Exide Industries Ltd Q4 FY26 Earnings Analysis
Published 17 Aug 2026 | Auto Components | Market Cap: ₹40.5K Cr
Price
₹476
Market Cap
₹40.5K Cr
P/E Ratio
43.1
Earnings Summary
Medium-term CAGR for the core lead-acid battery business is expected to be mid-to-high single digits to early double digits, similar to the past five years' CAGR of around 11% (+/-1%). Core lead-acid battery business is expected to grow at mid-to-high single-digit to early double-digit CAGR over the next 3-5 years, consistent with past five-year growth (~11% CAGR). - Auto OEM business has recorded 20-25% growth in recent quarters, expected to drive aftermarket growth after 2 years. - EBITDA margin improved by about 50 basis points year-on-year in FY26, showing margin resilience despite commodity cost pressures. - Lithium-ion business is ramping up with Rs.
📊 Revenue & Sales Performance
- →Medium-term CAGR for the core lead-acid battery business is expected to be mid-to-high single digits to early double digits, similar to the past five years' CAGR of around 11% (+/-1%).
- →Automotive OEM business is growing 20-25% and is expected to drive aftermarket growth in 2 years.
- →Domestic business sales grew 12.5% YoY in Q4; full-year FY26 domestic growth was about 7.5%.
- →Two-wheeler and four-wheeler replacement markets, home UPS, solar, and industrial infrastructure businesses show robust double-digit growth.
- →Export revenues expected to recover and grow from a low base as geopolitical tensions ease (Exports ~5% of top line).
- →Lithium-ion cell manufacturing business ramp-up expected to generate incremental revenue once production scales and approvals finalize, with Phase-I investment ongoing.
- →Overall outlook is cautiously optimistic given inflationary concerns, but strong growth momentum is maintained across key verticals.
📈 Profitability & Margins
- →Core lead-acid battery business is expected to grow at mid-to-high single-digit to early double-digit CAGR over the next 3-5 years, consistent with past five-year growth (~11% CAGR).
- →Auto OEM business has recorded 20-25% growth in recent quarters, expected to drive aftermarket growth after 2 years.
- →EBITDA margin improved by about 50 basis points year-on-year in FY26, showing margin resilience despite commodity cost pressures.
- →Lithium-ion business is ramping up with Rs. 1,400 crore investment planned in FY27, targeting commercialization in phases, which is expected to contribute to future earnings.
- →The Company focuses on ramping production, achieving 85% capacity utilization and 90% yield in lithium-ion plants to support margins.
- →Price hikes have been taken to offset commodity inflation, and further increases may be necessary due to sharp raw material cost rises.
- →Overall, the outlook remains cautiously optimistic with tight cost control amid inflationary pressures.
🏗️ Capital Expenditure Plans
- →Exide Industries has invested approximately Rs. 4,800 crores in its lithium-ion cell manufacturing subsidiary, Exide Energy, to date.
- →An additional capital expenditure of Rs. 1,400 crores is approved and planned for FY27, covering both CAPEX and OPEX requirements for Phase-I.
- →The total expected investment in the lithium-ion business, including past and planned amounts, is around Rs. 6,200-6,500 crores.
- →Investments focus on establishing a 6-gigawatt capacity split evenly between cylindrical (NMC chemistry) and prismatic (LFP chemistry) cells.
- →Discussions and potential future investments involve capacity tied with Hyundai, which is separate and incremental to the current 6-gigawatt investment.
- →The company is focusing on ramping up production, improving yields, and achieving better cost metrics before providing further guidance on returns.
💰 Fundraising & Capital Structure
- →The company has already received Board approval for investing Rs. 1,400 crore in FY27 towards lithium-ion cell manufacturing, covering both CAPEX and working capital.
- →There is no explicit mention of any new fundraising through debt or equity in the transcript.
- →Investment so far includes about Rs. 4,800 crores already invested in Exide Energy, the lithium-ion subsidiary.
- →Discussions with the government on policy support and subsidies to aid localization and cost competitiveness are ongoing, but no direct plans for fundraising were disclosed.
- →The management did not comment on material disclosures related to separate contracts (e.g., Hyundai co-investment) and refrained from discussing fundraising plans linked to those.
- →Overall, no confirmed new fundraising plans through debt or equity were announced or discussed in the transcript.
📋 Order Book & Pipeline
Key Metrics
Frequently Asked Questions
What were Exide Industries Ltd Q4 FY26 results?
Medium-term CAGR for the core lead-acid battery business is expected to be mid-to-high single digits to early double digits, similar to the past five years' CAGR of around 11% (+/-1%). Core lead-acid battery business is expected to grow at mid-to-high single-digit to early double-digit CAGR over the next 3-5 years, consistent with past five-year growth (~11% CAGR). - Auto OEM business has recorded 20-25% growth in recent quarters, expected to drive aftermarket growth after 2 years. - EBITDA margin improved by about 50 basis points year-on-year in FY26, showing margin resilience despite commodity cost pressures. - Lithium-ion business is ramping up with Rs.
What is Exide Industries Ltd share price analysis?
Exide Industries Ltd currently shows a neutral. The stock trades at a P/E of 43.1 with a market cap of ₹40,468 Cr. Investors should review the full earnings analysis for detailed insights.
Is Exide Industries Ltd planning capital expenditure?
Exide Industries has invested approximately Rs.
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.