Any current/future new fundraising through debt or equity?

There is no specific mention of any ongoing or planned fundraising through debt or equity in the provided transcript. The company has infused INR 350 crores into its lithium subsidiary (Amara Raja Advanced Cell Technologies) during Q2 FY'26, with total investment so far around INR 1,200 crores. For FY'26 and FY'27, the company plans to invest further capex (approximately INR 600-700 crores in FY'26 and around INR 1,000 crores in FY'27) mostly in the new energy business. No explicit reference to raising funds via equity or debt markets was made. The company appears to be funding capex and opera

Any current/future capex/capital investment/strategic investment?

Capex for FY '26 excluding tubular expansion: INR 500-600 crores; including tubular: around INR 600 crores. In H1 FY '26, INR 400 crores invested in standalone (Lead Acid) business. Additional INR 600-700 crores capex planned in FY '26 for New Energy business projects like ePositive Labs, CQP, and first Gigafactory. Expected lead acid maintenance and debottlenecking capex in next year: INR 350-400 crores. Lithium investment so far: INR 1,200 crores; another INR 500 crores expected in current fiscal. Planned lithium-ion investment in FY '27: around INR 1,000 crores. NMC cell manufacturing capac

Future growth expectations in sales/revenue/volumes?

The company targets moving New Energy revenue share from current ~4% to about 5% by FY '26 end and 7-8% by FY '27. Lead Acid Battery revenue is expected to grow around 8-10% in the next year. Historically, lead acid revenues grew at a CAGR of 12-13% over the last 10 years. OEM volumes for batteries saw a strong 30% growth in the recent quarter, mainly in 4-wheeler and 2-wheeler segments. New Energy business, including lithium battery packs for 2-wheelers, 3-wheelers, and telecom storage, is growing substantially, with plans to expand cell manufacturing capabilities. Growth momentum seen in Q2

Future growth expectations in earnings/operating earnings/profits/EPS?

Lead Acid Battery revenue expected to grow 8%-10% in the next year, sustaining industry growth levels. Management aspires to improve EBITDA margin to 13% run-rate, targeting a long-term return to original 14% margin levels as internal efficiencies, recycling, and tubular manufacturing initiatives mature. New Energy business (lithium-ion) is a key growth driver; cell manufacturing capacity and pack revenues are being expanded. New Energy revenue targeted to reach 5% of total by FY26-end and 7%-8% by FY27. Warranty provisions may slightly pressure margins for next 2 quarters but expected

Amara Raja Energy & Mobility LtdQ3 FY26Auto Components

Amara Raja Energy & Mobility Ltd Q3 FY26 Earnings Call Analysis

Revenue, margin, capex, fundraise and order book outlook from management commentary.

Price: ₹949P/E: 26.8Market Cap: ₹17.2K CrSector: Auto Components

Management growth scorecard

Revenue

Category 3

Margin

Category 2

Fundraise

N/A

Order

N/A

Capex

Yes

1 of 3 growth signals are positive — mixed outlook.

Full analysis

Revenue guidance

Category 3

→The company targets moving New Energy revenue share from current ~4% to about 5% by FY '26 end and 7-8% by FY '27.
→Lead Acid Battery revenue is expected to grow around 8-10% in the next year.
→Historically, lead acid revenues grew at a CAGR of 12-13% over the last 10 years.
→OEM volumes for batteries saw a strong 30% growth in the recent quarter, mainly in 4-wheeler and 2-wheeler segments.
→New Energy business, including lithium battery packs for 2-wheelers, 3-wheelers, and telecom storage, is growing substantially, with plans to expand cell manufacturing capabilities.
→Growth momentum seen in Q2 may not fully sustain into Q3 but some continued growth is expected.
→In the long term, the company expects healthy growth in both lead acid and lithium battery businesses by expanding market presence domestically and internationally.

Margin guidance

Category 2

→Lead Acid Battery revenue expected to grow 8%-10% in the next year, sustaining industry growth levels.
→Management aspires to improve EBITDA margin to 13% run-rate, targeting a long-term return to original 14% margin levels as internal efficiencies, recycling, and tubular manufacturing initiatives mature.
→New Energy business (lithium-ion) is a key growth driver; cell manufacturing capacity and pack revenues are being expanded.
→New Energy revenue targeted to reach 5% of total by FY26-end and 7%-8% by FY27.
→Warranty provisions may slightly pressure margins for next 2 quarters but expected to normalize thereafter.
→Capex of INR1,400-1,500 crores planned for FY26, mainly for New Energy expansion.
→Growth momentum in OEM segments (notably 30% volume growth in Q2) likely to stabilize; normal growth expected going forward.
→No specific EPS guidance provided, but efforts focus on sustainable margin improvement and expansion in high-growth segments.

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Fundraise plans

→There is no specific mention of any ongoing or planned fundraising through debt or equity in the provided transcript.
→The company has infused INR 350 crores into its lithium subsidiary (Amara Raja Advanced Cell Technologies) during Q2 FY'26, with total investment so far around INR 1,200 crores.
→For FY'26 and FY'27, the company plans to invest further capex (approximately INR 600-700 crores in FY'26 and around INR 1,000 crores in FY'27) mostly in the new energy business.
→No explicit reference to raising funds via equity or debt markets was made.
→The company appears to be funding capex and operations through internal accruals or subsidiary investments rather than external fundraising at this stage.

Order book

- The company has an active order book of over 5,000 units for AC and DC chargers in the New Energy business (Page 8). - Significant demand is noted in lithium battery packs and chargers, especially for telecom and 3-wheeler segments (Pages 7, 8, 12). - New energy business revenues are growing substantially, indicating a healthy pipeline (Page 3, 12). - Tubular battery plant has commenced commercial production, with full capacity revenues expected from Q3 onwards, suggesting an expanding order fulfillment (Page 11). - There is ongoing investment and capability development in cell manufacturing to cater to Indian market demands, indicating preparedness for future orders (Page 14). Overall, Amara Raja Energy & Mobility maintains a strong and growing order book, particularly in chargers and lithium battery packs, supporting its expansion in new energy sectors.

Capex plans

Yes

→Capex for FY '26 excluding tubular expansion: INR 500-600 crores; including tubular: around INR 600 crores.
→In H1 FY '26, INR 400 crores invested in standalone (Lead Acid) business.
→Additional INR 600-700 crores capex planned in FY '26 for New Energy business projects like ePositive Labs, CQP, and first Gigafactory.
→Expected lead acid maintenance and debottlenecking capex in next year: INR 350-400 crores.
→Lithium investment so far: INR 1,200 crores; another INR 500 crores expected in current fiscal.
→Planned lithium-ion investment in FY '27: around INR 1,000 crores.
→NMC cell manufacturing capacity of 2 GWh expected to commence commercial production in H1 calendar year 2027.
→Discussions ongoing regarding phased LFP capacity addition; timeline to be shared once demand solidifies.
→Focus on developing in-house cell capabilities, not just pack making, to serve Indian market needs.

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