Sansera Engineering Q4 Results Review - Steady Performance; Growth Drivers Remain Favorable: ICICI Securities

ICICI Securities Report

Sansera Engineering Ltd.’s Ebitdam was flat QoQ at 17%, despite the Red Sea disruption adversely impacting supply chain costs. Sansera Engineering's order book stands at Rs 15.9 billion, with ~52% from tech-agnostic/EV/non-auto segments; most orders are likely to mature around FY27.

Sansera Engineering expects a revenue boost from a recovery in exports, premiumisation in two-wheelers and rising scale of aluminium forging/aerospace segment in coming quarters. It is confident of ~40–50% growth in the aerospace segment in FY25 (Rs 1.1 billion revenue in FY24), and ~50% growth for the next two–three years henceforth, using its newly-added facility.

We factor in Ebitdam of ~18% for FY25/26E led by improving mix and scale. Maintain Buy with a DCF-based revised target price of Rs 1,279 (earlier: Rs 1,276), implying 24 times FY26E earnings.

Click on the attachment to read the full report:

DISCLAIMER

This report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.