GKN Driveline India Limited Unlisted Shares
Buy - ₹N/A
Sell - ₹1690.00
About GKN Driveline India Limited Unlisted Shares
1. About GKN Driveline India Unlisted Shares
GKN Driveline India Limited, a subsidiary of the globally renowned GKN Plc, is a key player in the automotive driveline technology sector. Established in 1985, the company has grown into a leading manufacturer of driveshafts and driveline components, catering to major original equipment manufacturers (OEMs) in the automotive industry. With five advanced manufacturing plants across India, GKN Driveline India leverages cutting-edge technologies from its parent company to maintain its competitive edge.
Investing in GKN Driveline India Unlisted Shares offers a unique opportunity to be part of a financially stable, debt-free, and highly profitable company in the rapidly evolving automobile sector.
2. Business Divisions of GKN Driveline India
GKN Driveline India operates through several key divisions, ensuring a strong presence in the automotive technology market:
- Driveline Systems – Manufacturing driveshafts, CV joints, and transmission components for global automobile manufacturers.
- Propeller Shafts – Producing high-performance propeller shafts for various vehicle models.
- Axle & Power Transfer Units – Specializing in torque management and power transfer systems for efficient vehicle performance.
- Advanced Manufacturing – Using state-of-the-art production technologies across five plants located in Haryana, Maharashtra, Tamil Nadu, and Gujarat.
- OEM Supplier – Servicing top global car brands such as Toyota, Ford, Bajaj, Fiat, Honda, and Suzuki.
3. Financial Highlights of GKN Driveline India Unlisted Shares
- Consistent Revenue Growth: GKN Driveline India has demonstrated strong revenue growth, increasing from ₹664 crore in 2021 to ₹1,052 crore in 2024. This represents a steady CAGR, showcasing the company’s ability to expand its market presence.
- Strong EBITDA Margins: The company’s EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) has grown from ₹95 crore in 2021 to ₹151 crore in 2024. Despite rising costs, GKN Driveline India has maintained stable operating profit margins (OPM) above 14%.
- Profit After Tax (PAT) increased from ₹57 crore in 2021 to ₹86 crore in 2024, reflecting strong financial health.
- Earnings Per Share (EPS) surged from ₹44.88 in 2021 to ₹67.72 in 2024, offering solid returns for investors.
- GKN Driveline India is a debt-free company, enhancing its financial stability.
- Total assets increased from ₹642 crore in 2021 to ₹661 crore in 2024, indicating growth in fixed assets and working capital.
- High cash conversion rate, with cash flow from operations matching 100% of EBITDA.
- Return on Equity (ROE) at 22% and Return on Capital Employed (ROCE) at 53%, highlighting efficient capital utilization.
Disclaimer*This research has been conducted on available data. Investors are advised to perform their own research and due diligence before making any investment decisions. We are not responsible for any financial losses or inaccuracies in the data provided
Pros
- Strong Parent Company Support: Global expertise, R&D, and technology from GKN Plc enhance operations.
- Established Market Presence: Nearly four decades of reputation in India’s automotive sector.
- Diverse Product Portfolio: Reduces reliance on a single product, spreading risk.
Cons
- Cyclic Automotive Industry: Dependent on the volatile automobile sector with demand fluctuations.
- Raw Material Cost Volatility: Rising material costs can hurt profit margins and operational expenses.
- Global Competition: Faces intense competition from both domestic and international manufacturers.
