Uno Minda races past auto slowdown with strong Q1 gains

Uno Minda Ltd has continued its winning streak in a slowing auto market, with its shares touching a fresh 52-week high of ₹1,301 on Thursday. The stock has already climbed 23% this year, leaving Nifty Auto’s 10% gain far behind as investors bet on the company’s ability to consistently outpace the industry.

The automotive systems and components maker has proven resilient even as vehicle sales showed only modest growth. In the April–June quarter (Q1FY26), Uno Minda reported revenue of ₹4,420 crore, up 16% year-on-year, after adjusting for a one-off incentive received from states hosting its manufacturing plants.

This performance stands out when compared with its key customers. Two-wheeler sales, including exports, grew 9% in the same period, while passenger car volumes remained largely flat. Yet Uno Minda, which earns 46% of its revenue from two-wheeler makers and 47% from passenger car manufacturers, managed to grow at nearly twice the pace of the sector.

Another strength lies in the company’s revenue mix. Almost 90% of its sales are generated in India, insulating it from global trade tensions such as US tariffs that have weighed on other auto players. This domestic focus, coupled with its diverse product portfolio, has helped Uno Minda defy the broader industry slowdown since FY23, delivering revenue growth that consistently outstrips overall vehicle sales volumes.

For investors, the company’s latest quarter is not just a one-off bright spot but part of a sustained trend. By positioning itself as a critical partner to leading automakers and leveraging India’s growing demand for two-wheelers and passenger cars, Uno Minda continues to demonstrate that even in a challenging market, it can keep shifting gears at the right time.