Management Commentary

PARVAT SRINIVAS REDDY (Managing Director) stated the company has consistently focused on indigenisation of critical technologies in strategic sectors. The company has pioneered complex mechanical systems across sectors including fuel handling equipment for nuclear reactors, propulsion systems for Aerospace & Defence programmes, and products for fuel cell applications. For the current fiscal year, the company has guided for revenue growth of 80% with EBITDA margin of 24% ±100 bps.

Financial Performance - Q2 FY27 Consolidated

  • Revenue from Operations: ₹406.8 Cr (Q2 FY26: ₹135.6 Cr), up 200.0% YoY
  • Gross Profit: ₹190.3 Cr (Q2 FY26: ₹69.4 Cr), up 174.1% YoY
  • Gross Profit Margin: 46.8% (Q2 FY26: 51.2%)
  • EBITDA: ₹99.2 Cr (Q2 FY26: ₹17.0 Cr), up 483.3% YoY
  • EBITDA Margin: 24.4% (Q2 FY26: 12.5%)
  • PAT: ₹59.8 Cr (Q2 FY26: ₹4.2 Cr), up 1309.5% YoY
  • PAT Margin: 14.7% (Q2 FY26: 3.1%)

H1 FY27 Consolidated Performance

  • Revenue from Operations: ₹767.5 Cr (H1 FY26: ₹292.2 Cr), up 162.7% YoY
  • Gross Profit: ₹354.5 Cr (H1 FY26: ₹154.3 Cr), up 129.7% YoY
  • Gross Profit Margin: 46.2% (H1 FY26: 52.8%)
  • EBITDA: ₹184.2 Cr (H1 FY26: ₹45.4 Cr), up 305.9% YoY
  • EBITDA Margin: 24.0% (H1 FY26: 15.5%)
  • PAT: ₹110.1 Cr (H1 FY26: ₹15.1 Cr), up 630.9% YoY
  • PAT Margin: 14.3% (H1 FY26: 5.2%)

Balance Sheet Position (as of September 2026)

  • Total Equity: ₹932.7 Cr (March 2026: ₹822.6 Cr)
  • Total Borrowings: ₹466.3 Cr (Current: ₹318.5 Cr, Non-current: ₹147.8 Cr)
  • Total Assets: ₹2,328.2 Cr (March 2026: ₹1,743.4 Cr)
  • Inventories: ₹678.8 Cr (March 2026: ₹500.5 Cr)
  • Trade Receivables: ₹285.8 Cr (March 2026: ₹336.8 Cr)

Cash Flow Statement (H1 FY27)

  • Cash generated from operations: ₹382.4 Cr
  • Direct taxes paid: ₹32.4 Cr
  • Net Cash from Operating Activities: ₹350.0 Cr
  • Net Cash from Investing Activities: -₹407.3 Cr
  • Net Cash from Financing Activities: ₹56.6 Cr

Business Updates and Order Book

  • Clean Energy order book: ₹4075.5 Cr as of Q2 FY27
  • Received single largest order inflow of ₹504 Cr for Kaiga 5 & 6 nuclear projects
  • Received ₹130 Cr+ orders in FY27 from reactors due for refurbishment
  • Received ₹45 Cr first article orders from SLB for data centre infrastructure solutions

New Product Development

  • Added Fuel Transfer system in Civil Nuclear Power
  • Qualified for new products like End Shield and Calandria
  • Expanded wallet share in fuel cell segment with various new products
  • Qualified first articles for global Aerospace customers including Thales and GKN
  • Developed and delivered critical aerospace components including landing gear parts for LCA Tejas
  • Engaged in development of Main Landing Gear Support Structure assembly for AMCA program
  • More than 25% of revenue derived from products developed over past 4-5 years

Capacity Expansion

  • Commissioned dedicated Aerospace facility in January 2025
  • Established NADCAP accredited special processes facility with approvals covering 30+ processes
  • Setting up greenfield facility for Oil & Gas and Phase 2 expansion of Clean Energy - Fuel Cells, expected commissioning by end November 2026
  • Phase 3 expansion for Clean Energy Fuel Cells to be completed by March 2027
  • Leased manufacturing facility for Data Centre Infrastructure Solutions

Sector-wise Performance

Civil Nuclear Power: Supplies critical fuel handling assemblies for reactor core. Partnered with NPCIL for 35+ years. Government aims for 100 GWe capacity by 2047.

Aerospace & Defence: Supplies propulsion systems for launch vehicles, structural assemblies for LCA Tejas and AMCA programs. Export MNC Aerospace vertical serving Thales, GKN, IAI, Rafael, Elbit.

Clean Energy: Supplies products for Solid Oxide fuel cells, hydro power (draft tubes, spiral casings), and wind energy. Expanding into data centre infrastructure solutions.

Products & Others: Supplies box-build assemblies, ball screws, planetary roller screws. Commenced exports of ball screws to IAI.

Strategic Priorities

  • Drive Operational Excellence through process optimization and digitalization
  • Expand Capacity & Capabilities through greenfield and brownfield expansions
  • Accelerate Topline Growth by increasing wallet share with existing customers
  • Maintain Capital Discipline with prudent capital allocation
  • Strengthen Cash Flows through working capital optimization
  • Create Sustainable Long-Term Value through scalable capabilities

Historical Financial Performance (FY26)

  • Revenue: ₹876.2 Cr (FY25: ₹676.0 Cr)
  • EBITDA: ₹171.2 Cr (FY25: ₹120.9 Cr)
  • EBITDA Margin: 19.5% (FY25: 17.9%)
  • PAT: ₹94.0 Cr (FY25: ₹52.9 Cr)
  • PAT Margin: 10.7% (FY25: 7.9%)

Shareholding Pattern (September 2026)

  • Promoters: 29.23%
  • FIIs: 20.87%
  • DIIs: 27.09%
  • Public: 22.80%
  • Outstanding Shares: 3,07,59,591
  • Market Capitalization: ₹23,886 Cr as on 30th September 2026