UNO Minda forecasts volume ramp-up, product expansion in next 12-18 months
In an interview with CNBC-TV18, Sunil Bohra, the Group CFO of Uno Minda, provided insights into the company's strategic plans for the upcoming quarters.
Mumbai-based UNO Minda (formerly Minda Industries) plans to adopt a dual strategy of ramping up volumes while introducing new products over the next 12 to 18 months.
In an interview with CNBC-TV18, Sunil Bohra, the Group CFO of the diversified auto ancillary supplier, discussed new products, particularly electric vehicles (EV), with a plant all set for commissioning in the last quarter of the fiscal year.
The company volumes will be better in the upcoming quarters and it hopes to sustain margin at around 11%, Bohra said.
"There are a lot of new products which are getting into production as we move forward, like EV motors. While the plant has been ready for commissioning, it will start production only in the last quarter of the fiscal and will see the volume ramp up."
The company manufactures a number of auto products such as switches, horns and lights. It holds a leadership position in the auto switch business with a market share of 67%, a Moneycontrol article stated quoting a Geojit research report. The content per vehicle has continued to grow at 10%-15%, and it is expected to add more components to its product portfolio.
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Bohra is confident of achieving revenue of over ₹2,500 crore from the EV segment by FY26.
The company reported revenue of ₹3,621 crore in the second quarter of financial year 2024 as against ₹2,877 crore in the same quarter last year.
The company's EBITDA (earnings before interest, tax, depreciation and amortisation) for Q2 was at ₹402 crore versus ₹318 crore last year.
The company has a market capitalisation of around ₹11,747.68 crore. UNO Minda has gained more than 18% over the last month. In comparison, the Nifty Auto gained around 3%.
To watch the whole interview, watch the accompanying video
(Edited by : Shweta Mungre)
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