Schaeffler India Posts 27% Revenue Growth in Q3 2026

Revenue reached Rs 3,005.8 crore; Profit after tax stood at Rs 370.4 crore.
Reader Takeaway: Strong double-digit segment growth offset by rising input costs and a stretched working capital cycle.

What just happened

Schaeffler India has delivered a strong performance for the third quarter of 2026, reporting revenue of Rs 3,005.8 crore, a 27.4% increase over the same period last year. Profit after tax (PAT) rose to Rs 370.4 crore from Rs 306.7 crore in Q3 2025. The results were supported by double-digit growth across all segments, with the export division leading the charge at a 46.3% increase.

Why this matters

Growth is broad-based, with the Automotive Technologies division growing 34.9% and Vehicle Lifetime Solutions up 22.0%. The company has reached a key operational milestone, with its fifth manufacturing plant at Shoolagiri, Tamil Nadu, now fully functional. Additionally, the inauguration of an e-axle line in Talegaon underlines a strategic push into high-growth E-mobility sectors.

Risks to watch

Investors should look closely at cash flow generation. Free cash flow dropped to Rs 40.8 crore this quarter, down from Rs 223.2 crore in the year-ago period. Management attributed this to higher inventory levels and increased overdues. Additionally, margin quality is being challenged by rising input costs and elevated fuel prices, which bear monitoring in upcoming quarters.

Context metrics

• Revenue: Rs 3,005.8 crore (up from Rs 2,360.1 crore YoY).
• EBITDA: Rs 561.7 crore (up from Rs 476.0 crore YoY).
• Capex: Rs 182.2 crore for the quarter, signaling heavy reinvestment.
• ESG Rating: S&P Global CSA score of 76/100, currently ranking 1st in the Indian machinery sector.