aeroflex
Financial Performance Highlights:
Q3 FY25:
Total income increased by 35% YoY to INR 100 crores.
EBITDA grew by 48% YoY, with an EBITDA margin of 22%.
PAT increased by 68% YoY, with a PAT margin of 15%.
Capacity Expansion:
Increase in stainless steel hose and braiding capacity from 16.5 million meters to 20 million meters by March 2026.
Addition of assembly stations from 40 to 70 in the next year.
Miniature Metal Bellows Production:
Capacity of 240,000 pieces annually, expected completion by March 2026.
Hyd-Air Subsidiary:
Infrastructure upgrade with quality lab and R&D center enhancements.
Addition of CNC machines and securing major railway coach factory orders.
Sustainability Initiatives:
Commissioned a 750-kilowatt rooftop solar project to reduce energy costs and carbon footprint.
Key Management Appointments:
Appointment of Mr. Kiran Kagalkar as COO, effective February 1, 2025, bringing over 37 years of experience, including at Parker Hannifin India.
Capex Plans:
Planned investments of INR 54 crores for expansion of stainless steel hose and assembly capacity.
INR 23 crores for miniature metal bellows production.
INR 18 crores for Hyd-Air subsidiary upgrades.
Export & Domestic Market Performance:
Strong growth in domestic sales, especially in oil & gas and steel industries.
Focus on expanding exports to the U.S. and exploring opportunities in Middle East and Africa.
Exports growth expected to accelerate in FY26.
Future Outlook:
Expected growth in revenue and margins with a focus on assembly business and new product segments.
Potential revenue contribution from metal bellows projected at INR 80-90 crores, and miniature bellows at INR 25-30 crores annually.
Hyd-Air’s revenue expected to reach INR 40-50 crores in the coming years.
Profitability Targets:
Targeting an EBITDA margin of 24-25% by FY27, with focus on high-margin products and operational efficiency.
Fundraising Plans:
Approved QIP (Qualified Institutional Placement) to fund future growth, including potential international acquisitions in the U.S. and Europe.
