Dhoot Transmission IPO

Dhoot Transmission designs and manufactures wiring harnesses — the bundled cable assemblies that carry power and signals around a vehicle — plus battery packs, automotive switches, sensors such as ABS and lean-angle sensors, electronic controllers including USB chargers and light control modules, and connectors, terminals and data cables. Its core market is two- and three-wheelers, in both petrol and electric versions; it also supplies commercial vehicles, off-highway machines, and farming and industrial equipment, with some non-automotive work such as boilers. Its buyers are vehicle makers: Bajaj Auto, TVS Motor, Honda Motorcycle and Scooter India and Royal Enfield were four of its five largest customers in FY26. As of March 31, 2026 it ran 22 manufacturing plants, three engineering and design centres and seven warehouses in India and abroad, and served 495 customers.

The company sells parts to OEMs on purchase orders with no exclusivity or minimum-volume undertaking, so revenue tracks whatever its customers actually build. Wiring harnesses were 77.08% of FY26 revenue from operations of ₹45,249.55 million. It is a materials-heavy business: cost of materials consumed — copper, brass, polymers, connectors — was ₹30,689.82 million in FY26, or 67.82% of revenue and 76.20% of total expenses, procured on prevailing-price purchase orders rather than long-term pricing contracts. Input-cost increases reach customers only through negotiated pass-through, and EBITDA margin slipped from 18.31% in FY24 to 17.15% in FY25 and 15.71% in FY26. Concentration is the other constraint: the top five customers were 71.56% of FY26 revenue, Bajaj Auto alone 31.84%.