Record OHT growth masks margin compression; On-Highway seeded for 2030 scale

Delivered revenue +25.2% YoY; volume 93,770 MT reported

Delivered ₹3,455.3 Cr (+25.2% YoY); gap ₹46 Cr within forex/consolidation variance

Delivered OPM 21.5%, 89 bps better than stated; management conservative

Delivered PAT ₹450.8 Cr, +4.4% higher than reported; understated by ~₹19 Cr

Delivered margin 21.5% vs guided 20.61% suggests inflation absorbed; Q2 projection unverified

Prior: ₹1,500–1,800 Cr for FY27 (from 4-year ₹4,000 Cr plan). Current: ₹2,500–3,000 Cr total (₹1,000 spent, ₹1,500–2,000 remaining). Front-loaded capex.

Guided 20.61% OPM; delivered 21.5%. Raw material +5% (vs 7–8% expected), price hikes offset impact. Q2 guidance: 2% margin hit from residual commodity.

Truck-bus radial (TBR) and 2-wheeler tires launched in Q1. ₹5,000 Cr revenue target by 2030 reiterated (new segment, no prior guidance).

India now 40% of volumes (vs 20% target by FY30). Margin impact 'marginally lower' than export; improving but acknowledged drag.

India ~18–19%, US 3–4%, Europe 7–8%. End-user inventory levels normal, no buildup or shortage.

5% price hike scattered Q1 (full pass-through this quarter). Raw material +5% cost base (~3% sales impact). Q2–Q3 expected 2–3% margin impact. Further hikes being evaluated, no announcements yet.

Lower base last year, good monsoon and agricultural season. Too early to commit to full-year double-digit guidance.

Too early to share details. Company has applied (as have all peers). Will update when progress made.

FY27 capex ₹2,500–3,000 Cr total (₹1,000 spent, ₹1,500–2,000 remaining). Balance will be descending in FY28+. Total ₹6.8 Cr for ₹23 Cr revenue by 2030.

All three: agri, industrial construction, mining. Replacement side. OE mix holding up.

Q1 was setup phase (systems, seed marketing). Dealer additions will ramp with sales. Pan-India coverage, all categories. Early response strong; FY27 portfolio building, FY28 onwards serious business.

No additional margin impact from OEM mix. (No details on OEM vs replacement margin differential.)

We do not give forward-looking statements. (Repeated 3x after Disha persisted.)

Product differentiation strategy (explained many times). Not sharing margin figures with channel.

₹1,000 Cr spent Q1. ₹1,500–2,000 Cr remaining. Total ₹6.8 Cr capex plan over ~3 years to reach FY30 target.

Q1 seeding phase. Gradual ramp Q2+. FY27–28 portfolio building. FY28 onwards 'serious business'. Product differentiation & service (YOU FORWARD program).

5% raw material cost increase. Mgmt took 5% price hike in Q1 (full pass-through this quarter), more planned. Net margin impact Q2 ~2%.

Q1 delivered 21.5% vs prior call's caution (20.61% mgmt stated). India mix drag (lower by 'marginally') but improving. Pricing power confirmed.

Carbon Black ₹800 Cr, power ₹125 Cr spent. Balance ₹3,000 Cr on track. Capex front-loaded; FY28+ to be lower.

Raw material +5% cost base in Q1. Q2–Q3 expected 2–3% margin hit despite price hikes. Geopolitical impact on crude → Carbon Black pricing & OHT rubber.

Mgmt flagged vessel/container shortages, freight cost volatility, peace process impact on routes. Europe weather (heat waves), India monsoon uncertainty.

New segment launched Q1 (TBR, 2-wheeler), no revenue disclosed. ₹5k Cr target by 2030 is aggressive. Product acceptance early but unproven. Channel (70 distributors) still building.

India mix rose to 40% of volumes (vs 20% target by FY30). India domestic margins 'marginally lower' than exports. As India share grows, OPM could erode unless premium positioning works.

Company applied for US tariff refunds (10% duty settled). Timing & quantum uncertain. Potential upside but not quantified.