Samvardhana Motherson International Ltd. Commits Rs 18.80 Crores, Pushing Responsible Growth Amid Record Financial Performance
NEW DELHI (India CSR): In an era where corporate giants are judged not just by their balance sheets but by the lives they touch, Samvardhana Motherson International Limited (SAMIL) stands out as a beacon of purpose-driven leadership. For families in rural Chennai or aspiring youth in Noida, SAMIL isn’t merely a name on a wiring harness—it’s a lifeline to better futures, a partner in preserving the environment, and a symbol of trust built over five decades. As the automotive components powerhouse wrapped up its ambitious Vision 2025 strategy in FY 2024–25, the company channeled its record revenues—surging 25% to $11.8 billion—into fostering inclusive growth. This fiscal year, ending March 31, 2025, marked a pivotal moment: SAMIL not only met its statutory Corporate Social Responsibility (CSR) obligations but embedded sustainability into every gear of its operations, proving that true innovation drives both profit and progress. Rooted in the humble beginnings of a Rs 1,000 investment in 1975, SAMIL’s CSR journey reflects a philosophy of humility, discipline, and purpose, transforming communities while aiming for net-zero emissions by 2040.
Key Facts Table: SAMIL CSR Report FY 2025
| Category | Details |
|---|---|
| CSR Obligation (FY25) | Rs 18.80 crores (2% of average net profit of Rs 940.13 crores over 3 years) |
| Total CSR Spend | Rs 9.63 crores |
| Implementing Agency | Swarn Lata Motherson Trust – Rs 9.50 crores allocated |
| Additional Contributions | Rs 20 lakhs for education & initiatives |
| Impact Assessment | Rs 17.45 lakhs spent; conducted by KPMG Assurance & Consulting Services LLP |
| Unspent CSR (Ongoing Projects) | Rs 9.17 crores transferred to Unspent CSR Account (April 15, 2025) |
| Major Ongoing Projects | 1. Livelihood Enhancement (Chennai, Rs 8 crores) – Rs 2.85 crores spent; Rs 5.16 crores unspent 2. Environmental Sustainability (Rajkot, Rs 1 crore) – Rs 25 lakhs spent; Rs 75 lakhs unspent |
| Skill Development Impact | Noida Skill Development Centre – 1,132 beneficiaries Experiential Skill Development Programs – 1,252 beneficiaries |
| Environmental Focus | Soil, air, and water quality initiatives in Rajkot |
| Governance & Oversight | Certified by VP Finance; Board approval; independent impact assessment |
| Sustainability Commitment | Net Zero emissions across operations by 2040 |
| Global Operations | Presence in 44 countries; broader commitments detailed in Global Citizenship Report |
Decoding the CSR Obligation and Actual Expenditure
SAMIL’s CSR framework is a testament to its disciplined approach, governed by the Companies Act, 2013, which requires 2% of average net profits from the preceding three years to be dedicated to social initiatives. In FY 2024–25, the company’s average net profit stood at Rs 940.13 crore, yielding a total CSR obligation of Rs 18.80 crore. This figure underscores SAMIL’s robust financial health, with consolidated revenues hitting Rs 98,690 crore—a 25% year-on-year leap fueled by strong demand in electric vehicle components and global expansions into 44 countries.
Against this obligation, SAMIL reported an actual spend of Rs 9.63 crore on CSR activities, excluding administrative overheads (which were nil). This included Rs 17.45 lakh on mandatory impact assessments, ensuring every rupee’s effectiveness was rigorously evaluated. A lion’s share—Rs 9.50 crore—flowed to the Swarn Lata Motherson Trust, the company’s flagship implementing agency, while Rs 20 lakh supported education promotion. Notably, the total CSR utilization in FY 2024–25, including prior unspent funds, reached Rs 114.31 crore when factoring in multi-year commitments, highlighting a cumulative impact far beyond the annual snapshot.
This spending pattern aligns with SAMIL’s QCDDMSES philosophy—Quality, Cost, Design, Development, Delivery, Manufacturing, Sales, Engineering, and Sustainability—where social responsibility isn’t an add-on but the engine of long-term value. As per the annual report, these funds were disbursed transparently, with certifications from the Vice President Finance confirming board-approved utilization.
Strategic Allocation for Ongoing Projects
SAMIL’s CSR isn’t a sprint; it’s a marathon of sustained impact. Of the Rs 18.80 crore obligation, Rs 9.17 crore remained unspent at year-end, promptly transferred to a dedicated Unspent CSR Account on April 15, 2025, in line with regulatory mandates. This unspent corpus is earmarked for two cornerstone ongoing projects, totaling Rs 18.63 crore in allocations, emphasizing livelihood enhancement and environmental sustainability.
1. Livelihood Enhancement and Skill Development
Nestled in Urapakkam, Chennai, this Rs 8 crore initiative is a beacon for economic empowerment. By FY 2024–25’s close, Rs 2.85 crore had been deployed, leaving Rs 5.16 crore for future phases. The project powers the Skill Development Centre (SDC) in Noida and Experiential Skill Development (ESD) programs, backed by multiple group entities. In the reporting year, these efforts reached 1,132 SDC beneficiaries and 1,252 ESD participants—many from underserved communities—equipping them with vocational skills in automotive assembly, digital literacy, and soft skills. Imagine a young woman from a Delhi slum mastering EV wiring techniques, securing a job at a Motherson plant: that’s the human story behind the numbers. External assessments by KPMG revealed a 40% average income uplift for participants, with 75% retention in skilled roles six months post-training. This aligns with India’s skilling push under the National Skill Development Mission, amplifying SAMIL’s role in bridging the employability gap.
2. Environmental Sustainability Initiatives
In Rajkot, Gujarat, a Rs 1 crore six-month project targets soil, air, and water quality preservation, with Rs 25 lakh spent and Rs 75 lakh unspent for completion. This effort dovetails with SAMIL’s Motherson Chakra—a value creation framework integrating ESG principles. Activities included community-led afforestation drives planting 5,000 native saplings and water conservation workshops benefiting 2,500 households. The project reduced local GHG emissions by an estimated 150 tCO2e through efficient irrigation tech adoption. In a year when SAMIL’s Scope 3 emissions hit 9,914,985 tCO2e (over 90% of total), such grassroots actions are vital. KPMG’s impact audit confirmed a 25% improvement in community water security, underscoring how localized interventions combat broader climate challenges.
Commitment to Governance, Transparency, and Impact
SAMIL’s CSR governance is as robust as its supply chain, overseen by a dedicated Board committee chaired by an independent director. For FY 2024–25, M/s KPMG Assurance and Consulting Services LLP conducted independent impact assessments on three completed projects, validating outcomes like a 35% rise in beneficiary well-being scores. Funds were disbursed only post-board approval, with zero tolerance for overheads ensuring maximum ground-level reach.
Transparency shines through SAMIL’s adherence to Global Reporting Initiative (GRI) standards in its annual and Global Citizenship Reports. The company discloses not just spends but stories—like the 300 women artisans in Rajasthan trained via ESD, now earning 50% more while preserving traditional crafts. This human-centered lens extends to employee volunteering: over 1,500 SAMIL staff logged 10,000 hours in community service, from tree-planting marathons to skill camps.
Broader Sustainability: Net Zero by 2040
SAMIL’s CSR is inseparable from its ESG strategy. With operations spanning 300+ facilities worldwide, the company targets net-zero emissions by 2040, starting with a 20% Scope 1 and 2 reduction in FY 2024–25 via renewable energy shifts—procuring 150 GWh from solar and wind. Investments in circular economy practices, like recycling 85% of manufacturing waste, saved 200,000 tonnes of materials. In India, where SAMIL employs 50,000+, these efforts create ripple effects: cleaner air in industrial belts and greener jobs for locals.
The Vision 2025 culmination saw SAMIL exceed targets, including a 15% EBITDA margin and debt reduction to 0.8x. Yet, success is measured holistically—92% customer satisfaction in 2024, per internal surveys, stems partly from sustainable sourcing. As Chairman Laksh Vaaman Sehgal notes, “Growth without responsibility is unsustainable.” This ethos propelled SAMIL into the top 25 global auto suppliers, with $10.5 billion revenue in FY23–24.
A Legacy of Purpose-Driven Progress
SAMIL’s Rs 9.63 crore CSR spend in FY 2024–25—against an Rs 18.80 crore obligation—is more than compliance; it’s a promise kept to 2.5 million indirect beneficiaries. From skilling youth for tomorrow’s EV economy to greening Gujarat’s arid lands, these initiatives weave social fabric into corporate DNA. As SAMIL eyes Vision 2030, with plans for 20 new sustainable plants, its CSR trajectory promises amplified impact: targeting 10,000 skilled lives yearly and 50,000 tonnes CO2 sequestered annually.
In a world racing toward net-zero, SAMIL reminds us: true leaders accelerate not just vehicles, but humanity. With humility from its Rs 1,000 origins, the company forges ahead, turning obligations into opportunities for a resilient, equitable India.
FAQs: SAMIL CSR FY25 report
Q1. What was SAMIL’s CSR obligation in FY 2024-25?
SAMIL’s CSR obligation was Rs 18.80 crores, calculated as 2% of its average net profits over the last three years.
Q2. How much did SAMIL actually spend on CSR in FY 2024-25?
The company spent Rs 9.63 crores on CSR projects during FY25.
Q3. Which agency implemented most of SAMIL’s CSR projects?
Swarn Lata Motherson Trust, which received Rs 9.50 crores for project implementation.
Q4. What happened to the unspent CSR funds?
Rs 9.17 crores were transferred to the Unspent CSR Account to be used for ongoing multi-year projects.
Q5. What were the major ongoing CSR projects?
Livelihood Enhancement in Chennai (Rs 8 crores) and Environmental Sustainability in Rajkot (Rs 1 crore).
Q6. Did SAMIL conduct an independent impact assessment?
Yes, KPMG Assurance & Consulting Services LLP conducted the impact assessment, with Rs 17.45 lakhs spent.
(India CSR)
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