Chennai: Wheels India, a producer of automobile components, reported a strong rise in profitability in the third quarter ended December 31, 2025, driven largely by improved domestic demand following the rollout of GST 2.0 on key automotive components.The company’s board approved an interim dividend of Rs 5.3 per share, higher than last year’s interim dividend of Rs 4.5 per share, amounting to a total payout of Rs 12.95 crore.The company posted a net profit of Rs 32.05 crore in Q3, up from Rs 22.57 crore in the corresponding quarter last year. Revenue for the quarter grew 21.7% year-on-year to Rs 1,287 crore, compared with Rs 1,058 crore a year earlier, according to a statement.Srivats Ram, managing director, said the company’s core domestic businesses benefited directly from GST-related reforms. “Our traditional businesses—wheels for trucks, tractors and passenger cars—received a strong growth impetus from GST 2.0, which helped drive robust volume growth in the quarter,” he said. He added that the relatively low base of Q3 FY25 also supported the sharp revenue expansion in Q3 FY26.Export demand remained resilient during the quarter, providing an additional boost. Ram noted that strong demand for construction equipment wheels in the US market and windmill components in the European Union helped exports grow close to 20% in Q3.For the nine months ended December 31, 2025, Wheels India reported a net profit of Rs 86.3 crore, up from Rs 69.9 crore in the same period last year. Revenue for the period increased 13.1% year-on-year to Rs 3,653 crore, compared with Rs 3,230 crore in the corresponding period of the previous year.On the outlook, Ram said the positive demand sentiment triggered by GST 2.0 is expected to sustain momentum into the fourth quarter. “If the government continues to prioritise infrastructure spending in the upcoming Union Budget, this growth trend could extend into the next financial year,” he said. On the export front, he added that any improvement in global trade relations would further strengthen the company’s long-term business prospects.
