Motherson Sumi Wiring - Preferred Pick To Play Upon Premiumisation, Electrification In PV Space: ICICI Direct

ICICI Direct Report

Samvardhana Motherson International Ltd.'s analyst meet key takeaways:

The group reiterated its commitment towards $36 billion revenue target by FY25 with 40% return on capital employed and 40% dividend payout. It also aims to realise 75% of revenues from the auto space and rest 25% from non-auto domain.

The aim is also to have no component, country and customer more than 10% of sales. It counts domestic wiring business (Motherson Sumi Wiring India Ltd.) as an integral part of this vision.

Key takeaway for domestic wiring harness business include:

1. 1.5 times wiring harness content in an sports utility vehicle versus a hatchback car,

2. 1.2 times wiring harness content in a top variant of passenger vehicle model versus the base variant,

3. 1.1 times wiring harness content in a top variant two-wheeler versus base variant,

4. 2.4 times wiring harness content in an electric passenger vehicle versus internal combustion engine driven PV and

5. eight times wiring harness content in an electric two-wheelers versus ICE powered two-wheeler.S

Click on the attachment to read the full report:

DISCLAIMER

This report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.