Revenue And Operating Margin StrengthSubros has delivered recurring double-digit revenue growth with high EBIT (18.7%) and improving gross/EBITDA margins, signaling durable operational efficiency. Strong margins reflect pricing power, scale in manufacturing and cost control that support sustainable profitability across cycles.

Conservative Balance SheetExtremely low leverage and a strong equity base provide financial flexibility to invest in capacity or R&D without material refinancing risk. A solid equity ratio and mid-teens ROE indicate prudent capital management and durability against downturns in auto cycles.

Solid Cash GenerationOperating cash generation exceeds net income and free cash flow grew strongly, showing ability to convert profits into cash. This supports reinvestment in tools, capacity and product development and provides buffer for cyclical OEM demand over the medium term.

Bears Say

OEM Revenue Concentration / CyclicalityA business model tied primarily to OEM fitments makes revenue directly sensitive to vehicle production, model lifecycles and OEM ordering patterns. That structural concentration raises exposure to auto-cycle downturns and customer-specific program risks over months to quarters.

Suboptimal Free Cash Flow ConversionDespite strong operating cash, only ~38% of net income becomes free cash flow, limiting excess cash available for debt reduction, dividends or capex without affecting liquidity. Improving working capital and capex efficiency is needed to strengthen long-term cash returns.

Limited Shareholder IncomeThe company's current dividend payout provides minimal recurring income to investors, which may reduce attractiveness to long-term income-focused shareholders. Over time, low cash returned to holders can constrain shareholder support absent clear reinvestment returns.

Subros Limited News

Subros Board Clears Gujarat Capacity Expansion and DENSO Nominee Director Changes

Subros Limited ( ($IN:SUBROS) ) has issued an announcement. Subros Limited’s board has approved unaudited standalone and consolidated...

20d ago

Subros Releases Investor Presentation on Q3 and Nine-Month FY 2025-26 Results

Subros Limited ( ($IN:SUBROS) ) has provided an update. Subros Limited has submitted an investor presentation to the...

20d ago

Subros Responds to Exchange After Surge in Trading Volumes

Subros Limited ( ($IN:SUBROS) ) has issued an announcement. A sharp rise in trading volumes of Subros Limited...

2M ago

Subros Limited Secures Major Maintenance Contract with Indian Railways

Subros Limited ( ($IN:SUBROS) ) has shared an announcement. Subros Limited has secured a significant order from Indian...

3M ago

SUBROS FAQ

What was Subros Limited’s price range in the past 12 months?

Subros Limited lowest stock price was ₹501.55 and its highest was ₹1212.40 in the past 12 months.

What is Subros Limited’s market cap?

Subros Limited’s market cap is ₹52.36B.

When is Subros Limited’s upcoming earnings report date?

Subros Limited’s upcoming earnings report date is May 21, 2026 which is in 91 days.

How were Subros Limited’s earnings last quarter?

Subros Limited released its earnings results on Jan 30, 2026. The company reported ₹6.6 earnings per share for the quarter, missing the consensus estimate of ₹6.9 by -₹0.3.

Is Subros Limited overvalued?

According to Wall Street analysts Subros Limited’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does Subros Limited pay dividends?

Subros Limited pays a Annually dividend of ₹2.6 which represents an annual dividend yield of 0.3%. See more information on Subros Limited dividends here

What is Subros Limited’s EPS estimate?

Subros Limited’s EPS estimate is 5.5.

How many shares outstanding does Subros Limited have?

Subros Limited has 65,235,750 shares outstanding.

What happened to Subros Limited’s price movement after its last earnings report?

Subros Limited reported an EPS of ₹6.6 in its last earnings report, missing expectations of ₹6.9. Following the earnings report the stock price went down -0.565%.

Which hedge fund is a major shareholder of Subros Limited?

Currently, no hedge funds are holding shares in IN:SUBROS

What is the TipRanks Smart Score and how is it calculated?

Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

Company Description

Subros Limited

Subros Limited engages in the manufacture and sale of thermal products for automotive applications in India. The company offers compressors; automotive condensers; heating, ventilating, and air conditioning (AC) systems, such as heaters, evaporators, and blower units; tubes and hoses; bus ACs; driver cabin ACs for railway engines; commercial and residential ACs; transport refrigeration systems; truck cabin AC systems; and off-roader AC systems. It also exports its products. The company was incorporated in 1985 and is headquartered in New Delhi, India.