Introduction
NDR Auto Components Limited (NACL), a part of the Rohit Relan Group, operates in the auto components industry and specializes in the production and manufacturing of seat frames and seat trims for four-wheeler and two-wheeler vehicles, along with other related car seat accessories. The company commenced operations in March 2019 following a demerger of the automobile seating business of Sharda Motor Industries Limited (SMIL). This demerger was approved by the Hon’ble National Company Law Tribunal in February 2020 and became effective in March 2020. Pursuant to the demerger, the investments made by SMIL in Bharat Seats Limited, Toyota Boshoku Relan India Private Limited, and Toyo Sharda India Private Limited were also transferred to NDR Auto Components Limited, making them associates or joint ventures of the company.
The company’s manufacturing facilities are located in Gurugram, Ramanagara District near Bengaluru, and Surendranagar, Gujarat. It is a dedicated supplier to Bharat Seats Limited and indirectly supports the production of passenger and utility vehicles by Maruti Suzuki India Limited. In addition to its core seating components, the company has expanded into the production of stamping and welded Body in White (BIW) parts for a Tier-1 automotive customer. A new manufacturing plant is also being established in Harohalli, Bengaluru, for supply to Toyota Boshoku Automotive India Private Limited.
NDR Auto Components Limited utilizes advanced manufacturing technologies, including robotic welding cells, CNC tube bending machines, power presses, CNC fabric and leather cutting machines, and stitching machines to meet customer quality requirements. The company has made significant progress in workforce development through intensive training programs conducted at dojo centers, ensuring employees are well-equipped to meet global quality standards.
The company reported a strong financial performance with revenues increasing by 25%, driven by healthy demand across OEMs. The commencement of sales of seating solutions to KIA in December 2024 and expected sunshade sales in the current quarter reflect expanding operations. Additionally, NDR Auto Components Limited has entered a collaboration with Toyota Tsusho India and Toyotsu Vehitecs Co. for manufacturing seat insert fabric, backed by technical assistance from Toyota Tsusho India. An investment of Rs. 21.89 crore is planned over the next two years, with commercial production expected to begin in July 2026 and targeted revenue of Rs. 100 crore by FY 2028-29. The estimated payback period for this investment is 2.4 years.
The company’s strategy focuses on expanding its product portfolio through innovative and differentiated offerings and strengthening partnerships with OEMs. Operational efficiencies and a growing share of premium content have contributed to improvements in EBITDA margins and ROCEs, with the highest-ever EBITDA margin of 11.13% recorded in Q3. NDR Auto Components Limited continues to build on its legacy and domain expertise under a leadership team with over three decades of experience. Its strong collaborations with globally reputed partners provide technological expertise and process excellence that offer a competitive advantage in the automotive sector. The Board of Directors comprises seasoned professionals and technocrats from diverse fields who contribute to the company’s continued growth and market leadership.
Additionally company also hold 28.66% in Bharat Seats.
Joint Venture
NDR Auto Components Limited has established strategic joint ventures to strengthen its position in the automotive components industry and to broaden its manufacturing capabilities through international collaborations. One of the earliest such ventures dates back to 1988, when Mr. Rohit Relan and Associates entered into a joint venture agreement with Maruti Suzuki India Limited and Suzuki Motor Corporation, Japan, to form Bharat Seats Limited (BSL). This venture was among the first of its kind involving Maruti Udyog Limited and Suzuki Motor Corporation. Bharat Seats Limited currently manufactures seating systems for passenger vehicles and two-wheelers, seat frames for two-wheelers, floor carpets for passenger vehicles, and body sealing products. BSL operates four manufacturing plants in the National Capital Region and one in Gujarat. NDR Auto Components Limited holds a 28.66% equity stake in BSL, which is listed on the Bombay Stock Exchange.
In 2013, NDR Auto Components Limited entered into a joint venture with Toyota Boshoku Asia Company Limited (TBAS) to form Toyota Boshoku Relan India Private Limited (TBRI). This joint venture was established to secure business and supply components from the Toyota Boshoku product range to customers in the Indian market. NDR Auto Components Limited holds a 50% equity stake in TBRI.
Further expanding its technical and manufacturing capabilities, NDR Auto Components Limited entered into another joint venture in 2014 with Toyo Seat, Japan, resulting in the formation of Toyo Sharda India Private Limited (TSIL). This venture was created to manufacture seat devices and high-tensile seat frames for passenger vehicles in India. TSIL has established a manufacturing facility in the National Capital Region and supplies its products to Bharat Seats Limited. NDR Auto Components Limited also holds a 50% equity stake in TSIL.
These joint ventures reflect the company’s focus on leveraging global partnerships to enhance product quality, expand manufacturing capacities, and meet the evolving demands of the Indian automotive market.
Business products
NDR Auto Components Limited offers a comprehensive product portfolio catering to both two-wheeler and four-wheeler segments. The company’s core products include seat frames, seat trims, sunshades, and Body in White (BIW) parts. Under the metals category, the company manufactures seat frames for four-wheelers and two-wheelers, along with a growing range of BIW components. In the trims segment, it produces high-quality seat trims for both vehicle types, tailored to meet stringent OEM specifications.
These products are used in the end-to-end assembly of automobile seats, ensuring full integration from frame to finish. The company also supports the increasing demand for BIW components, contributing to vehicle structural integrity. All products undergo 34 critical and safety tests before being delivered to OEMs, ensuring durability, comfort, and compliance with safety standards.
Expansion
Regarding product expansion, management confirmed that supplies to Kia began in December and are expected to stabilize by January. For the next financial year, new additions include the start of the sunshade business, a new Maruti vehicle program, and fresh Body in White (BIW) orders. These developments are expected to contribute an additional Rs. 250–300 crore to annual revenue.
As per the management, the company plans to invest Rs. 21.89 crore over the next two years, with commercial production expected to begin by July 2026. The project is estimated to have a payback period of 2.4 years, and revenue is projected to reach Rs. 100 crore by FY 2028.
Financials
For the year ended March 24
- The company’s revenue from operations and other income for the financial year under review stood at Rs. 606.72 crore, compared to Rs. 399.97 crore in the previous year.
- The standalone Profit After Tax (PAT) was Rs. 32.98 crore, up from Rs. 21.36 crore in the previous year.
- Company has OPM of 9%
- Company has negligible debt
- Company has ROCE of 19% as of march 24.
For the Q3 FY25
- In Q3 FY’25, the company reported a total income of Rs. 176.22 crore, reflecting a 25% growth compared to the same period last year.
- EBITDA stood at Rs. 19.61 crore, marking a 43% increase.
- EBITDA margins reached 11.13%.
- Profit After Tax (PAT) rose by 57% to Rs. 13.39 crore during the quarter.
For 9MFY25
- For the nine-month period of FY’25, the company reported a total income of Rs. 523.87 crore, reflecting a 22% increase over the same period in the previous year.
- EBITDA rose by 31% to Rs. 55.79 crore
- EBITDA margins stood at 10.65%.
- Profit After Tax (PAT) stood at Rs. 36.87 crore, marking a 36% growth compared to the corresponding nine-month period of FY’24.
Order Book
As per the management, the current order book stands at approximately Rs. 400 to 450 crore, with an additional Rs. 100 crore expected from the Toyota Tsusho collaboration, bringing the total to around Rs. 500 to 550 crore. This figure includes the Kia order, though sales from Kia in the December quarter have only contributed Rs. 1 to 2 crore so far and are expected to scale up going forward.
Management’s comments
As per the management of NDR Auto Components Limited, the company has entered into a strategic collaboration with Toyota Tsusho India and Toyotsu Vehitecs Company for the manufacture of seat insert fabrics. This partnership, backed by technical assistance from Toyota Tsusho India, aligns with the company’s vision of staying at the forefront of technological advancements and innovation in the auto component industry.
According to the management, with a growing demand among Indian OEMs for localized, high-quality, cost-effective solutions, the company sees strong potential in the seat fabric segment. The upcoming regulatory mandate requiring six airbags in all vehicles — including two integrated within the seats — is expected to further drive demand for seat inserts. These inserts play a critical role by reinforcing the PU pads, ensuring proper and distortion-free deployment of airbags during collisions.
Management highlighted that Toyotsu Vehitecs Company holds a global patent for the manufacturing of seat insert fabrics, currently imported solely by Toyota Tsusho in India. With increasing regulatory focus on safety and the need for airbag compliance, Japanese OEMs are keen on establishing local supply chains to ensure uninterrupted supply and cost efficiency.
As per the management, the seat insert fabric will be a bought-out component. NDR Auto Components, along with other Maruti and Toyota suppliers, will procure this product from the joint entity as part of their seating solutions to OEMs.
According to the management, the company remains confident in its margin performance, aiming to achieve an 11% EBITDA margin in FY’26 and targeting 12% in FY’27.
On the participation in joint ventures and associates, management clarified that while each entity has its own dedicated management, NDR Auto Components actively engages in the operations and expansion strategies of its associates, beyond just holding equity stakes.
As per the management, the company has secured 50% share on one upcoming electric vehicle (EV) model and 100% on a second EV model, which is expected to launch in the next one to two years.
Regarding the upcoming Toyota plant in Aurangabad, management stated that NDR currently supplies seating components for approximately 250,000 out of 300,000–350,000 Toyota Boshoku vehicles, translating to a market share of around 60–70%. The company aims to replicate a similar share when the Aurangabad plant becomes operational, likely around 2028. However, the order for that project is yet to be finalized and is expected towards the end of the current year.
Sectorial Outlook
According to the management, seat premiumization is still in its early stages. Currently, the company’s value addition per seat is around Rs. 15,000, whereas the global average is approximately Rs. 50,000. Over the next two to three years, features such as artificial leather, power units, ventilation systems, and seatbelt reminder systems are expected to become standard additions. Management believes there is significant potential to increase content and value in the seat business as these advanced features gain traction.
Conclusion
NDR Auto, a six-year-old company engaged in the manufacturing of seat frames, seat trims, sunshades, and BIW parts for two- and four-wheelers, has rapidly established itself as a key player in the Indian auto components industry. With strong OEM partnerships, advanced manufacturing capabilities, and growing involvement in premiumization and EV programs, the company is well-positioned for future growth. Strategic joint ventures and the recent collaboration with Toyota Tsusho for seat insert fabrics further enhance its technological edge. A robust order book, consistent margin improvement, and expansion into high-value products reflect management’s confidence and clear vision.