'FIEM Industries is one of the leading manufacturers of automotive lighting, signalling equipments with a strong presence in the domestic market and a relatively small export footprint across regions such as Japan, Europe, Asia, and the United States. It also manufacturers and supplies rearview mirrors, sheet metal and plastic moulded parts canisters, bank angle sensors, moulds, tools, and zig fixtures.
The revenue profile remains heavily concentrated in the automotive segment, which accounted for about 99.8% of total revenue during 9M FY26, while the IPIS and Led luminaries segment contributed around 0.2%. The company’s business is largely driven by the two-wheeler industry, reflecting its strong relationships with leading OEMs. During 9M FY26, two-wheeler customers accounted for 97.32% of total revenue, with the remaining 2.68% coming from four-wheeler clients. In Q3 FY26, two-wheelers contributed 97.02% to revenue and four-wheelers accounted for 2.98%.
From a product mix perspective, automotive Led lighting constitutes the largest share of revenue at 47.74% in 9M FY26, followed by conventional automotive lighting at 27.49%, rear-view mirrors at 10.8%, plastic moulded parts at 9.22%, and other products at 4.75%.
It has built a strong and diversified client base of more than 50 OEMs and has been supplying to several leading automotive manufacturers since their inception. During 9M FY26, domestic OEMs contributed 93.12% of total revenue, followed by the domestic replacement market at 5.02% and exports at 1.86%. During 9M FY26, TVS Motor contributed 32.48% to total revenue, followed by Honda two-wheelers at 24.86%, India Yamaha at 14.32%, Suzuki Motorcycle at 9.22%, and Eicher Royal Enfield at 5.77%, while the replacement market accounted for 5.02% and other customers contributed 8.33%.
The company is well positioned to benefit from the increasing adoption of advanced ligting and electronics including LED lighting for design appeal as well as energy efficiency in the automotive industry. In this context, its continued focus on innovation and advanced lighting technologies are to offer better realisation.
It is gradually strengthening its presence in the passenger vehicle segment while continuing to deepen relationships with existing OEM customers. While it continue to supply number plate lamps, rear reflectors, and fog lamps across various models to Mahindra & Mahindra it also in advanced stage of RFQ with Force Motors.
To support growth, it continue to invest in capacity with capex in Q3 FY26 and 9m FY26 stand at Rs 41.02 crore and Rs 78.83 crore respectively. Planned capex for Q4 FY26 is Rs 20 crore and Rs 200 crore over next 2 years.
In Q3 FY26, consolidated net sales increased 16% to Rs 690.07 crore. Operating profit margin has jumped from 13.1% to 14.2%, leading to 26% rise in operating profit to Rs 97.73 crore. Net profit attributable to owners increased 35% to Rs 63.37 crore.
During 9M FY26, consolidated net sales increased 16% to Rs 2,064.36 crore. OPM jumped from 13.3% to 13.9%, leading to 21% rise in operating profit to Rs 286.2 crore.Net profit attributable to owners increased 26% to Rs 184.56 crore.
The company is well positioned to benefit from strong growth in the domestic two-wheeler industry, supported by improving rural demand, stable macroeconomic conditions and rising mobility needs as well as recent GST rate cuts. As two-wheeler manufacturers increase production and launch new models, demand for automotive lighting and related components is expected to grow. Industry trends remain supportive, with the two-wheeler industry maintaining its growth momentum. As per SIAM, the segment recorded a strong growth of 26.2% in January 2026, indicating continued demand recovery. The company has guided a revenue growth of 15-20% for FY27 and EBITDA margin of above 14% over the medium term.
We expect the company to register a consolidated EPS of Rs 96.2 for FY26, and Rs 115.6 for FY27. The scrip closed at Rs 2034.90 at BSE on March 9, 2026.
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