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Samvardhana Motherson Targets $108 Billion Revenue by FY30, Maintains Up to 40% Dividend Payout

Written by: Akshay ShivalkarUpdated on: 10 Sept 2025, 5:57 pm IST
Samvardhana Motherson aims $108 bn revenue by FY30, while keeping dividend payout ratio up to 40% to reward shareholders.
Samvardhana Motherson Targets $108 Billion Revenue by FY30, Maintains Up to 40% Dividend Payout
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Samvardhana Motherson International Limited has laid out an ambitious long-term growth plan. The auto components giant is targeting a fourfold increase in gross revenue to $108 billion by FY30 from $25.7 billion in FY25. Alongside this aggressive expansion, the company has pledged to sustain a shareholder-friendly policy by maintaining a dividend payout ratio of up to 40%.

Dividend Policy and History

The company has consistently rewarded its investors with dividends, and its new plan reinforces this approach. By capping dividend payout at 40% of profits, Samvardhana Motherson aims to balance reinvestment for growth with stable returns to shareholders.

A look at its dividend history highlights this commitment. In FY25, it announced a final dividend of ₹0.35 and an interim dividend of ₹0.50. Over the last decade, dividends peaked at ₹3.00 per share in 2015 and ₹2.50 as an interim payout in 2016. Even during challenging years, such as 2020, the firm continued distributions, underlining its resilience.

Financial Growth Plans

In addition to dividends, the company plans to double its Return on Capital Employed (RoCE) to 40% by the end of the current plan, compared with 18% in FY25. The roadmap also ensures geographical diversification, with no single country contributing more than 10% of overall revenues, reducing risk and enhancing long-term stability.

Key Market Information

As of September 10, 2025, Samvardhana Motherson had a market capitalisation of ₹1,05,934.94 crore, with a free float market cap of ₹44,285.52 crore. The stock is part of the NIFTY NEXT 50 index, and its industry classification is Auto Components & Equipments.

Samvardhana Motherson Share Price Performance

On September 10, 2025, Samvardhana Motherson share price opened at ₹99.00, compared to the previous close of ₹98.82. It touched a high of ₹102.20 and was trading up 1.45% at ₹100.25 by 12 pm.

Read More: Samvardhana Motherson to Acquire 81% Stake in Japan’s Yutaka Giken and 11% in Shinnichi Kogyo

Conclusion

Samvardhana Motherson’s strategy combines aggressive revenue growth targets with a strong dividend payout policy, offering investors both capital appreciation and steady income. By balancing expansion, profitability, and shareholder returns, the company is positioning itself as a long-term wealth creator in the auto components sector.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Published on: Sep 10, 2025, 12:27 PM IST

Akshay Shivalkar

Akshay Shivalkar is a financial content specialist who strategises and creates SEO-optimised content on the stock market, mutual funds, and other investment products. With experience in fintech and mutual funds, he simplifies complex financial concepts to help investors make informed decisions through his writing.

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