Pune: Tenneco Clean Air India Limited reported an 18.4% year-on-year increase in Value-Added Revenue (VAR), outperforming industry volume growth while sustaining healthy profitability despite commodity inflation and costs associated with its transition to a listed public company (Tenneco India Q1 FY27).
Tenneco Clean Air India Limited (“Tenneco India”) (BSE/NSE: TENNIND), a leading Tier-1 automotive component manufacturer supplying Clean Air, Powertrain and Advanced Ride Technologies (ART) solutions to major OEMs, announced its financial results for the quarter ended June 30, 2026 (Q1 FY2027).
Financial Performance
For Tenneco India Q1 FY27, revenue from operations increased 20.2% year-on-year to ₹15,448 million from ₹12,856 million in the corresponding quarter last year.
Value-Added Revenue (VAR), which excludes pass-through substrate costs and reflects the company’s underlying operating performance, rose 18.4% to ₹13,816 million, compared with ₹11,665 million in Q1 FY2026.
Business segment performance included:
- Clean Air & Powertrain Solutions: ₹6,626 million, up 9.6% YoY
- Advanced Ride Technologies (ART): ₹7,190 million, up 27.9% YoY
EBITDA stood at ₹2,469 million, while the EBITDA margin on VAR remained resilient at 17.9% despite significant commodity cost increases arising from the current geopolitical situation and additional expenses related to the company’s transition from a private to a publicly listed entity.
Profit After Tax (PAT) for Tenneco India Q1 FY27 stood at ₹1,652 million, translating into a PAT margin of 12.0%.
The company noted that PAT remained broadly stable year-on-year. The corresponding quarter of the previous financial year had included a one-time interest income benefit of approximately ₹187 million (net of tax) related to the sale of the Motocare entity.
Excluding this non-recurring gain, PAT growth during Q1 FY2027 would have broadly aligned with EBITDA growth.
Business Performance
During Tenneco India Q1 FY27, the company reported that Value-Added Revenue growth outpaced industry volume growth of 16.2% in its served addressable market.
According to the company, quarterly performance was driven by:
- Sustained execution of new program wins
- Higher content per vehicle
- Stable exports
- An expanding customer base across both Advanced Ride Technologies (ART) and Clean Air & Powertrain (CA&PT) businesses
The company said its operating model continued to benefit from productivity improvements, commercial discipline and operational excellence despite market headwinds.
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Tenneco India Q1 FY27: Advanced Ride Technologies Expands Market Leadership
During Tenneco India Q1 FY27, the Advanced Ride Technologies business continued expanding the footprint of its DCx Da Vinci suspension through multiple new application wins across existing customers.
The company also added four new customers during 2026 along with three new DCx application models, further diversifying its customer base.
Driven by continued success of the DCx platform, Tenneco said its passenger vehicle shock absorber and strut value market share increased by 300 basis points year-on-year to 55% in FY2026.
The company also introduced DCx32, the latest member of the DCx family, targeting smaller A/B segment vehicles and expanding its addressable market.
Additionally, it successfully completed fitment and benchmarked the performance of Mechanical Adaptive Roll Damping (MARD) dampers with a leading domestic OEM.
The technology was developed entirely in India and expands the company’s portfolio with enhanced comfort and safety features.
Tenneco India Q1 FY27: Clean Air & Powertrain Business Wins New Programs
The Clean Air & Powertrain business secured multiple program nominations from leading passenger and commercial vehicle manufacturers during Tenneco India Q1 FY27.
Among the key program wins were:
- A strategic spark plug order from one of India’s leading passenger vehicle OEMs
- A new passenger vehicle exhaust hot-end program from a leading Indian passenger car manufacturer
- A new CNG platform cold-end assembly program for two India models from a global OEM
- A forthcoming 2.0-litre engine emission after-treatment system program for a domestic commercial vehicle manufacturer’s small commercial vehicle range
The company also strengthened its powertrain portfolio by reinforcing spark plug compatibility with flex-fuel applications supporting up to E85 fuel.
Tenneco India Q1 FY27: Export Business Registers New Wins
Exports also contributed positively during Tenneco India Q1 FY27.
Within the Advanced Ride Technologies business, the company secured its maiden order from a leading European ATV manufacturer, marking entry into a new market opportunity.
In addition, the company won a heat shield order under its Powertrain segment from Tenneco America, strengthening its export business.
Arvind Chandra, Whole-Time Director and CEO, Tenneco India, said: “Our strong start to FY2027 reflects the resilience of our diversified business model, disciplined execution, and continued focus on delivering technology-led solutions to our customers.
During the quarter, we delivered strong double-digit Value-Added Revenue growth, outpacing growth in our served markets, further strengthening our competitive position.
We continued to gain market share across key segments, with FY2026 value market share increasing to 58% (+1% YoY) in commercial vehicle Clean Air Solutions, 55% (+3% YoY) in passenger vehicle shock absorbers and struts and sustained 68% in off-highway Clean Air Solutions.
In CA & PT, we strengthened customer partnerships through strategic program nominations across passenger vehicle and commercial vehicle platforms spanning hot-end aftertreatment, cold-end solutions and Powertrain applications.
During the quarter, we secured an order for spark plugs with one of the largest passenger vehicle OEM in India, leveraging our technical expertise and strong existing relationships across other product segments to enter a new whitespace opportunity.
In ART, we continued to win new programs with existing customers while adding new customers for DCx Da Vinci, further reinforcing our leadership position in this product segment.
These wins, together with progress in localizing advanced global technologies and enhancing capabilities for alternative fuel and next-generation mobility solutions, provide strong visibility for future growth.
In export markets, ART secured its maiden order from a leading European ATV manufacturer, gaining entry into a new whitespace. Additionally, the company won a heat shield (PT segment) order from Tenneco America, further strengthening its exports.”
