New Delhi, May 22 -- India's automobile and ancillary sector is caught in a profit jam. Despite companies shifting gear with sales, soaring input costs are preventing a similar upshift in their earnings, creating a troubling scenario where more revenue doesn't translate to proportional profits.

A recent Mint analysis of 53 automobile and ancillary firms reveals this troubling disconnect between revenue and profit performances in the March quarter of fiscal year 2024-25. While these companies achieved an impressive 11% year-on-year revenue growth in Q4, up from 7.3% in the previous quarter, their net profit managed only a modest 2% increase during the same period. A company-wise breakdown reveals that nearly half of all firms (46%) experi...