Q2 FY27 growth stays muted as EBITDA margin improves to 17.8%
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Revenue grew 6.5% year on year and 1% sequentially. Off-highway and commercial rose 27% and 17.6%, while passenger cars fell 8%; two clients caused a 13% revenue impact. Products rose 25% year on year and EBITDA margin improved 60 basis points to 17.8%. Management expects H2 to beat H1, Q4 growth and margins to keep rising. The pipeline is healthy, with 89% of wins from target accounts.
Improving margins, product growth and a healthy pipeline support the outlook, but customer cuts and a weak European recovery may keep near-term earnings uneven.