Sundram Fasteners Ltd (SFL) is banking on a recovery in exports and a steady scale-up of its non-automotive business to power growth over the next few years.
Speaking after the company’s FY26 results, Chief Financial Officer Dilip Kumar said in an analyst call that exports, which had faced headwinds for much of the year, have begun to recover in the fourth quarter. “We have entered positive territory in Q4 both in dollar and rupee terms, aided by a weaker rupee and improving demand conditions,” he noted.
Exports had been under pressure due to tariff-related disruptions, geopolitical tensions, and weak demand in key markets such as North America. However, the outlook has improved with a rebound in Class 8 truck demand and easing uncertainty around emission regulations in the US, he told analysts.
Preliminary orders for heavy trucks in North America have nearly doubled year-on-year in the March quarter, signalling a gradual revival. In addition, key global customers in the power generation and commercial vehicle segments are projecting healthy growth, which is expected to support SFL’s export volumes, he said.
The company expects exports to grow 15–20 per cent in FY27, recovering to earlier levels and contributing meaningfully to overall performance. A weaker rupee has also provided a tailwind, enhancing realisations in recent months, he said.
SFL is also accelerating its push into non-automotive segments, which currently account for about 35 per cent of its business, including tractors. The company has set an aspirational target to increase this share to around 50 per cent over the medium term.
S Bharathan, Executive Vice President, Marketing, SFL, said key focus is in non-automotive include aerospace, wind energy, railways and defence. The aerospace vertical is gaining traction with supplies to global and domestic players, while the wind energy segment is undergoing capacity expansion, with monthly revenues expected to rise from ₹30–35 crore to about ₹50 crore, he added.
In railways, the company is gradually building scale through participation in tenders and qualification processes. The current run rate of ₹2–3 crore per month is expected to increase significantly, with annual revenues projected to reach about ₹100 crore over time, he said
Published on May 5, 2026