Sansera's second act

Summary: Sansera Engineering is reinventing itself beyond its internal combustion legacy, targeting the fast-growing EV, aerospace and semiconductor markets. Backed by a debt-free balance sheet, expanding order book and margin-rich opportunities, its second act could define a new chapter of long-cycle growth—if execution keeps pace. Over four decades, Sansera Engineering has built a formidable franchise in precision manufacturing, designing and producing complex, critical components used by some of the world’s leading automakers. Its craftsmanship and reliability are reflected in its enviable financials: over the past five years, revenue has grown at 16 per cent annually, net profit at 22 per cent and median ROCE has hovered around 15 per cent. A Rs 1,200 crore QIP last year halved debt and by FY25, the company became net cash positive—a rare feat for a capital-intensive manufacturer. But the strong run of the past is facing a turning point. The internal combustion engine (ICE) business, which generates three-fourth of the company’s revenue, is entering a slower lane. With ICE production expected to grow just 8–10 per cent amid rising electric vehicle (EV) adoption, the business that once fueled rapid expansion may no longer suffice. Recognising this, Sansera is executing a carefully considered pivot: leveraging its engineering expertise to expand into higher-value adjacent segments—electric vehicles, aerosp