At a Glance
Saint-Gobain Sekurit India Ltd (SGSIL) just served up Q1 FY26 results with Revenue of ₹54.8 Cr (+9.9% YoY) and PAT ₹10.7 Cr (+40.7% YoY). Margins? A sleek 21% OPM, better than your bank FD and definitely shinier than your car windshield. With a P/E of 25 and ROCE at 20%, this glassmaker looks sturdy. But growth is slower than watching paint dry — sales CAGR over 5 years is just 9%.
Introduction
If you’ve ever sat in a car and looked out the window without it cracking under pressure, thank Saint-Gobain Sekurit. But investors don’t buy stocks for gratitude — they buy for returns. This auto-glass specialist is a small but steady player backed by the global Saint-Gobain empire. Stable margins, dividend payout, low debt… and yet, stock returns have been meh. Is this a stealth compounder or a slow-moving windshield wiper?
Business Model (WTF Do They Even Do?)
- Products: Automotive glass (windshields, sidelights, backlights) for OEMs and aftermarket.
- Clients: Auto manufacturers & aftermarket distributors.
- Parent Support: Part of France’s Saint-Gobain Group — meaning tech and branding backup.
- Special Sauce: High-performance glass processing under “Mobility Division”.
It’s a pure-play auto ancillary, so fortunes ride on auto industry cycles. Thankfully, margins here are better than many auto suppliers, because glass tech is sticky.
Financials Overview
Q1 FY26 Highlights:
- Revenue ₹54.8 Cr (+9.9% YoY)
- EBITDA ₹12 Cr (+20%)
- PAT ₹10.7 Cr (+40.7%)
- EPS ₹1.18 (vs ₹0.84 YoY)
FY25 Recap:
- Revenue ₹208 Cr
- PAT ₹36 Cr
- OPM 19% | ROE 14.5% | ROCE 20%
- Dividend Payout 52%
Verdict: Profit growth is shiny, revenue growth dull.
Valuation – Looking Clear or Foggy?
- P/E Multiple
- CMP ₹107 | EPS ₹4.3 → P/E ≈ 25×
- EV/EBITDA
- FY25 EBITDA ₹39 Cr | EV ≈ ₹978 Cr
- EV/EBITDA ≈ 25×
- P/BV
- BV ₹23.7 | Price/BV ≈ 4.5×
🎯 Fair Value Range: ₹90–₹115. CMP ₹107 sits at fair valuation, not a screaming buy.
What’s Cooking – News, Triggers, Drama
- Q1 FY26 profit jump 41% – better cost control.
- Healthy Dividend Policy – >50% payout ratio continues.
- Global Parent’s Tech – new product innovations in the pipeline.
- Auto Sector Tailwinds – EV glass demand rising (thermal, acoustic properties).
Balance Sheet – Auditor’s Roast
| (₹ Cr) | Mar 23 | Mar 24 | Mar 25 |
|---|---|---|---|
| Total Assets | 207 | 226 | 253 |
| Net Worth | 181 | 199 | 216 |
| Borrowings | 6 | 1 | 0 |
| Liabilities | 20 | 26 | 37 |
Commentary: Almost debt-free. Assets growing steadily, reserves piling up. No skeletons here.
Cash Flow – Sab Number Game Hai
| (₹ Cr) | FY23 | FY24 | FY25 |
|---|---|---|---|
| Ops | 34 | 30 | 28 |
| Investing | -5 | -9 | -8 |
| Financing | -28 | -18 | -19 |
Commentary: Strong operational cash, consistent payouts. It’s a cash cow grazing slowly.
Ratios – Sexy or Stressy?
| Metric | Value |
|---|---|
| ROE | 14.5% |
| ROCE | 20% |
| OPM | 20% |
| P/BV | 4.5 |
| Dividend Yield | 1.86% |
Commentary: Solid ratios, but valuation leaves little room for error.
P&L Breakdown – Show Me the Money
| (₹ Cr) | FY23 | FY24 | FY25 |
|---|---|---|---|
| Revenue | 186 | 201 | 208 |
| EBITDA | 36 | 37 | 39 |
| PAT | 29 | 31 | 36 |
Commentary: EPS climbing, but sales crawl.
Peer Comparison
| Company | Rev (₹ Cr) | PAT (₹ Cr) | ROE (%) | P/E |
|---|---|---|---|---|
| Saint-Gobain Sekurit | 213 | 39 | 14.5 | 25.0 |
| Endurance Tech | 11,561 | 782 | 14.6 | 46.3 |
| Uno Minda | 16,775 | 934 | 17.5 | 65.8 |
| Schaeffler India | 8,547 | 1,058 | 19.2 | 60.1 |
Commentary: SGSIL trades cheap vs peers but also grows slower. Niche but stable.
Miscellaneous – Shareholding, Promoters
- Promoters: 75% (clean, no pledge)
- Public: 25%
- FIIs/DIIs: negligible
- Corporate Governance: backed by global giant, no drama.
EduInvesting Verdict™
Saint-Gobain Sekurit India is like that reliable sedan — won’t win races, but won’t break down either. Strong margins, clean balance sheet, and parent support make it a safe compounder. However, growth is lukewarm, and valuations are fully priced.
Strengths:
- Debt-free, high dividend payout.
- Strong parentage and tech edge.
- High margins for an auto ancillary.
Weaknesses:
- Slow revenue growth.
- Limited market expansion scope in India.
Opportunities:
- EV boom and premium glass demand.
- Aftermarket segment potential.
Threats:
- Auto industry cyclicality.
- Imports/substitutes risk.
Final Take:
For conservative investors, it’s a steady hold. For adrenaline junkies — there’s nothing exciting here. Just a glass company quietly compounding… if you have the patience.
Written by EduInvesting Team | 30 July 2025SEO Tags: Saint-Gobain Sekurit India, Auto Glass Stocks, Q1 FY26 Results, Smallcap Auto Ancillary
