RACL Geartech Limited, a Noida-based auto component maker, is strengthening its global presence with new contracts from BMW and BRP Canada. These deals mark an important step in the company’s strategy to grow beyond traditional markets and move into high-volume, high-value product segments.
In the first quarter of FY26, RACL reported revenue of ₹108 crore, up 2% from the same quarter last year. The company’s EBITDA rose 20% to ₹26.8 crore, while profit before tax jumped 33% to ₹11.25 crore. Strong export sales, which contributed about 60% of turnover, supported these results.
One of the major developments is a new order from BMW for advanced car components. The projects include a parking lot mechanism and an electric drivetrain part for upcoming premium car models. Commercial production is expected to start in FY27, reflecting the long product development cycles in the auto industry.
RACL also secured a high-volume order from BRP Canada, one of the world’s largest ATV makers. The company will supply around 1.5 lakh shifting drum parts annually, marking its entry into a new product line-shifting mechanisms. This opens fresh opportunities in the growing recreational vehicle segment.
On the domestic side, RACL received a nomination from a leading two-wheeler manufacturer in India. This project, set to begin in early 2026, will help the company expand its presence in the premium motorcycle segment. It also reduces dependence on niche export markets by tapping into India’s rising demand for high-quality components.
RACL has further strengthened its standing in India’s industrial ecosystem by completing vendor registration with Bharat Heavy Electricals Limited (BHEL). This recognition allows the company to participate in precision component supply for critical infrastructure projects, giving it a direct entry into PSU contracts without standard tendering hurdles.
The company’s management emphasized that its focus is not just on immediate growth but also on preparing for future automotive technologies. Investments in electronic roll control (ERC), steer-by-wire systems, and advanced chassis parts are part of what RACL calls its “future-ready” strategy. These technologies, though capital-intensive, position the firm as a premium supplier to global OEMs.
With 832 employees, two plants in Uttar Pradesh, and four warehouses in Europe, RACL continues to maintain a strong export-oriented model. The addition of BMW and BRP to its client portfolio highlights its ability to compete at the global level. While revenues grew only modestly in Q1, the sharp rise in profitability shows that the company’s shift toward high-value projects is beginning to pay off.
