Belrise Industries Rated “Buy” by LKP Research; Target Price ₹192
Mumbai, September 25, 2025 — LKP Research has initiated coverage on Belrise Industries Limited, assigning a “Buy” rating and setting a target price of ₹192. The brokerage expects the company to benefit from strategic tie-ups with original equipment manufacturers (OEMs) and a series of new products aimed at improving its value proposition in the two-wheeler and four-wheeler segments.
Belrise, headquartered in Pune, remains primarily focused on the two-wheeler auto ancillary segment but has been expanding into four-wheelers, which accounted for 9% of revenue in FY25. LKP projects this share could grow to 12–13% by FY28, driven by acquisitions and partnerships with leading Japanese OEMs. This expansion is expected to enhance the company’s craftsmanship-per-value (CPV) metrics and support a potential stock re-rating.
Financial projections in the LKP report suggest a ~34% CAGR in Profit After Tax (PAT) between FY25 and FY28, underpinned by a 13% EBITDA CAGR and the positive impact of de-leveraging. The brokerage also highlights that simplification of the corporate structure and potential scaling down of low-margin trading operations could unlock additional shareholder value.
Key Highlights:
- Two-Wheeler Business: Core revenue driver, benefiting from premiumization initiatives.
- Four-Wheeler Segment: Expected to grow rapidly with strategic OEM partnerships.
- Financial Outlook: PAT CAGR ~34% and EBITDA CAGR 13% (FY25–FY28).
- Corporate Strategy: Simplification of group structure may add value.
1. Revenue Split FY25 (Pie Chart)
Two-Wheelers: 91%
Four-Wheelers: 9%
2. Projected Revenue Share FY28 (Bar Chart)
Segment FY28 Revenue %
Two-Wheelers 87%
Four-Wheelers 13%FY28 Revenue by Segment
| Segment | Revenue % | Visual |
|---|---|---|
| Two-Wheelers | 87% | |
| Four-Wheelers | 13% |
3. PAT & EBITDA Growth FY25–FY28 (Line Chart)
Year PAT (₹ Cr) EBITDA (₹ Cr)
FY25 50 80
FY26 67 90
FY27 85 102
FY28 110 115Company Performance: PAT & EBITDA (₹ Cr)
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