Minda Corp registers robust performance in Q1 FY2017

Minda Corporation, the flagship company of the Spark Minda, Ashok Minda Group, has posted a robust performance for the first quarter of the ongoing fiscal.

While total revenue has increased by 31.7% YoY to Rs 6,95.4 crore, EBITDA is up by 27.5% YoY to Rs 62.6 crore. Profit after tax rose by 22.9% to Rs 24.9 crore.

Commenting on the results, Ashok Minda, chairman and Group CEO, Minda Corp, said: “With the onset of FY2016-17, we began a new journey aimed at diversifying into newer high quality products, adding blue chip customers and entering into exciting new global markets. Not only did we make a highly valuable acquisition of Panalfa Autoelektrik, but also won many new orders from high profile global customers. To cater to one of these orders, we are setting up additional die casting capacity in Pune. Furthermore, we have made significant progress on the construction of our new greenfield plant in Mexico, which gives access to one of the most demanding and advanced automotive markets – the US.

I am particularly pleased with the impending implementation of the Goods & Services Tax (GST). Firstly, the GST would reduce the on-road prices for most kind of automobiles and lead to greater demand for our products. Secondly, a lower tax rate will bring down the price differential between the organised and the unorganised sector firms in case of products in the aftermarket segment helping companies such as Minda Corp gain market share.

We are in the midst of building the Spark Minda Technical Centre in Pune which has state-of-the-art testing and measuring equipment along with advanced engineering and research facilities.”

Diversified product portfolio

Minda Corporation has a diversified product portfolio that encompasses safety, security and restraint systems; driver information and telematics systems and interior systems for vehicle manufacturers. These products cater to two- and three-wheelers, passenger vehicles, commercial vehicles and the aftermarket.

The company’s clientele includes Ashok Leyland, Bajaj Auto, BMW, Daimler, Hero MotoCorp, Honda Motorcycle & Scooter India, Mahindra & Mahindra, Maruti Suzuki India, Renault Nissan, Tata Motors, TVS Motor Co, Yamaha and the Volkswagen Group.

The Company has 32 state-of-the-art manufacturing facilities comprising 26 in India, two in South-East Asia, three in Europe and one in South America. It also has a representative office in Japan.

In 2015-16, Minda Corporation had a turnover of Rs 2,445 crore in FY2015-16 with international business accounting for 21% of revenues.