Earnings call transcript: Dhoot Transmission posts 50% revenue growth in Q1 2027

Dhoot Transmission reported a remarkable first-quarter performance in FY 2027, with revenue soaring nearly 50% year-over-year. The company's growth was fueled by strong demand in wiring harnesses, robust non-wiring product sales, and a surge in electric-vehicle (EV) sales. EBITDA margin improved to 15% from 13.9% in Q4 FY 2026, while the stock saw minimal change, slipping only 0.22% to $1,580 from its previous close of $1,583.5.

Revenue grew by nearly 50% year over year, with core and newer businesses driving broad-based gains. EV revenue climbed by 79% and accounted for 27% of total revenue, up from 24% in the same period last year. Wiring harness revenue increased by 44.6% to INR 1,090 crores, while non-wiring harness revenue rose 67.7% to INR 358 crores. The EV mix grew to 27% of total revenue, up from 24%.

Management expects full-year revenue growth of 25% to 30% and an EBITDA margin of 15% to 16%. The company anticipates continued growth driven by both traditional wiring harness business and expanding non-wiring harness portfolio. Multilink added Hero MotoCorp to its customer base, contributing about 3% to overall revenue growth in the quarter.

Dhoot Transmission's shares were last quoted at $1,580, down 0.22% from the previous close. The company's financial strength is notable, with more cash than debt and liquid assets exceeding short-term obligations. However, the stock remains close to the top of its 52-week range, suggesting that investors have largely priced in the recent growth story.