Company Overview

Sigma Advanced Systems Limited (formerly Megasoft Limited, BSE: 532408, NSE: SIGMAADV) has undergone a transformative year with exceptional financial performance and strategic corporate developments. The company issued its 26th AGM notice and FY25-26 annual report pursuant to SEBI Regulations 30 and 34, with the virtual AGM scheduled for September 30, 2026.

Financial Performance Highlights

Standalone Performance (FY26):

  • Revenue from Operations: ₹15,764.16 lakhs vs ₹10,735.60 lakhs (FY25)
  • Other Income: ₹22,943.58 lakhs vs ₹4,157.03 lakhs (FY25)
  • Profit Before Tax: ₹23,398.64 lakhs vs ₹3,235.81 lakhs (FY25)
  • Profit After Tax: ₹20,062.91 lakhs vs ₹2,529.67 lakhs (FY25)
  • EPS: ₹11.38 vs ₹1.44 (FY25)

Consolidated Performance (FY26):

  • Revenue from Operations: ₹49,187.74 lakhs (358% increase from PY)
  • Profit After Tax: ₹268.04 crore vs loss of ₹13.98 crore (FY25)
  • EPS: ₹15.21 vs loss of ₹0.79 (FY25)
  • Total Comprehensive Income: ₹26,863.43 lakhs vs loss of ₹2,095.15 lakhs (FY25)

Exceptional items included profit on sale of Extrovis AG (₹7,689.40 lakhs) and profit on sale of land and building (₹18,463.74 lakhs).

Transformational Corporate Developments

Megasoft-Sigma Merger

  • Scheme of Amalgamation sanctioned by NCLT Chennai Bench on December 16, 2025
  • Appointed date: April 1, 2024; Effective date: December 31, 2025
  • Company name changed effective January 12, 2026
  • Authorized share capital increased from ₹200 crore to ₹250 crore
  • Paid-up equity capital increased from ₹73.77 crore to ₹176.24 crore
  • 10,24,69,664 equity shares allotted at 3.16:1 swap ratio

Strategic Acquisitions

1. Nasmyth Group Limited (UK) - Acquired October 31, 2025 for ~£19 million (₹228 crore)

2. AS Strategic Private Limited - 51% stake acquired in April 2026 for ₹20 crore

3. Bromford Precision Solutions Limited (UK) - 100% acquisition completed July 22, 2026

Order Book and Business Segments

  • Total Order Book: ~₹8,000 crore as of April 2026
  • Aerospace: ~75% of total (₹6,000 crore), with ~66% in aero-engine segment
  • Defense Export: ~₹1,400 crore
  • Defense Electronics: ~₹250 crore
  • Contract duration up to 8 years

Post-Balance Sheet Developments

Q1 FY27 Performance

  • Revenue from operations: ₹374 crore (16% QoQ growth)
  • Operational EBITDA: ₹61 crore (11% QoQ growth)
  • Operational EBITDA margin: 16%

New Contract Wins

  • Bromford secured long-term agreement with Rolls-Royce worth £125 million (~₹1,600 crore) in August 2026

Capital Raising

  • Preferential issue raising ~₹460 crore
  • Paid-up capital increased to ₹189.93 crore (18,99,28,952 shares)

Regulatory Compliance and Governance

Auditors issued an unqualified opinion confirming compliance with Ind AS and adequate internal financial controls. The company faced:

  • GST disputes totaling ₹16.81 crore paid under protest
  • Multiple income tax appeals pending with CIT(A) and High Court
  • SEBI fines paid to BSE and NSE for non-compliance with board composition requirements

No dividend recommended for FY26 due to growth plans and capital requirements.

Manufacturing and Subsidiary Structure

  • Total Area: 300,000+ sq. ft. across 8 locations in India and UK
  • Employee Strength: 700+ FTEs as of March 31, 2026
  • Subsidiaries: Velapan Systems, Indorus Systems, Sigma Advanced Systems UK Limited (including Nasmyth Group and Bromford)
  • Associate: Indrajaal Drone Defence India Private Limited (37.81% stake)

The company has established itself as an integrated aerospace-defence platform with significant growth momentum and strong order visibility.