1. At a Glance
Sansera Engineering is a high-precision auto-ancillary and aerospace components company, supplying to OEMs and defense biggies alike. With a ₹1,600 crore Airbus contract and a 22% profit CAGR over 5 years, this isn’t your average Tier-1 supplier—it’s a silent compounder… with a low promoter holding.
2. Introduction with Hook
Imagine an auto parts manufacturer moonlighting as a defense-tech partner to Airbus and DRDO. Sounds like an Avengers side-hustle? That’s Sansera for you.
- ₹1,600 million Airbus contract signed in 2025
- Net profit has grown from ₹98 Cr (FY19) to ₹217 Cr (FY25)
- But promoters only hold 30.34%. Are they slipping out the backdoor while FII-DII take over the cockpit?
3. Business Model (WTF Do They Even Do?)
Sansera is a dual-shielded warrior—on one side, they serve automotive majors (2W, PV, CV) with engine, transmission, suspension, and steering components. On the other, they build aerospace components (recent tie-up with Airbus) and supply to defense.
Segments:
- Automotive (2W, PV, CV): ~85% of revenues
- Non-Auto (Aerospace, Off-Road, Defense): ~15% but rapidly growing
- Clients: Bajaj, Honda, KTM, Airbus, ISRO (through MMRFIC), and the Indian Defense sector
And yes, they’re now making Airborne Intensive Care Units for Airbus.
4. Financials Overview
FY25 Revenue: ₹3,017 Cr
FY25 Net Profit: ₹217 Cr
5Y Revenue CAGR: 16%
5Y PAT CAGR: 22%
| Year | Revenue (₹ Cr) | Net Profit (₹ Cr) | OPM (%) | EPS (₹) |
|---|---|---|---|---|
| FY21 | 1,549 | 110 | 18% | 23.01 |
| FY22 | 1,989 | 132 | 17% | 25.01 |
| FY23 | 2,346 | 148 | 17% | 27.62 |
| FY24 | 2,811 | 188 | 17% | 34.65 |
| FY25 | 3,017 | 217 | 17% | 34.75 |
Margins are stable. Revenue is sticky. Cash flows—getting interesting.
5. Valuation
At CMP ₹1,357 and TTM EPS of ~₹34.75, P/E stands at ~39x.
EduInvesting Fair Value Range (FY26E):
- Base Case (15% PAT growth, 30x PE): ₹1,450
- Bull Case (Aerospace ramp-up, 35x PE): ₹1,750
- Bear Case (Auto slowdown, 22x PE): ₹1,050
Valuation Verdict: Fully priced, but not bloated. Market’s betting on its aerospace and defense pivot.
6. What’s Cooking – News, Triggers, Drama
- Airbus ICU Module Contract: ₹1,600 Mn—high-margin, Euro-denominated biz
- QIP in Oct 2024: Raised ₹1,200 Cr. Proceeds going into non-auto capex & MMRFIC
- MMRFIC acquisition + IITM collab: Chips, IP design & defense systems. Think: ‘Make in India’ meets ‘Make in Orbit’
- CEO Reshuffle + Sales Head exit: Will new management push margins or play it safe?
7. Balance Sheet
| Particulars | FY23 | FY24 | FY25 |
|---|---|---|---|
| Equity Capital | ₹11 Cr | ₹11 Cr | ₹12 Cr |
| Reserves | ₹1,157 Cr | ₹1,337 Cr | ₹2,738 Cr |
| Debt (Total) | ₹804 Cr | ₹891 Cr | ₹407 Cr |
| Total Assets | ₹2,463 Cr | ₹2,793 Cr | ₹3,736 Cr |
Key Takeaway:
The company has halved its debt in FY25. Post-QIP, it’s sitting on cash and near-zero debt. Interest cost is down. RoCE stable.
8. Cash Flow – Sab Number Game Hai
| Year | CFO (₹ Cr) | CFI (₹ Cr) | CFF (₹ Cr) | Net Flow |
|---|---|---|---|---|
| FY23 | 256 | -239 | -6 | +11 |
| FY24 | 374 | -367 | -8 | -1 |
| FY25 | 377 | -955 | +583 | +5 |
- FY25 cash burn due to capex into aerospace/defense
- But financed cleanly through QIP—no debt ballooning
9. Ratios – Sexy or Stressy?
| Metric | FY23 | FY24 | FY25 |
|---|---|---|---|
| ROCE | 14% | 16% | 13% |
| ROE | 12% | 13% | 10.5% |
| OPM | 17% | 17% | 17% |
| D/E | 0.69 | 0.67 | 0.15 |
Diagnosis: Healthy margins. Debt cleared. But ROE not keeping pace with equity dilution (thanks, QIP).
10. P&L Breakdown – Show Me the Money
| Item | FY23 | FY24 | FY25 |
|---|---|---|---|
| Revenue | ₹2,346 Cr | ₹2,811 Cr | ₹3,017 Cr |
| EBITDA | ₹387 Cr | ₹482 Cr | ₹515 Cr |
| Net Profit | ₹148 Cr | ₹188 Cr | ₹217 Cr |
| EPS | ₹27.62 | ₹34.65 | ₹34.75 |
Revenue is growing steadily. EPS flat YoY due to equity dilution. But NP is still compounding.
11. Peer Comparison
| Company | ROCE | P/E | OPM | Mcap (Cr) | Promoter Holding |
|---|---|---|---|---|---|
| Sansera | 13.3% | 39x | 17% | ₹8,429 Cr | 30.3% |
| Schaeffler | 25.7% | 64x | 18% | ₹65,678 Cr | 46.6% |
| Endurance Tech | 18.2% | 45x | 13% | ₹37,454 Cr | 75.0% |
| Bharat Forge | 12.2% | 63x | 17% | ₹58,164 Cr | 45.8% |
Conclusion: Sansera is leaner, cheaper, and lighter—on promoter skin, but not on quality. Market sees it as a mid-cap rocket waiting for a defense-boost.
12. Miscellaneous – Shareholding, Promoters
- Promoters: Dropped from 35.5% (2022) to 30.3%
- FIIs: From 39.5% to 19.5%
- DIIs: From 16% to 36.8%
- Public: 13.18% (increasing gradually)
Pattern: Mutual funds are gobbling this up while promoters quietly trim. Institutional faith rising.
13. EduInvesting Verdict™
Sansera is like that quiet IIT topper who cracks UPSC and then moonlights for ISRO.
On one hand, you have a precision auto-ancillary player with sticky revenues and industry-best margins. On the other, a fast-emerging aerospace-tech story with Airbus and DRDO as clients. That’s not diversification—it’s transformation.
But watch the promoter moves. QIP-led dilution is good for balance sheet, but not so flattering for ROE. And with aerospace just beginning, the next 2 years will decide if this is another “defense pivot story” or a true two-engine thrust.
TL;DR: A silent compounder. Precision today, propulsion tomorrow.
Metadata
– Written by EduInvesting | 19 July 2025
– Tags: Auto Ancillary, Defense, Aerospace, Engineering, Sansera, Precision Components, Airbus, MMRFIC, Midcap
