Coimbatore-based L G Balakrishnan & Bros Ltd (LGB), a top manufacturer of two-wheeler automotive chains, has announced plans to invest ₹40 crore to expand its auto parts production capacity at its Oragadam plant near Chennai. In FY24, the company recorded consolidated revenues of ₹2,346 crore, with ₹1,851 crore coming from the transmission business and the remainder from metal forming.
Profit after tax (PAT) for the year was ₹271 crore. For the first half of FY25, LGB reported consolidated revenues of ₹1,232 crore, an increase from ₹1,139 crore in H1 FY24, while PAT rose to ₹143 crore from ₹131 crore.
LGB is also setting up a new factory in Nagpur, focusing on the production of power transmission chains and related components for both automotive and industrial sectors. The company, under its flagship brand Rolon, holds over 60% market share in India’s two-wheeler chain segment, maintaining strong partnerships with major two-wheeler OEMs.
Additionally, more than 30% of its revenues come from the domestic aftermarket segment, providing stability against potential downturns in the two-wheeler sector. With operating margins at a healthy 16.8% for FY24 (compared to 17.4% the previous year) and a net debt-negative position supported by ₹632.4 crore in cash and bank balances as of March 31, 2024, LGB remains financially robust, as noted by ICRA.
L G Balakrishnan & Bros Ltd (LGB) is a leading manufacturer of power transmission products, primarily catering to the automotive and industrial sectors. Headquartered in Coimbatore, the company is best known for its flagship brand, Rolon, which commands over 60% market share in India’s two-wheeler chain segment.
With a legacy spanning decades, LGB has built a robust reputation for quality and innovation, serving major two-wheeler OEMs and catering extensively to the domestic aftermarket. The company operates 24 manufacturing facilities across India and one in the United States, producing a diverse range of products, including automotive chains, sprockets, and metal-formed components. Financially sound, LGB continues to grow with steady operating margins and a strong balance sheet, reflecting its commitment to excellence and leadership in the industry.
