Company Disclosure

Financial Performance Highlights

H2 FY26 Performance (Year-over-Year Comparison)

  • Revenue from operations: ₹105.8 crores, up 302% from ₹26.3 crores in H2 FY25
  • EBITDA: ₹15.7 crores, up 121% from ₹7.1 crores in H2 FY25
  • EBITDA margin: 14.9%, decreased by 1,212 basis points from 27.0% in H2 FY25
  • Profit before tax: ₹13.3 crores, up 158% from ₹5.1 crores in H2 FY25
  • Profit after tax: ₹8.0 crores, up 84% from ₹4.3 crores in H2 FY25
  • PAT margin: 7.5%, decreased by 893 basis points from 16.5% in H2 FY25
  • EPS: ₹3.2, decreased by 21% from ₹4.1 in H2 FY25

H2 FY26 Performance (Sequential Comparison)

  • Revenue increased 167% sequentially
  • EBITDA increased 128% sequentially
  • PAT increased 83% sequentially

Full Year FY26 Performance (Year-over-Year Comparison)

  • Revenue from operations: ₹145.8 crores, up 343% from ₹32.9 crores in FY25
  • EBITDA: ₹23.3 crores, up 226% from ₹7.1 crores in FY25
  • EBITDA margin: 16.0%, decreased by 572 basis points from 21.7% in FY25
  • Profit before tax: ₹19.5 crores, up 467% from ₹3.4 crores in FY25
  • Profit after tax: ₹12.3 crores, up 391% from ₹2.5 crores in FY25
  • PAT margin: 8.4%, increased by 82 basis points from 7.6% in FY25
  • EPS: ₹5.0, up 350% from ₹1.1 in FY25

Cost Structure Analysis

  • Cost of materials consumed: ₹116.5 crores in FY26 (up 871% from ₹12.0 crores in FY25)
  • Employee benefits expense: ₹2.2 crores in FY26 (down 52% from ₹4.5 crores in FY25)
  • Total operating expenses: ₹122.6 crores in FY26 (up 376% from ₹25.8 crores in FY25)
  • Finance costs: ₹5.5 crores in FY26 (up 88% from ₹2.9 crores in FY25)
  • Depreciation: ₹3.3 crores in FY26 (up 93% from ₹1.7 crores in FY25)
  • Tax expenses: ₹7.2 crores in FY26 (up 669% from ₹0.9 crores in FY25)

Balance Sheet Position (as of FY26)

Assets

  • Property, plant and equipment: ₹29.9 crores (vs ₹3.9 crores in FY25)
  • Intangible assets & goodwill: ₹5.3 crores (vs ₹4.3 crores in FY25)
  • Capital work-in-progress: ₹7.9 crores (vs ₹4.4 crores in FY25)
  • Other non-current assets: ₹4.4 crores (vs ₹4.0 crores in FY25)
  • Cash and investments: ₹57.4 crores (vs ₹27.3 crores in FY25)
  • Trade receivables: ₹39.7 crores (vs ₹16.2 crores in FY25)
  • Inventories: ₹54.1 crores (vs ₹18.6 crores in FY25)
  • Short-term loans and advance: ₹22.0 crores (vs ₹3.0 crores in FY25)
  • Other current assets: ₹19.0 crores (vs ₹1.9 crores in FY25)
  • Total assets: ₹239.7 crores (vs ₹83.6 crores in FY25)

Liabilities and Equity

  • Shareholder's funds: ₹113.7 crores (vs ₹57.6 crores in FY25)
  • Trade payables: ₹37.0 crores (vs ₹12.4 crores in FY25)
  • Short-term borrowings: ₹63.9 crores (vs ₹5.0 crores in FY25)
  • Long-term borrowings: ₹15.5 crores (vs ₹3.5 crores in FY25)
  • Other non-current liabilities: ₹1.0 crores (vs ₹0.8 crores in FY25)
  • Other current liabilities: ₹8.6 crores (vs ₹4.3 crores in FY25)

Business Operations and Strategic Developments

Manufacturing Capacity Expansion

  • Manufacturing footprint expanded from 15,000 sq. ft. to 55,000 sq. ft. (3.7× increase)
  • New facility includes 2 SMT lines, 6 assembly lines, 11 injection molding machines
  • Daily soundbox production capacity increased from 5,000 to 15,000 units (3× expansion)
  • Workforce strength: 250-300 employees (85% female, 15% male), projected to grow to 500 employees
  • Facility located in Mysore, Karnataka with state-of-the-art equipment including Screen Printer, Pick & Place machine, Re-Flow Oven, X-Ray Inspection, and various testing systems
  • ISO certifications: 9001:2015, 14001:2015, 27001:2013, 45001:2018

Order Book and Business Wins

  • ~1 million CNIC unit order valued at approximately ₹45 crores in smart infrastructure segment
  • 25,000 WMS order with commitment for 15,000 additional units, strengthening IoT-enabled solutions portfolio
  • Key clients include: PhonePe, Sriram Finance, PayNearBy, AirPay, Bajaj Finance, CyanConnode, leading telecom company, Qatar-based Syook
  • Product validation: Meter integration with Schnieder, AEW, Capital, Linkwell Systems; WMS system undergoing testing by telecom company and state government; Personal Safety device under certification for ATEX and Peso

Business Segments and Product Portfolio

Fintech Segment:

  • Leading manufacturer of UPI-enabled payment sound boxes in India
  • Industry-first Ad Platform shifting to SaaS/recurring revenue model
  • AI modules for Merchant Churn Management, Device Stability, Predictive Maintenance, and Anomaly Detection
  • Real-time payment alerts and audio transaction confirmations

Smart Meters (NIC):

  • IoT-enabled cloud-connected smart meters for real-time monitoring and energy management
  • Alignment with government RDSS (Revamped Distribution Sector Scheme) supporting nationwide rollout
  • Market opportunity: ~35 million installations in FY25 against target of 250 million

Agri Tech:

  • IoT-enabled soil health sensors delivering telemetry data to mobile app
  • Wireless health monitoring solutions for livestock using IoT
  • Real-time tracking of animal activity, rumination, and vital signs

Bespoke IoT:

  • Customized wireless communication platforms for diverse industry applications
  • End-to-end wireless monitoring systems for specific industry needs
  • Applications in livestock, logistics, and manufacturing

Technology Capabilities

  • Wireless Specialization: Technologies include NFC, Bluetooth BLE, WiFi, LoRa, 5G LTE, NB-IoT, LTE Cat-M1
  • End-to-End Capabilities: Integrated OEM with in-house expertise spanning global sourcing, manufacturing, quality testing, packaging, and logistics
  • R&D Focus: Strong research and development enabling product customization and technology innovation
  • IP Assets: Increasing intellectual property database with indigenously developed and co-owned hardware and software

Management Team

  • Tejas Kothari: Co-Founder, Joint Managing Director & CFO, over 25 years of experience
  • Siddhartha Xavier: Co-Founder, Joint MD, Computer Science & Engineering degree, former Head of Technology - Device Group at Reliance Communications
  • Aditya Xavier: Head of Technology since 2016, Computer Science & Engineering degree, experience at Reliance Communications and Globalspace Technologies
  • Manish Mistry: Head of Hardware since 2018, Electronics & Communication Engineering degree, over 20 years of embedded hardware experience

Forward-Looking Guidance

  • Company aims to achieve ₹380-400 crores in revenue by FY27
  • Supported by robust order pipeline and business expansion initiatives
  • Enhanced manufacturing setup expected to support higher FY27 throughput
  • Ongoing capacity ramp-up and order execution to drive growth

Market Context and Industry Outlook

  • IoT market expected to reach ~17.4B devices by 2030, with consumer segment driving ~60% of demand
  • QR code deployments growing at 50%+ CAGR, outpacing POS adoption
  • UPI adoption acceleration and supportive policy environment creating growth tailwinds
  • Smart meter installations creating multi-year deployment opportunity with RDSS timelines extending to FY27-28