Financial Performance Highlights
Quarterly Performance (Q2 FY27 vs Q2 FY26):
- Revenue from operations: ₹1,230.0 Mn, up 98% YoY (from ₹619.8 Mn)
- EBITDA: ₹490.1 Mn, up 164% YoY (from ₹185.4 Mn); Margin: 39.8% (vs 29.9%)
- Profit After Tax (PAT): ₹317.7 Mn, up 103% YoY (from ₹156.7 Mn); Margin: 24.4% (vs 21.8%)
- Finance cost: ₹20.3 Mn, up 46% YoY
- Tax Expense: ₹123.8 Mn, up 153% YoY
Half-Yearly Performance (H1 FY27 vs H1 FY26):
- Revenue from operations: ₹2,306.2 Mn, up 85% YoY (from ₹1,249.7 Mn)
- EBITDA: ₹882.6 Mn, up 130% YoY (from ₹383.4 Mn); Margin: 38.3% (vs 30.7%)
- PAT: ₹596.4 Mn, up 71% YoY (from ₹348.0 Mn); Margin: 24.3% (vs 23.8%)
- The consolidation of Hobel Bellows is effective from May 1, 2026.
Operational and Strategic Highlights
Order Book & Business Visibility:
- The company reported a consolidated order book of ₹8,546 Mn (₹855 Crore) as of September 30, 2026.
- This comprises ₹2,660 Mn in Confirmed Purchase Orders and ₹5,890 Mn from Long-Term Agreements (LTAs) and Award Letters.
New Contracts & Long-Term Agreements:
- Secured a 10-year Long-Term Agreement (LTA) with Honeywell Aerospace for aero-engine components and control systems.
- Received an award letter worth ~USD 43 million from a French Tier-1 aerospace manufacturer for aerostructure components.
- Signed an LTA with FACC valued at USD 7.5 million for aerostructure components.
First Article Inspection (FAI) Pipeline:
- A total of 596 parts are expected for qualification by the end of FY27.
- 250 FAIs have been completed across Precision Components & Assemblies (PCA) customers.
- 346 additional FAIs are in the pipeline for qualification. The breakdown is:
- Semiconductor Manufacturing Equipment: 60 proved, 20 in pipeline
- Aerospace: 160 proved, 322 in pipeline
- Oil and Gas: 0 proved, 4 in pipeline
- Others: 30 proved, NA in pipeline
Capacity Expansion & Capex:
- Installation of an automated special-process cell is underway, with NADCAP certification targeted by the end of FY27.
- The company has an installed capacity of 6.9 Lakh machine hours (as of H1 FY27).
International Expansion - Saudi JV:
- The company formed a 51:49 Joint Venture with the Yusuf Bin Ahmed Kanoo (YBAK) Group to establish a manufacturing facility in Dammam, Saudi Arabia.
- The total planned investment in the JV is ~USD 30 Mn.
- The first equity tranche of SAR 30 Mn (₹ ~66.5 Crore) has been completed, with Unimech infusing SAR 15.3 Mn and YBAK infusing SAR 14.7 Mn.
- The JV will focus on serving the Oil & Gas, Utilities, Defence, and Mining sectors.
Acquisition - Hobel Bellows:
- Acquired Hobel Bellows, a manufacturer of metallic bellows and exhaust manifolds, for an all-cash consideration of ₹450 Crore.
- Hobel operates a 200,000 sq. ft. facility in the Visakhapatnam SEZ and has ~90% export revenue.
- The acquisition adds capabilities in bellows, expansion joints, and flexible metallic hoses, providing entry into power generation, rail, marine, and defense sectors.
Strategic Investment - Dheya Engineering:
- Entered an exclusive manufacturing agreement with Dheya Engineering for micro gas turbine engines and sub-systems, including hydrogen and propulsion solutions.
Credit Rating
- The company's credit rating was reaffirmed as 'CARE A; Stable' by CARE Ratings.
- It was also assigned a '5A' rating on the highest scale by Dun & Bradstreet (D&B).
Management Commentary
Mr. Anil Kumar P, Chairman & Managing Director, stated that H1 FY27 revenue growth of 85% was driven by robust demand and strategic initiatives. He highlighted the transition from short-cycle tooling to recurring 'flying part' manufacturing with global aerospace OEMs and noted that the semiconductor development pipeline has begun generating commercial revenues in H1, with a sharp step-up anticipated in H2 FY27.
Financial Position Overview (H1 FY27)
- Total Equity: ₹7,981.6 Mn
- Total Borrowings: ₹1,609.9 Mn (Non-Current: ₹302.9 Mn, Current: ₹1,307.0 Mn)
- Total Assets: ₹10,795.8 Mn
- Goodwill: ₹3,219.9 Mn (post-acquisition)
- Trade Receivables: ₹1,226.0 Mn