Minda Industries Limited (BSE Symbol Minda) – Background Note
Minda Industries Limited (MIL) is the flagship company of the NK. Minda Group (NKM). MIL is into manufacturing of 2/3 wheeler switches, 2/3/4 wheeler lights and Automotive batteries. It commands a market share of 70% in the 2/3 wheeler switches and today supplies to all OEM’s including Bajaj, Hero Honda, Honda, TVS etc. It is also entering the manufacture of Blow Molding parts for automobiles by setting up a new facility at Bidadi, Karnataka in technical collaboration with Kyoraku, Japan.


The sales for the year 2006-2007 clocked an impressive growth of over 44.2 % from the FY 2005-2006. The sales grew from Rs. 268.05 crore in FY 2005-2006 to Rs.386.60 crores in FY 2006-07.


The Profit after Tax of MIL for the FY 2006-2007 was Rs.1353.52 lakhs, up from Rs.1295.48 lakhs for FY 2005-2006. The earning per share was Rs.12.58 in FY 2006-07 up from Rs. 12.04 in FY 2005-2006. The company has also proposed a dividend of 25 %, which is unchanged from last year.


MIL at present has plants at Delhi, Manesar-Gurgaon, Pune, Aurangabad and Hosur. MIL which undertook a major expansion last year has set up new plants at Pantnagar in Uttranchal and Baddi in Himachal Pradesh. The plant at Pantnagar is for manufacturing of automotive batteries for 2/3 & 4 wheelers and handle bar assemblies for two wheelers while the facility at Baddi in Himachal is for manufacture of handle bar assemblies for two wheelers. The company is actively scouting for new business opportunities in terms of products and inorganic growth through mergers and acquisitions.


N K Minda Group
The N K Minda Group has been clocking a CAGR of 40% in ATO. From Rs. 545 crores during F.Y. 2005-06 it grew to Rs.832 crores in 2006-07. It is estimated that the turnover for the F.Y. 2007-08 will be well over Rs. 1000 crore. The group is targeting a turnover of Rs.750 crores by the F.Y.2009-10.

The Group has a total of 19 plants spread across India and Indonesia. Strong tie-ups with leading international automotive component manufacturers like Tokai Rika Co. Ltd. of Japan and Fiamm S.p.A. of Italy are the USP of the group. Recognising the importance of the ASEAN market, the group has set up a Greenfield manufacturing facility in Indonesia through a group company named PT Minda ASEAN Automotive, which has commenced production and exports to other ASEAN countries.