India Motor Parts & Accessories Announces 12.8% YoY Net Profit Growth in Q2FY26; Stock Gains More Than 2%

Chennai, October 29 – India Motor Parts & Accessories Ltd shares (NSE: IMPAL, BSE: 590065) surged more than 2% in Wednesday’s trade. This surge came after the company reported a 12.8% year-on-year (YoY) increase in standalone net profit to ₹25.5 crore in the quarter ended September 30, 2025 (Q2FY26) – from ₹22.6 crore in the same period last year. The profit rise was fueled by increased operational income and controlled costs.

Consistent Topline and Bottom-line Growth

Operating revenue grew to ₹198.71 crore in Q2FY26, a 4.4% YoY increase from ₹190.40 crore in Q2FY25. The company’s total income grew to ₹215.43 crore, 4.9% higher than ₹205.45 crore in the corresponding period last year. Profit before tax of the company grew 6% YoY to ₹30.91 crore, while earnings per share grew 12.9% to ₹20.44. Compared sequentially with Q1FY26, profits grew 25%, reflecting operational stability.

Half-Yearly Performance

For the first half of FY26, overall income was at ₹424.09 crore – an increase of 2.5% from ₹413.78 crore in H1FY25. Profit before tax went up to ₹56.58 crore, and profit after tax went up to ₹45.91 crore – marking a 5.7% YoY increase. Total comprehensive income, however, fell 29.6% to ₹335.91 crore as fair value gains on investments declined.

Operational Efficiency and Costs

IMPAL managed to keep expenses stable despite inflationary pressures. Material costs rose 4.8% to ₹167.15 crore, while stock-in-trade purchases increased slightly to ₹162.13 crore. Employee expenses remained steady at ₹9.6 crore, and finance costs were negligible at ₹0.09 crore. The company reported a net comprehensive loss of ₹2.4 crore in Q2FY26, compared with a gain of ₹214.49 crore in the same quarter last year, due to mark-to-market changes in equity valuations.

Stock Performance and Market Snapshot

On the announcement, the shares were down 0.49% to ₹1,092.20 as of 12:57 pm IST. The stock has provided a 12.2% return over the last six months and a 51% return over the last three years. Despite short-term volatility, it has appreciated 131% over the last ten years. The market capitalisation of the company is ₹1,400 crore, with a P/E ratio of 11 and a return on equity of 3.7%. Its 52-week range is from ₹836 to ₹1,331.50, highlighting moderate volatility.

Based in Chennai, India Motor Parts & Accessories Ltd is a division of the TVS Group and one of India’s largest distributors of automobile spare parts to passenger, commercial, and two-wheeler segments. With a history of reliable profitability and consistent dividend payments, IMPAL keeps enhancing its leadership position in the distribution of auto components.

REF: https://nsearchives.nseindia.com/corporate/IMPAL_29102025101807_IMPALNSEOUTCOMEOFBOARD30092025SD.pdf

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