Bosch

Bosch Limited reported a revenue from operations of ₹4,788.6 crores (47,886 million INR) in April-June 2025, marking a 10.9% year-on-year growth. EBITDA for the quarter stood at ₹639.3 crores (6,393 million INR), a 23% increase year-on-year. The profit after tax margin significantly expanded to 23.3% of revenue, up from 10.8% in the prior year, partly boosted by a gain from the divestment of the Building Technologies business. However, on a sequential basis, revenue declined by 2.5% and EBITDA marginally decreased by 1.2%.

The mobility business demonstrated robust quarter-on-quarter growth of 14.3% in April-June 2025, primarily fueled by a 13.7% increase in the power solutions business due to higher demand for diesel components in off-highway and passenger car segments. The two-wheeler business saw significant growth of 39.2% QoQ, driven by the ramp-up in sales of exhaust gas sensors following the implementation of OBD 2 norms. The mobility aftermarket business also grew by 5.2% QoQ, while the consumer goods business grew by 9.3% YoY.

The Building Technologies business experienced a substantial decline of 65.3% year-on-year and 64.7% quarter-on-quarter, primarily due to the sale of the Video Solutions, Access and Intrusion and Communication systems business. Management clarified this divestment was a strategic decision based on commercial prudence, as the segment required significant additional investment that was not aligned with the company's focus to be a top-three player in its core segments. The profit from this sale contributed to the improved PAT margin this quarter.

Bosch Limited is actively engaging with Indian OEMs on electrification projects, leveraging its global expertise as a dominant EV technology supplier. The company is in discussions with several OEMs for new electrification projects, anticipating positive developments in the coming months^⏳. While ADAS solutions are currently supplied globally by a sister company, management sees significant opportunities for ADAS in India going forward^⏳, despite the portfolio not belonging under Bosch Limited currently.

The company is committed to continuously increasing its localization content, particularly for two-wheeler components post OBD 2 norms, with production from its Bidadi plant. Bosch India also aims to continuously increase its exports, with specific examples including NOx sensors, spark plugs, and injectors delivered to Europe, and Zexel Pumps produced in Jaipur and exported to Japan. This strategy aims to enhance cost competitiveness and diversify revenue streams.

Management acknowledged a challenging global landscape marked by geopolitical tensions, US tariff discussions, and persistent supply chain issues, describing it as 'Brittle, Anxious, Non-linear and Incomprehensible (BANI)'. Domestically, while India shows resilience, passenger vehicle growth is expected to be moderate due to high inventory levels and potential EV component shortages from Chinese export restrictions. The tractor segment faces uncertainty with TRAM 5 emission norms currently on hold, and the auto market in Europe continues to experience muted growth.