Financial Performance Highlights

Full Year FY26 Performance (Year ended March 31, 2026)

  • Revenue from operations: ₹1,159 crore, up 12.4% year-on-year
  • EBITDA: ₹178 crore, up 24.6% year-on-year
  • EBITDA margin: 15.3%, expanded by approximately 150 basis points
  • Profit before tax: ₹125 crore, up 36.5% year-on-year
  • PBT after exceptional items: ₹114 crore, up 29.8% year-on-year
  • Reported profit after tax: ₹72 crore compared to ₹75 crore in FY25
  • Normalized PAT (adjusted for exceptional items): ₹83 crore, up 27.6% compared to normalized PAT of ₹65 crore in FY25

Q4 FY26 Performance (Quarter ended March 31, 2026)

  • Revenue from operations: ₹273 crore, up 2.0% year-on-year
  • EBITDA: ₹34 crore, down 10.3% year-on-year
  • EBITDA margin: 12.3%, decreased by 169 basis points
  • PBT: ₹14 crore, down 40.8% year-on-year
  • PBT after exceptional items: ₹11 crore, down 50.9% year-on-year
  • PAT: ₹0.4 crore, down 98.7% year-on-year
  • Normalized PAT: ₹4 crore, down 88.8% year-on-year

Strategic Portfolio Restructuring

During FY26, the company executed a significant strategic restructuring as part of its Power 930 roadmap. In May 2026, AXISCADES entered into an agreement to transfer its Engineering Services practice catering to Heavy Engineering, Energy and Automotive verticals to Akkodis, a global digital engineering consulting company. This transaction represents a key step in the company's transition from a services-led organization to a more focused aerospace manufacturing and products-led platform.

The transaction is expected to crystallize value from Engineering Services activities and release capital and management bandwidth for redeployment into growth platforms including aerospace manufacturing, MRO, defence electronics and systems, and Deep-tech/AI-led solutions.

Core Business Performance

The company's core Aerospace, Defence and ESAI domains generated approximately ₹904 crore in FY26 revenue, representing 78% of consolidated revenue:

  • Aerospace revenue: ₹388 crore with EBITDA of ₹67 crore and margin of 17.3%
  • Defence revenue: ₹379 crore with EBITDA of ₹87 crore and margin of 22.9%
  • ESAI revenue: ₹136 crore with EBITDA of ₹36 crore and margin of 26.1%

Q4 Performance Impact and FY27 Visibility

Q4 FY26 performance was significantly impacted by revenue recognition deferment of ₹142 crores due to external, first-time occurrence factors:

  • Defence manufacturing programme: ₹45 crores delayed by supply chain interruptions
  • Strategic electronics programme: ₹84 crores delayed by supply chain interruptions
  • Aerospace and Defence contract: ₹12.60 crores deferred to FY27 for transaction-specific reasons

The EBITDA impact on the aggregate deferred revenue is more than ₹40 crores. This revenue is contracted and certain and is carried forward for revenue recognition in Q1/Q2 of FY27.

FY26 P&L includes ₹11.17 crore of exceptional items attributable to fair value adjustment in the divested businesses and Code of Wages impact.

Business Development and Programme Wins

FY26 recorded 27 consolidated design/program wins across:

  • Radar and electronic warfare
  • Missile and countermeasure systems
  • Aerospace design-to-build
  • Platform electronics
  • ESAI/deeptech

Key areas of progress included radar and RF systems, missile seeker-related opportunities, counter-UAS systems, avionics and platform electronics, aerospace design-to-build engagements, semiconductor design wins, edge-AI platform development, and deeper engagement with global OEMs and technology customers.

Capacity Expansion

The company continued building physical infrastructure for growth through:

  • Devanahalli Atmanirbhar Complex
  • Devanahalli Aero Land
  • Missile Atmanirbhar Complex in Hyderabad

These facilities are intended to create integrated footprint across manufacturing, testing, integration, electronics, EMS, MRO and defence/aerospace programme execution.

The company is also combining and enhancing its existing ESAI and AI capabilities into a more focused deep-tech platform while building its space business around strategic partnerships for space-related manufacturing and space awareness services.

Management Commentary

Dr. Sampath Ravinarayanan, Founder, Chairman and Managing Director: "FY26 has been a consequential year for AXISCADES. We moved from intent to execution on a strategic transformation that sharpens the Company toward the domains where we see the strongest long-term value creation - aerospace, defence, space and Deep-tech/AI. The planned transfer of the Heavy Engineering, Energy and Automotive Engineering Services practice is an important step in crystallising value and focusing AXISCADES more clearly on platforms that are aligned with our Power 930 roadmap. We built the runway in FY26; FY27 is about disciplined execution on that foundation."

Shashidhar SK, Group CFO: "FY26 results demonstrate stronger scale and operating profitability, with revenue up 12.4% and EBITDA up 24.6%. Q4 was impacted by programme timing, supply-chain-related revenue movement and exceptional-item impact. We enter the new year with a sharper portfolio, a stronger core-domain mix and a disciplined focus on cash, capital deployment and margin quality."

Outlook

AXISCADES enters FY27 with a sharper strategic architecture, stronger core-domain mix, expanded design-led programme pipeline, and capacity being built for higher-value manufacturing, testing, integration and MRO. The company will continue to execute its Power 930 roadmap with focus on portfolio discipline, strategic partnerships, prudent capital allocation and sustained margin improvement.

Contacts

  • Investor Relations: Mr. Akash Pandey (investor.relations@axiscades.in)
  • Chief Growth & Strategy Officer and Head of Investor Relations: Mr. Mukund Santhanam (investor.relations@axiscades.in)
  • Dickenson World Investor Relations Advisors: Ms. Shankhini Saha (axiscades@dickensonworld.com)