MINDACORP

Minda Corp. reported revenue of INR 13,213 Mn., up 8.7% YoY (+5.5% QoQ), in-line with our estimates (+2.6%). EBITDA came in at INR 1,529 Mn., up 10.3% YoY (+6.5% QoQ), in-line with our estimates (-2.6%). EBITDA margin expanded by 17bps YoY (+11bps QoQ) to 11.6% led by expansion in gross margins, partially offset by operational expenses. Adjusted net profit stood at INR 520 Mn., down 26.5% YoY (-19.7% QoQ), sharply below our estimates (-32.7%), led by sharp increase in depreciation and interest expense. We have revised our FY26E/FY27E EPS estimates by -5.0%/-5.4%, respectively, as we factor in elevated finance costs and higher depreciation. We believe, the underlying business remains fundamentally strong aided by increase in EV penetration, robust order inflows across segments and margin resilience and improvement. Outlook We expect Revenue/ EBITDA/ Adjusted net profit to grow at a CAGR of 12.3%/ 19.6%/ 35.1%, respectively over FY25-FY27E. We value Minda Corporation at 32.0x FY27E EPS, implying a target price of INR 624. We reiterate and maintain our “BUY” rating on the stock.