting feedback. LCM: launching soon, will reduce dev time. Projection/focused lighting: in approval stage, customer feedback pending.

Q1 grew 17.7%, in-guide. Assumes continued industry growth ~22%, customer capacity ramps (TVS +1.5M, Hero 3x Vida), and new model wins offset Yamaha weakness and 4-wheeler slip.

Q1 was 13.5% (120 bps below). Q1 has elevated employee costs (annual increments, Haryana wage hike 35%). Recovery depends on 2-quarter customer price pass-through and no further cost shocks.

Q1 CapEx ₹41.15Cr. Bulk allocation to Hosur facility (EVs, 4-wheeler prep); some Tapukara. Capex moderated as 4-wheeler ramp delayed to FY28.

Q4 FY26 guided ₹100-150Cr revenue from 4-wheeler lighting in FY27; now admitted push-out by 2 quarters to FY28. Customer qualification cycles longer than expected; procedural/compliance overhead with new OEM onboarding.

Q1 EBITDA margin 13.5% vs full-year guidance 14% (120 bps QoQ compression). Raw material costs up 80 bps (20% input content), employee costs up 40 bps (Haryana 35% minimum wage hike, followed by other states). Pass-through depends on 2-quarter customer price negotiations.

LED share flat 7 quarters at 61-64% despite EV penetration rising 6%→9% and EV mandatory LED. Suggests entry-level 2-wheelers (halogen) still dominating volume; or competitors gaining share on LED models. Management guided to 70% in 24 months but acknowledged 'challenging' competitive environment.

Yamaha flat YoY in Q1 despite 8-9 model pipeline. Exports weak (2-3% up), domestic strong (40-50% up) — lumpy and seasonal. Honda, TVS, Hero growing in line, but Yamaha inconsistency signals concentration risk if any top customer volume falters.

Analyst noted competitors have 'very high win rate' on new model launches with TVS, Suzuki. Concerned whether FIEM maintaining wallet share as LED penetration rises and OEMs multi-source. Management reiterated 'wallet share same or better' but deflected on segment-level disclosure.