Event Type: Q4 and Full Year FY26 Earnings Conference Call
Date and Time: Tuesday, May 26, 2026 (time not specified)
Purpose: Discussion of financial results for quarter and financial year ended March 31, 2026, including business performance, strategic updates, and future outlook.
Management Participants:
- Mr. Aravind Melligeri – Executive Chairman and Chief Executive Officer
- Mr. Rajeev Kaul – Co-Founder and Managing Director
- Mr. Dinesh Iyer – Chief Financial Officer
- Mr. Harish Bang – Vice President-Finance
Availability of Materials: The transcript of the earnings conference call will be made available on the Company's website at https://www.aequs.com/investor/
Financial Period Discussed: Quarter and financial year ended March 31, 2026 (Q4 FY26 and Full Year FY26)
Key Financial Highlights:
- Q4 FY26 Revenue: INR3,671 million (47% YoY growth)
- Full Year FY26 Revenue: INR12,304 million (33% YoY growth)
- Full Year FY26 EBITDA: INR1,545 million (43% YoY growth)
- EBITDA Margin: 13% (100 basis point improvement from FY25)
- Full Year PAT: Loss of INR1,133 million (negative PAT margin improved from -11% to -9%)
- Including proportionate share of JVs: Full year revenue INR13,466 million (34% growth), EBITDA INR1,830 million (42% growth)
Segment Performance:
- Aerospace Segment: FY26 revenue INR10,464 million (27% growth), EBITDA INR2,813 million (76% growth), ROCE 20%
- Consumer Segment: FY26 revenue INR1,840 million (84% growth), EBITDA loss INR783 million
- Q4 FY26: Aerospace revenue INR3,040 million (29% growth), Consumer revenue INR631 million
Strategic Updates:
- Signed MoU with Tamil Nadu government for INR1,900 crores investment over 10 years for vertically integrated aerospace manufacturing ecosystem
- Signed MoU with Karnataka government for INR2,856 crores investment over 5 years across Belagavi and Hubballi clusters
- Total manufacturing footprint: 2.22 million square feet across three integrated clusters in India
- Installed annual capacity: 4.70 million machining and molding hours
- Manufacturing operations: 434 CNC machines and 179 molding machines
- Aerospace order book: USD $889 million
- Aerospace portfolio: 5,654 SKUs (26% increase YoY, 433 new parts added in Q4)
Management Change: CFO Dinesh Iyer will step down at the end of June 2026 for personal reasons. Harish Bang will serve as interim point of contact during search for replacement.
FY27 Guidance:
- Consolidated revenue growth: 45-50%
- Operational EBITDA: Expected to double
- Aerospace segment: 25-30% revenue growth, 20% EBITDA margin maintained
- Consumer segment: 125-150% revenue growth, targeting EBITDA break-even by Q4 FY27
- Consumer utilization target: 40-50% (from current 23%)
Customer Updates:
- Hasbro informed of revised manufacturing strategy and will stop raising purchase orders
- Signed long-term agreement with Mattel, expected to absorb Hasbro capacity impact
- Continuing to engage with other strategic customers
Balance Sheet Position (as of March 31, 2026):
- Total assets: INR26,905 million (vs INR18,598 million year ago)
- Net debt-to-equity: 0.23 (improved from 0.99x)
- Fixed asset turnover: 1.18x (from 1.84x)
- Net working capital days: 151 days (from 132 days)
- Cash and cash equivalents: INR3,015 million (vs INR609 million)
FY27 Capex Plans:
- Aerospace segment: INR160 crores approximately
- Consumer segment: INR500 crores approximately
Additional Business Insights:
- PLI income expected in FY27 (not booked in FY26)
- West Asia crisis caused some supply constraints and increased logistics costs, leading to higher working capital requirements
- Export revenue predominantly in US dollars (93-94%)
- Consumer electronics gross block: INR830 crores approximately
- Long-term target ROCE for consumer segment: Similar to aerospace segment (20%)
- Steady-state consumer margins target: 20% EBITDA at 75-80% utilization
Additional Notes Section
Attachments: The regulatory filing includes the full transcript of the earnings conference call (19 pages).
Financial Data Disclosure: The announcement itself does not contain financial data, but refers to the detailed financial results discussed in the conference call transcript.
Compliance: The document is filed pursuant to Regulation 30 and 46 read with Schedule III of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.