Sona BLW Precision Forgings Surges 6% After Q2 FY27 Profit Rises 29% and BEV Revenue Accelerates

The Quick Take

• Sona BLW Precision Forgings (Sona Comstar) reported record Q2 FY27 revenue and profit, with net profit rising 29% and battery electric vehicle (BEV) revenue growing strongly.
• The company secured new business worth Rs 3,600 crore in the September quarter, lifting its net order book to Rs 25,100 crore — providing multi-year revenue visibility.
• Shares surged nearly 6% as investors responded to both the earnings beat and the record order book, which covers EV components for global automakers.

Sona BLW Precision Forgings delivered a quarter that reinforced its status as India's premier EV-component play in the listed space. Net profit rose 29% year-on-year in Q2 FY27 to a record, driven by robust growth in the battery electric vehicle segment — where Sona supplies differential gears, traction motor components, and electronic systems to global EV manufacturers. Revenue hit a record high, and the company added Rs 3,600 crore of new business in a single quarter, pushing its order book to Rs 25,100 crore. The order book scale, spread across multiple OEM relationships, provides approximately four-to-five years of forward revenue visibility at current run-rates.

The 6% single-session share price rally reflects markets re-rating Sona Comstar's earnings power as its BEV exposure — now the majority of order intake — commands higher multiples than its legacy internal combustion engine component business. NDTV Profit highlighted the BEV revenue surge as the primary growth driver, confirming that the transition from ICE to EV components is accelerating faster than sell-side models assumed. Sona's global customer base, which includes leading US, European, and Chinese EV manufacturers, means its order book is a proxy for global EV demand health — a positive read-through for Indian auto component exporters broadly.

The forward catalyst to watch is management guidance on BEV revenue share in Q3 and Q4 FY27, as this determines the pace of multiple expansion. Commodity input costs — specifically steel and rare earth magnets for traction motors — are the primary margin risk variable. Watch Sona's quarterly order intake figure: a sustained Rs 3,000+ crore quarterly intake would validate that the Rs 25,100 crore order book is growing, not being consumed. Global EV sales data from the US, EU, and China are the macro leading indicators for Sona's future order flow.

Synthesized from 2 sources.