• Type of Event: Q2 and H1 FY27 Earnings Conference Call.
  • Date and Time: The call was held on Friday, 30th October 2026 at 3:00 P.M. IST.
  • Purpose: Discussion of the company's financial results for the second quarter and first half of FY27 and a strategic business update.
  • Management Participants: Mr. Ankur Shah (Managing Director), Mr. Manish Shah (Chief Financial Officer), and the IR team.
  • Host: The call was hosted by Antique Stock Broking Limited, with Mr. Sanjeev as the moderator.
  • Financial Period Discussed: Q2 FY27 (Quarter ended September 2026) and H1 FY27 (Half Year ended September 2026).

Financial Highlights (Standalone) for Q2 FY27:

  • Revenue: INR753 million, a growth of 55.7% Year-on-Year (YoY).
  • EBITDA: INR203 million, a growth of 119.9% YoY.
  • EBITDA Margin: 26.9%, an expansion of 786 basis points YoY.
  • EBIT: INR207 million, a growth of 125% YoY.
  • Net Profit: INR151 million, a growth of 120% YoY.
  • Net Profit Margin: 20.1%, an improvement of 590 basis points YoY.

Business and Strategic Updates:

  • Order Book & Pipeline: The company has a Purchase Order (PO) book of approximately INR109 crore. The tender pipeline for which bids have been submitted is approximately INR305 crore. The win ratio is generally around 50%.
  • Execution Guidance: Management expects to execute most of the current order book in Q3 FY27, with some spillover into Q4 FY27.
  • Product Revenue Mix: Defence products contribute 92-93% of total revenue, while dairy products contribute 7-8%. Within defence, Bulb Bars contribute 55-60%, armoured steel for the Indian Army contributes 15-20%, and welding consumables contribute 15-20%.
  • Joint Ventures & New Ventures:
  • VABO JV: Setup is complete with an investment of INR5-6 crores. Approvals are in final stages. Some revenue is optimistically expected in Q4 FY27.
  • X-Sub Robotics (AUVs): The company has been formed, and team building is in progress. Revenue is not expected for at least 12-18 months.
  • Taharabadkar Solutions (Smart Ammunition): A developmental project; team building is ongoing. Revenue is not expected for at least 12-18 months.
  • MoUs Signed:
  • An MoU with a Belgian company (PETA 1) to manufacture their products in India for export to Europe and potentially for the Indian market later.
  • An MoU with a Defence Prime for the development and supply of specialized ammunition components (hardened steel) for arms.
  • Capacity & Expansion: The company has a revenue capacity of INR400-450 crores from its current facilities. It has procured an additional 50,000 sq. ft. of land for future expansion.
  • Receivables: The increase in trade receivables (to INR89 crores from INR35 crores) was attributed to a large portion of sales occurring in late August and September, with a standard 45-60 day payment cycle. Management stated this is a timing/cut-off issue and not a concern.
  • PLI Scheme: The company has been awarded PLI for certain expansions, and incentives are expected to fructify from FY28 onwards.
  • Exports: Limited current exports for Belgian barriers. The VABO JV is also expected to generate export revenue. Exports of certain specialized products like DRDO-grade welding wire are not permitted.

Additional Notes Section

  • This document is the official transcript of the earnings conference call, filed with the National Stock Exchange of India Limited.
  • The filing is made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, and SEBI Circular No. SEBI/HO/CFD/CFD-PoD-1/P/CIR/2023/123 dated July 13, 2023.
  • The transcript contains detailed financial data and management commentary from the call.