This Auto component stock which deals in the business of providing design-to-delivery aesthetics solutions, and the ability to design, manufacture, and develop a product portfolio for a variety range of clients is up 7 percent after reporting a net profit growth of 33%.
Price Movement
S.J.S. Enterprises Limited‘s stock in Friday’s session touched a day’s high of Rs. 984 per share up by 7.62 percent. The stock reiterated from the day’s high and was trading at Rs. 940 which is 2.81 percent from the previous closing price of Rs. 914.30. The stock has delivered a return of around 56 percent in the past year and has outperformed the Nifty Index in the same period.
Financial Performance
Their Q3FY25 results show revenue from operations of Rs. 178.56 crore which increased by 11.19 percent year on year, from Rs. 160.58 crore in Q3FY24 and a 7.37 percent decline from Rs. 192.78 crore in Q2FY25. Their net profit increased by 32.88 percent year on year, from Rs. 20.85 crores in Q3FY24 to Rs. 27.71 crores in Q3FY25. Quarterly, the profits fell by 4.92 percent from Rs. 29.14 crore.
Business Segments
As per the recent December 2024 results, the company recognizes its revenue from the 2 Wheeler segment which contributes around 35.6 percent, 40.1 percent from Passenger Vehicles, 19.1 percent from the Consumer segment, and the remaining 5.1 percent from others. 93.6 percent was from Domestic and the remaining 6.4 percent from exports.
Future Outlook
The company expects to outperform the Industry by 1.5 times on account of Premiumisation, Building Mega OEM accounts, Exports, and Walter Pack India (WPI) Acquisition for the FY25 outlook.
Organically for the period of FY24 to FY26, they plan to develop and introduce Optical cover glass, Moulded Electronic (IME) parts, Illuminated logos, and other new-gen technologies. Increasing capacity at the existing plant through debottlenecking and partnering with external chrome plating manufacturers. Exotech and WPI capacity expansion plans are finalized and for Q1FY26, the new plant is expected to be commissioned. SJS plans to open a new greenfield plant for Optical Cover Glass.
Inorganically, SJS plans to enter large markets like North America or Southeast Asia, expanding its presence in chrome plating and gaining direct entry into the OEMs to support cross-selling opportunities.
Company Overview & Market Share
SJS Enterprises Limited was established in 1987 and headquartered in Bengaluru. It is a prominent player in the decorative aesthetics industry, primarily serving the automotive and consumer appliance sectors. The company holds approximately 90 percent market share in new-generation products like 3D Dials, and IML excluding chrome plating.
Client Base
Some of the prominent clients include Mahindra, TVS, Hyundai, Royal Enfield, Honda, BMW, Yamaha, Triumph, Dixon, IFB, Bajaj, Liebherr, Stellantis, IFB, Fiat Chrysler Automobiles and others.
Written by Santhosh S
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