Spr Auto Technologies is transforming from a piston-led manufacturer into a diversified auto component player, expanding into electric vehicle parts and vehicle interiors, with recent acquisitions signalling a strategic shift amid profit margin challenges.
SPR Auto Technologies is trying to do in India’s auto-supply chain what Samvardhana Motherson did over decades: move from a single, engine-linked product into a wider set of vehicle systems. According to the Financial Express article, the company, formerly known as Shriram Pistons & Rings, has been pushing beyond pistons and piston rings into precision plastics, electric-vehicle components, moulds and tooling, interiors and lighting. The January 2026 acquisition of Grupo Antolin’s Indian operations has made that shift much more visible, with powertrain-agnostic products now contributing more than 35% of consolidated revenue.
That evolution is important because it changes the character of the business. SPR still relies on its traditional engine-component franchise, but it now has a growing spread across aftermarket sales, exports, high-precision plastics, motors and controllers for electric vehicles, and interiors. The company’s standalone revenue in FY26 was Rs 3,526.5 crore, with original equipment makers accounting for 53%, exports 16%, the aftermarket 26% and non-auto business 5%. Subsidiaries added Rs 932.3 crore, led by Takahata, TGPEL and the Antolin businesses, which have become meaningful enough to influence the group’s overall performance.
The numbers show both momentum and strain. FY26 consolidated revenue rose 25.6% to Rs 4,458.7 crore, while EBITDA increased 21% to Rs 876.1 crore. Even so, the EBITDA margin slipped to 19.6% from 20.4% a year earlier. In the March 2026 quarter, the trend was similar: revenue climbed 53.1% year on year to Rs 1,474.4 crore, but EBITDA grew at a slower pace, and margin fell to 19.2% from 22.5%. The company said supply-chain disruption and higher commodity costs hurt quarterly earnings, while the newly acquired Antolin businesses, with their lower starting margins, also weighed on the group mix.
That tension is the central issue for investors. The Antolin purchase has broadened SPR’s reach into headliners, sun visors, door panels, centre consoles, pillar trims and ambient lighting, and management says the acquired businesses have already improved from earlier 7% to 8% margins into the low- and mid-teens. But expansion has also come at a cost. SPR raised Rs 1,000 crore through non-convertible debentures to help fund the deal, lifting consolidated debt-to-equity to 0.62 times in FY26 from 0.19 times in FY25. Finance costs jumped in the March quarter, although the company expects that burden to ease as borrowings are repaid.
The company has also turned to equity markets for more flexibility. In August, SPR completed a Rs 1,000 crore qualified institutional placement, allotting 23,36,448 shares at Rs 4,280 each. That should help support investment as the group continues to build capacity in precision plastics and other newer areas. FY26 capital expenditure was close to Rs 200 crore, and management has indicated that spending at a similar scale may continue for the next two to three years, with projects under way at Takahata in Neemrana and TGPEL in Noida, alongside broader expansion across the group.
For now, the most interesting part of the story may be the company’s attempt to capture more of the vehicle interior and EV value chain without damaging returns. SPR EMF Innovations is developing electric motors and controllers, with a research base in Singapore and manufacturing in India, while Takahata and TGPEL are already contributing more revenue and expanding capacity. But the test will be whether these newer businesses can scale profitably. SPR still posted a return on equity of 20.36% in FY26 and return on capital employed of 16.20%, respectable figures for a company in transition. At a valuation of about 36 times earnings, the market appears to be pricing in both growth and successful execution. Whether SPR becomes a broader auto-component champion, or merely a larger one, will depend on margins, cash flow and how quickly the new pieces of the business start earning their keep.
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