This auto ancillary firm relies on one major customer for nearly 90% of its FY26 revenue. While this four-decade partnership helped the company build scale and product capabilities, it creates a risky equation for investors. The business now faces a challenge to balance its ICE vehicle parts with EV growth.
Some auto suppliers spend years trying to win a major customer. This business has been associated with one for four decades. That has helped build manufacturing scale, product capabilities, and a presence near auto plants. But it also creates an unusual equation for investors. Nearly 90% of the company's FY26 revenue is from sales to one related customer. Its portfolio spans parts that can survive the EV transition and others more closely tied to ICE vehicles. The story is about how durable customer access becomes durable returns.