Subros Q4 Results | Net profit up 7% as revenue climbs 16%; declares ₹3 dividend

Auto components major Subros Ltd on Monday (May 18) reported a 6.8% year-on-year increase in net profit for the fourth quarter at ₹49.3 crore, compared with ₹46.2 crore in the corresponding quarter last year.

Revenue grew 15.6% year-on-year to ₹1,050 crore versus ₹909 crore in the same period last year. EBITDA stood at ₹92.4 crore, slightly lower than ₹92.8 crore a year earlier. EBITDA margin declined to 8.8% from 10.2% year-on-year.

The company reported an increase in profit before tax (PBT) across comparable periods, supported by cost-down initiatives despite higher material costs and other expenses. The company also benefited from lower depreciation and finance costs, along with accrued incentive income of ₹15.48 crore.

Also Read: Subros Q2 Results | Net profit rises 12% to ₹41 crore on higher volumes, new business start

Profit before tax before exceptional items rose 12.24% year-on-year in FY26 to ₹228.37 crore from ₹203.46 crore. The company attributed the increase to cost-down initiatives, lower depreciation and finance costs, and accrued incentive income of ₹15.48 crore despite higher material costs and expenses.

Q4 FY26 PBT before exceptional items stood at ₹66.69 crore, up from ₹61.83 crore in Q4 FY25 and ₹52.75 crore in Q3 FY26, supported by higher volumes and cost optimisation measures.

Employee costs rose due to annual salary and wage revisions, while a one-time impact of ₹8.08 crore was recorded on account of gratuity and leave encashment under the new labour code.

EBITDA for FY26 rose 5.77% to ₹362.93 crore from ₹343.12 crore in FY25. EBITDA margin stood at 9.70% compared with 10.22% a year earlier. The company said EBITDA growth was supported by accrued incentive income of ₹15.48 crore and cost optimisation initiatives, partially offset by adverse commodity and currency movements and product mix changes.

Also Read: Subros Q3 profit rises 5% to ₹34.7 crore despite margin squeeze

Revenue increased across periods, supported by higher volumes and the start of production of new business awards. Revenue rose 11.52% year-on-year, 15.55% in Q4 over the corresponding quarter of the previous year, and 10.77% sequentially due to volume growth and commencement of new business production.

For FY26 versus FY25, higher revenue was driven by increased volumes and new business awards, while other income increased due to accrued incentive income of ₹15.48 crore.

Material costs rose due to adverse commodity and currency movements, partially offset by cost optimisation initiatives. Employee costs increased due to annual wage revisions, and a one-time impact of ₹8.08 crore was recorded for gratuity and leave encashment under the new labour code.

For Q4 FY26 versus Q4 FY25, revenue rose due to higher volumes and new business production, while other income increased due to positive MTM on currency reinstatement. Material costs remained elevated due to adverse commodity and currency movements, offset by cost optimisation and product mix changes.

Also Read: Subros Q1 Results: Net profit increases 17% YoY to ₹40.8 crore, revenue up 8.5%

For Q4 FY26 versus Q3 FY26, revenue rose due to higher volumes, while other income increased due to positive MTM on currency reinstatement at year-end. Material costs remained higher due to adverse commodity and currency movements and product mix changes, offset by cost optimisation initiatives.

The company said employee costs increased due to annual salary and wage revisions, while a one-time impact of ₹8.08 crore was recorded towards gratuity and leave encashment under the new labour code.

The company recommended a dividend of ₹3 per equity share of ₹2 each, representing 150%, for the year ended March 31, 2026. The dividend is subject to shareholder approval at the ensuing annual general meeting.

The record date for the dividend is set as September 11, 2026, for members whose names appear in the register of members as of the close of business hours.

Shares of Subros Ltd ended at ₹728.00, down by ₹19.40, or 2.60%, on the BSE.