JYOTI CNC AUTOMATION LIMITED

Financial Performance Highlights

Standalone Performance Q2 FY27:

  • Revenue: ₹588 crores, up 31% YoY from Q2 FY26
  • EBITDA: ₹164 crores with margin of 28% (320 basis points improvement)
  • PAT: ₹115 crores, up 46% YoY with margin of 19.6%

Consolidated Performance Q2 FY27:

  • Revenue: ₹602 crores, up 18.5% YoY
  • EBITDA: ₹131 crores with margin of 21.8%
  • PAT: ₹73 crores with margin of 12%

Operational Highlights

Machine Sales:

  • Total machines sold in Q2 FY27: 1,911 (vs 1,315 in Q2 FY26)
  • Entry-level machines: 1,802 (vs 1,237 last year)
  • Mid-range machines: 98 (vs 69 last year)
  • High-end machines: 11 (vs 9 last year)

Order Book:

  • Quarterly order intake: ₹800 crores
  • Total order book as of September 30, 2026: ₹5,082 crores
  • Order book composition: Aerospace & Defense (36%), Automotive & Auto Components (22%), General Engineering (21%), Electronics Manufacturing Services (12%), Die & Molds (4%), Other sectors (5%)

Revenue Mix Q2 FY27:

  • Aerospace & Defense: 21%
  • Automotive & Auto Components: 36%
  • General Engineering: 28%
  • Electronics & Manufacturing Services: 7%
  • Die & Molds: 1%
  • Other industries: 7%

Capacity Expansion & Development

Current Capacity Status:

  • Additional 10,000 machines capacity put to use during Q2 FY27
  • Foundry operations expected to commence in coming days
  • New manufacturing capacity at Huron added in November 2025
  • Dispatches from expanded Huron capacity expected in Q3 and Q4 FY27

Product Development:

  • Recently developed MTX 100 - compact 5-axis multitasking turn-mill center
  • Combines turning, milling, gear cutting, and grinding operations in single setup
  • Designed for aerospace, defense, automotive, EV, and oil & gas industries

Government Schemes & Incentives

ECMS Scheme Approval:

  • Received approval for capital investment of over ₹1,020 crores over next 5 years
  • Capital incentive of 25% (₹255 crores from central government)
  • Expecting matching grant from Gujarat state government, potentially reaching 50%+ subsidy
  • Aim to develop in-house manufacturing capabilities for CNC controllers, motors, drives, and operator interfaces

Huron Subsidiary Update

Financial Performance:

  • Q2 FY27 revenue: ₹44 crores
  • Net profit: ₹43 crores
  • Maintains guidance of ₹300-325 crore revenue for FY27 with 5-10% EBITDA margin

Operational Status:

  • Government approvals starting to come through for licenses
  • 1-2 machines received permissions recently
  • Expected ramp-up in Q3 and Q4 FY27
  • Pending revenue recognition of approximately ₹65 crores from previous year awaiting clearance

Management Guidance & Outlook

Volume Guidance:

  • Expecting to cross 8,000 machines for FY27 (H1: 3,317 machines)
  • Targeting 4,700+ machines in H2 FY27

Growth Expectations:

  • 25-30% growth expected for combined Jyoti and Huron business
  • Maintain 25% EBITDA margin commitment

Cash Flow:

  • Operating cash flow at 47% of EBITDA in H1
  • Expecting to reach 50% by year-end

Supply Chain & Competitive Landscape

Supply Chain Challenges:

  • CNC controller supply chain facing increased lead times due to global demand surge
  • Japan, Germany, Italy, and US experiencing 60%+ month-on-month order intake growth
  • Company maintained adequate inventory levels to mitigate impact

Competitive Position:

  • Domestic manufacturing share increased from 20% to 38% over 10 years
  • 62% of Indian CNC machine demand still met through imports
  • Focus on increasing execution capabilities to capture more market share

R&D and Future Strategy

Controller Development:

  • 110+ engineers currently working in controller division
  • Planning to add 40-50 more engineers in next 6 months
  • Target to become mechatronics company in next 2-3 years
  • Future plans to enter industrial automation and robotics

Foundry Capacity:

  • Existing foundry capacity: 1,500 tonnes per month
  • New foundry capacity will increase to 5,000 tonnes per month
  • Using lost foam vacuum casting technology for up to 15 tonne single piece casting

Capital Expenditure

FY27 Capex:

  • Already invested: ₹183 crores (including advances)
  • Total projected outlay: ₹450-500 crores
  • Foundry completion is final component

Electronic Components Manufacturing:

  • Total project cost: ₹1,250-1,300 crores
  • First phase investment: ₹400-450 crores in one year
  • Expected subsidy: ₹200 crores in first year