🟢 At a Glance
Lumax Auto Technologies Ltd (NSE: LUMAXTECH) has dropped a quarter so hot, it might need engine cooling. With its Q4 FY25 revenue jumping 50% YoY to ₹1,133 Cr and full-year revenue crossing ₹3,600 Cr for the first time, the company isn’t just manufacturing auto parts — it’s manufacturing shareholder happiness.
🤑 PAT up 37% for the year, margins improving, and a massive ₹5.50/share dividend announced — oh, and did we mention their new play into alternative fuels and solar?
CMP: ₹707
EPS FY25: ₹26.08
Market Cap: ₹5,200 Cr (approx)
Sector: Auto Ancillary
🏭 About the Company
- Business: Manufacturer of auto components — from gear shifters and cockpit assemblies to emission systems and lighting
- Clients: Mahindra, Maruti Suzuki, Tata, Honda, VW, Bajaj Auto, and more
- Plants: 30 manufacturing facilities across India
- Subsidiaries: Includes IAC India, Lumax Resources, Greenfuel Energy, etc.
- Recent expansion: Entered alternate fuels, beefing up sustainability game
👥 Key Managerial Personnel (KMP)
| Name | Role |
|---|---|
| Anmol Jain | Managing Director |
| Pankaj Mahendru | Company Secretary |
| Jayant Davar | Co-Chairman (Lumax Group) |
| DK Jain | Chairman Emeritus |
💰 Financials Snapshot
| ₹ Cr | Q4 FY25 | Q4 FY24 | YoY % | FY25 | FY24 | YoY % |
|---|---|---|---|---|---|---|
| Revenue | 1,133 | 757 | 🔼 50% | 3,637 | 2,822 | 🔼 29% |
| EBITDA | 166 | 110 | 🔼 51% | 516 | 413 | 🔼 25% |
| PAT | 80 | 51 | 🔼 55% | 229 | 167 | 🔼 37% |
| EPS (₹) | 8.57 | 6.49 | 🔼 32% | 26.08 | 19.10 | 🔼 36% |
| EBITDA Margin | 14.6% | 14.5% | – | 14.2% | 14.6% | ⚖️ Stable |
📊 Segmental Breakdown
Revenue by Segment (FY25):
| Segment | Share of Revenue | Trend |
|---|---|---|
| Passenger Vehicles | 53% | 🔼 from 48% |
| 2/3-Wheelers | 22% | 🔽 from 24% |
| Aftermarket | 11% | 🔽 from 14% |
| Commercial Vehicles | 8% | ⚖️ |
| Others | 6% | Slight uptick |
Business Mix:
| Business Line | FY25 Share | Trend |
|---|---|---|
| Advanced Plastics | 56% | ⚖️ |
| Structures & Control Systems | 20% | 🔽 |
| Aftermarket | 11% | 🔽 |
| Mechatronics | 3% | 🔼 |
| Alternate Fuels | 3% | 🆕 |
| Others | 7% | 🔼 |
💡 Strategic Moves & Acquisitions
- 💸 Acquired 60% stake in Greenfuel Energy Solutions via Lumax Resources — now into alternate fuels
- 🧾 Post-year-end acquisition: Remaining 25% of IAC India bought for ₹221 Cr — now fully owned
- ☀️ Invested in AMPIN C&I’s solar subsidiary for captive power across 3 plants
- 🧱 New subsidiaries formed: Lumax Auto Solutions & Lumax Autocomp for future verticals
📈 Forward-Looking Fair Value (FV) Calculation
- EPS FY25: ₹26.08
- Assumed Forward P/E (Auto Ancillary, mid-cap, with growth): 30x
- Fair Value = ₹26.08 × 30 = ₹782.40
🔔 CMP ₹707 → FV ₹782.40 → Upside Potential: ~11%
(If margins hold and expansion delivers — FV could be revised upward)
🔮 Industry & Growth Outlook
- EV and alternate fuels = tailwinds for component manufacturers with diversification
- Growing demand from OEMs for integrated assemblies (like cockpit units, shifters)
- Focus on value-added parts, mechatronics, and lightweight plastics = margin tailwinds
- Indian automotive OEM growth = proxy play for Lumax
🧠 EduInvesting Take
If Tata is riding the EV wave, Lumax is quietly selling the shovels.
From:
“We make shifters and dashboards”
To:
“We own 30 plants, have BEV parts in Mahindra EVs, run solar-powered ops, and entered green fuel.”
This is a rare case of an old auto ancillary turning into a forward-looking tech-integrated mobility player. And doing it profitably.
Is it cheap? Not really.
Is it growing? Like a boss.
Is it diversified? Absolutely.
Is it still under ₹1,000? Yup.
🎯 If you’re looking at mid-cap manufacturing with moat, execution history, and EV+solar tailwinds — Lumax Auto deserves a dashboard spot.
🚨 Risks & Red Flags
- Too many subsidiaries → complexity risk
- EV adoption delay → slower uptake for BEV parts
- Input costs (plastics, energy) can hit margins
- Heavy capex via acquisitions → debt watch needed
- Aftermarket weakness — lower share vs FY24
🏁 Final Word
Lumax Auto Tech just pulled off its most profitable year ever, and it’s not done. With ₹707 price tag and ₹26+ EPS, the company is firing on every cylinder it manufactures for.
Just like the gear shifters it builds — this stock might be moving up a notch.
✍️ Prashant Marathe
🗓️ May 29, 2025
🏷️ Lumax Auto Technologies, Auto Ancillary, EV components, Q4 Results, FY25 Earnings, Greenfuel, IAC India, EduInvesting, FV, Fair Value, Midcap Stocks
