India's Motherson Sumi Wiring reports Q1 profit below estimates on higher expansion costs

Samvardhana Motherson International

28/07/2025 11:10

July 28 (Reuters) -  Motherson Sumi Wiring India MSWI.NS reported quarterly profit below estimates on Monday due to higher expansion costs.

The company's net profit fell nearly 4% to 1.43 billion rupees ($16.51 million) in the three months ended June, from 1.49 billion rupees a year ago.

It came in below analysts' estimates of 1.53 billion rupees, according to data compiled by LSEG.

The company, which sells wiring harness solutions to carmakers including Maruti Suzuki MRTI.NS and Tata Motors TAMO.NS, reported a 14% rise in revenue from operations to 24.95 billion rupees.

Overall expenses rose nearly 16%, outpacing revenue growth.

KEY CONTEXT

Motherson Sumi Wiring has been expanding production capacity with three greenfield projects that would support wiring demand for both electric and gas-powered vehicles. Two of three plants have not yet ramped up production, the company has said.

Associated costs have led to a decline in profit in the last two quarters.

In the reported quarter, the company booked 260 million rupees in start-up costs, compared to 130 million rupees last year.

PEER COMPARISON

Valuation (next 12 months)
Estimates (next 12 months)
Analysts' sentiment
RIC
PE
EV/EBITDA
Revenue growth (%)
Profit growth (%)
Mean rating*
No. of analysts
Stock to price target**
Div yield (%)
Motherson Sumi Wiring India
MSWI.NS
22.33
20.72
13.90
23.39
Buy
12
0.90
1.40
UNO Minda
UNOI.NS
48.36
26.62
18.21
26.71
Buy
16
0.96
0.21
Exide Industries
EXID.NS
25.00
15.00
8.21
13.84
Hold
12
0.96
0.53
Bosch
BOSH.NS
46.02
38.69
10.56
13.15
Hold
4
1.26
1.35

* The mean of analyst ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell

** The ratio of the stock's last close to analysts' mean price target; a ratio above 1 means the stock is trading above the PT

APRIL TO JUNE STOCK PERFORMANCE

 -- All data from LSEG

-- $1 = 86.6275 Indian rupees

Motherson Sumi Wiring Stock Performance https://tmsnrt.rs/3GIyMws

 (Reporting by Ananta Agarwal in Bengaluru; Editing by Sonia Cheema)

 ((Ananta.agarwal@thomsonreuters.com;))