![minda_industries_ltd_cover](https://img.etimg.com/thumb/msid-110676428,width-300,height-225,imgsize-99102,resizemode-75/minda_industries_ltd_cover.jpg)
The 18% annual growth in its revenue over the past five years was nearly two-and-a-half times better than the industry average. The company reported a strong business traction in FY24 with 25.2% growth in revenue at ₹14,064.7 crore while expanding its operating margin (Ebitda margin) by 20 basis points to 11.3%. The stock has gained 37% over the past three months, which includes a 16% gain in the past eight trading sessions after its March quarter result declaration.
![Uno Minda All Lit Up with More Content per Car and Focus on Electric Vehicles Uno Minda All Lit Up with More Content per Car and Focus on Electric Vehicles](https://img.etimg.com/photo/msid-42031747/et-logo.jpg)
The impact of premiumisation across vehicle segments is evident from the significant increase in the company's kit value, which reflects the value of parts supplied for a vehicle. In the premium bike segment, the kit value rose to ₹15,798 in FY24 compared with ₹9,231 in FY20. Similarly, in the sports utility vehicle segment (SUV), one of the fastest-growing passenger vehicles (PV) segments, the kit value nearly doubled to ₹2,06,466.
The company's kit value has grown at an annual rate of 14% over the past four years. Higher kit value bodes well for revenue growth.
The company is keenly focused on encashing the EV opportunity. Recently, it secured orders to supply on-board chargers, battery management systems, motor controllers, and DC-DC converters. It bagged ₹3,755 crore worth of orders from EV makers in FY24, which includes ₹2,510 crore from two-wheelers and the remaining from passenger cars.
Given the spate of new orders, the kit value in the electric two-wheeler segment is projected to increase to ₹35,000 in FY25 from ₹28,000 in the previous year. Revenue growth will be sustained amid rising content per vehicle and capacity expansion. It plans to invest ₹1,300 crore-₹1,400 crore in the current fiscal and approximately ₹2,500 crore over the next few years.
At Monday's closing of ₹877.5, the stock was traded at 45.2 times one-year forward earnings against the long-term average of 27 times. It is likely to sustain the rich valuation given the growth prospects.
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