Sundaram Brake Linings Reports FY2025-26 Results; Net Profit Falls Amidst Export Decline

Sundaram Brake Linings Reports FY2025-26 Results; Net Profit Falls Amidst Export Decline

Sundaram Brake Linings Reports FY2025-26 Results; Net Profit Falls Amidst Export Decline​

Sundaram Brake Linings Limited (SBL) has reported its financial results for the fiscal year ended March 31, 2026. The company announced a dividend recommendation of ₹0.65 per share, following a period marked by challenges in international markets and significant adjustments within the domestic sector.

The company’s net sales for FY 2025-26 stood at ₹34,228 lakhs, a figure lower than the previous fiscal year's performance of ₹34,916.23 lakhs. The financial results show decreased profitability, with Revenue from Operations recording ₹34,465.22 lakhs compared to ₹35,221.30 lakhs in FY 2024-25.

The company’s Profit before Tax declined, reporting ₹336.01 lakhs for the fiscal year against ₹614.10 lakhs in the preceding year. Following these results, SBL recommended a final dividend of ₹0.65 (Sixty-Five Paisa only) per fully paid-up equity share for FY 2025-26, subject to shareholder approval at the upcoming Annual General Meeting (AGM).

Operational and Financial Highlights​

The performance breakdown reveals mixed results across the company's domestic and export segments. While the domestic turnover saw a 9% increase, the export segment recorded a decline of 17%. The company continues to focus on growth in the Indian aftermarket and is expanding its range in products, including novel reusable and zero-emission brake pads.

The financial health profile received a rating update from ICRA Limited; while existing credit ratings were reaffirmed at BBB+, the outlook for working capital facilities was revised from 'Stable' to 'Negative,' reflecting market risk assessment.

Key metrics related to the company’s standing include:

IndicatorFY 2025-26FY 2024-25Change
Net Profit Margin (%)0.96%1.73%Down 49.28%
Debt Equity Ratio (A/B)0.450.56Improved by 19.98%
Operating Profit Margin (%)1.88%2.86%Declined due to profit decrease

Management and Governance Updates​

The company underwent several changes in its senior management team during the reviewed financial year, emphasizing a period of transition. Mr. V. Srinivasan resigned from his position as Chief Financial Officer (KMP) effective February 9, 2026. Consequently, Mr. Hari S was appointed as the new CFO effective March 9, 2026.

Furthermore, there were changes in key personnel regarding secretarial and compliance functions. Mr. J. R. Vishnu Varthan resigned from his roles as Company Secretary and Compliance Officer (KMP) on March 18, 2026. Mr. Pradeep Kumar Nath was appointed as the new Company Secretary and Compliance Officer effective May 25, 2026.

The Board’s composition also saw movement, including the retirement of Ms. Sandhya Subramanyam w.e.f. August 5, 2025, and the resignation of Ms. Shobhana Ramachandran on May 25, 2026. In line with corporate restructuring, Ms. Shrikirti Mahesh was appointed as a Director via an Ordinary Resolution at the AGM.

Financial Position and Risk Management​

The company’s financial statements reflect comprehensive operational details, including extensive notes on accounting policies and significant risks. The Board of Directors reviewed its own performance, assessing factors such as risk management, corporate ethics, and committee performance.

Management acknowledged exposure to market, credit, and liquidity risks. The firm disclosed that it does not have any major commitments in the form of unapproved contracts and remains committed to continuous research and development (R&D) into next-generation solutions, including zero emission brake technology.

The company’s adherence to corporate governance requirements was affirmed by appointed directors, with independent members stating compliance with the relevant regulations set forth by SEBI.

SUNDRMBRAK Stock Price Movement​

Shares of Sundaram Brake Linings Limited slid down on Wednesday, settling at ₹813.4 after a 1.45% decline. The stock recorded a traded volume of 931 shares during the session.
 

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