Craftsman Auto Q1 FY27 Results & Concall Highlights: Revenue, Margins & Order Book
Published 25 Aug 2026 | Auto Components | Market Cap: ₹27.8K Cr
Craftsman Automation expects continued strong growth, especially in the Aluminium segment, which is on a steep growth path and will outperform others in revenue and percentage terms for many more quarters. Capex cycle in India has started and is expected to continue for a long time, supporting growth across OEMs and Tier 1, Tier 2 companies, indicating a manufacturing-driven growth trajectory.
From Craftsman Auto's Q1 FY27 earnings-call transcript · updated 25 Aug 2026.
Price
₹10,460
Market Cap
₹27.8K Cr
P/E Ratio
59.4
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Craftsman Auto — Quarterly revenue & net profit
Reported quarterly figures (₹ Cr). Latest: revenue ₹2.2K Cr, net profit ₹116 Cr.
Full financials →📊 Revenue & Sales Performance
- →Craftsman Automation expects continued strong growth, especially in the Aluminium segment, which is on a steep growth path and will outperform others in revenue and percentage terms for many more quarters.
- →Heavy horsepower engine segment targeted to reach USD 100 million revenue by FY 30, with production ramping up from FY 28.
- →Standalone Powertrain and Aluminium segments are expanding with new capacity investments; revenue growth momentum seen in Q1 FY27 likely to continue.
- →Capacity utilizations: Powertrain around 70%-75% seasonally; Aluminium operating above 80%.
- →Incremental capex of approx INR 1,500 crores planned mainly funded by internal accruals to support volume growth.
- →New greenfield projects with customers across India will drive capacity expansion and revenue growth.
- →Orders for industrial material handling and storage segments are increasing quarter-on-quarter, supporting margin stability.
- →Overall, strong demand traction and sustained capex cycle signal robust volume and revenue growth prospects.
📈 Profitability & Margins
- →Capex cycle in India has started and is expected to continue for a long time, supporting growth across OEMs and Tier 1, Tier 2 companies, indicating a manufacturing-driven growth trajectory.
- →Heavy horsepower engine business expected to start meaningful revenue from FY28, with full production revenues by FY30, supporting future earnings growth.
- →Powertrain segment margins expected to maintain current return ratios despite new product developments and associated start-up costs.
- →Sunbeam restructuring nearing completion by December with expected EBITDA margin improvement to mid-teens by Q4, though revenues may contract 10%-20% due to exit of low-margin products.
- →Aluminium segment poised for strong growth due to prior investments and capacity ramp-up, likely contributing to higher earnings.
- →Operating leverage from growing orders, particularly in material handling and storage, expected to keep margins stable going forward.
- →Capex of approx. INR 1,500 crores for FY27 funded largely from internal accruals, indicating cautious but confident expansion.
🏗️ Capital Expenditure Plans
- →The capex cycle has started in India and is expected to continue for a long time across OEMs, Tier 1, and Tier 2 companies.
- →Consolidated capex guidance for FY27 is around INR 1,500 crores, with INR 1,000 crores for standalone, INR 430 crores for DR Axion, and maintenance/expansion spend for Sunbeam.
- →Capex allocation:
- → - New Aluminium projects with high infrastructure costs (land, building, utilities) estimated around INR 150-250 crores per plant without production equipment.
- → - Powertrain expansion includes new stationary engines and replacement/maintenance capex (~INR 250-300 crores).
- → - Hosur facility expansion focused on high-pressure die casting for automotive parts (non-alloy wheel capacity).
- →Capex will be primarily funded through internal accruals; no need to access public markets foreseen.
- →Capex pace may accelerate based on demand traction and customer greenfield projects.
- →Sunbeam is undergoing restructuring with primarily maintenance capex going forward.
💰 Fundraising & Capital Structure
- →There is no current need for fundraising through public markets (equity) as per Srinivasan Ravi.
- →The INR 1,500 crores capex planned for the year is expected to be funded entirely through internal accruals.
- →Cash flow mismatches may occur but will be managed without external equity raising.
- →The company aims to maintain a good net debt to EBITDA ratio, indicating controlled debt levels.
- →Future capex beyond current plans may be revised based on market traction, but no explicit mention of new debt or equity fundraising was made.
📋 Order Book & Pipeline
- →The standalone aluminium segment is on a strong growth path with new orders coming in; many are in the development stage, with production expected mainly in FY 28 and FY 29.
- →The heavy horsepower engine segment (Powertrain) has received orders from 4 out of 6 key customers, reaching the initial revenue target of USD 100 million by FY 29-30.
- →Around 30% of heavy horsepower engine production will start by FY 28, with about 50% ramping up by FY 29 and full-scale revenue expected by FY 30.
- →The Kothavadi foundry project is on track for USD 100 million revenue target in FY 29 with additional inquiries indicating potential growth beyond that.
- →Capex plans are paced in line with order inflow; acceleration possible if demand increases.
- →Sunbeam is restructuring and expects improved profitability by Q4, with some legacy business exits ongoing as requested by customers.
Key Metrics
Frequently Asked Questions
What were Craftsman Auto Q1 FY27 results?
Craftsman Automation expects continued strong growth, especially in the Aluminium segment, which is on a steep growth path and will outperform others in revenue and percentage terms for many more quarters. Capex cycle in India has started and is expected to continue for a long time, supporting growth across OEMs and Tier 1, Tier 2 companies, indicating a manufacturing-driven growth trajectory.
What is Craftsman Auto share price analysis?
Craftsman Auto currently shows a neutral. The stock trades at a P/E of 59.4 with a market cap of ₹27,840 Cr. Investors should review the full earnings analysis for detailed insights.
Is Craftsman Auto planning capital expenditure?
The capex cycle has started in India and is expected to continue for a long time across OEMs, Tier 1, and Tier 2 companies.
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This analysis is AI-generated based on publicly available earnings data and concall transcripts. This is not investment advice. Please consult a SEBI-registered advisor before making investment decisions.