Varroc Engineering: EV orders are changing the mix

# Varroc Engineering: EV orders are changing the mix Varroc Engineering Limited is winning more business from electric-vehicle programmes, with EV revenue growing 50% year on year in Q3 FY26. The bigger question is whether these wins can improve the company's long-term business mix. Varroc won ₹20.6 billion of annualised peak revenue from new business in the first nine months of FY26. The wins included high-voltage electronics for EV powertrain components and lighting programmes for global EV players. This matters because Varroc has historically had exposure to conventional automotive components, while EVs are increasing demand for electronics, lighting and powertrain-related products. The company's outstanding order book also increased to ₹16.9 billion by H1 FY26, with expected revenue commencement spread across FY26-FY28. **My view:** The key opportunity is not simply higher order wins. It is the shift toward higher-value electronics and EV components. I would watch whether these orders translate into sustained revenue growth and better profitability. **What I'm watching:** EV revenue mix, order-book conversion, overseas business recovery and margins. **Disclosure:** I am a SEBI Registered Research Analyst. Please refer to the applicable disclosures before taking any investment decision.