Shares of JBM Auto Ltd. experienced a significant surge in early trading on Friday, climbing nearly 10%. The sharp rise followed news reports suggesting that global investment firm Bain Capital is considering a substantial investment in JBM Auto's electric vehicle (EV) business.
Bain Capital Interest Fuels Stock Rally
The stock peaked at Rs 685 on the BSE, marking a 9.89% increase, driven primarily by an unconfirmed report detailing Bain Capital's potential interest. According to the report, Bain Capital is looking to invest approximately $300 million into JBM Auto's burgeoning EV segment. Following the circulation of this news, both the BSE and NSE sought clarification from JBM Auto, though the company has not yet issued an official response to the exchanges.
Strong Q1 FY27 Financial Performance
Separately, JBM Auto released its financial results for the first quarter of fiscal year 2027, showcasing robust growth. The company reported a consolidated net profit of Rs 42.43 crore, a 15.96% year-on-year (YoY) increase compared to Rs 36.59 crore in the same period last year.
Overall revenue, including other operating income, also saw a healthy rise, reaching Rs 1,442.45 crore, up 15.04% from Rs 1,253.88 crore in Q1 FY26. Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) grew by 8.48% to Rs 194.88 crore from Rs 179.65 crore. The company's earnings per share (EPS) for Q1 FY27 stood at Rs 1.78, an increase from Rs 1.56 in the corresponding quarter of the previous fiscal year.
EV and Auto Components Businesses Drive Growth
Both of JBM Auto's core business segments contributed significantly to the positive quarterly performance. The EV business recorded a 16.67% YoY increase in revenue, reaching Rs 460.04 crore in Q1 FY27, up from Rs 394.31 crore in Q1 FY26.
Similarly, the auto components business also demonstrated strong growth, with revenue climbing 15.53% to Rs 894.12 crore in the June quarter, compared to Rs 773.91 crore in the same period last year. JBM Auto, a part of the larger JBM Group, operates across auto systems, electric vehicles, and bus manufacturing, positioning itself as a key player in India's evolving automotive landscape.