Synopsis: The share of this aerospace-focused company rose 6 percent after a strong management outlook, supported by high aerospace revenue exposure and robust long-term order visibility, driving growth expectations.
The share of this company, which is specialized in Aerospace (structural components, engine parts), Consumer Durables (toys, cookware), and Electronics Manufacturing Services (EMS), came into focus after the company CEO mentioned his strong outlook on the company in an interview with CNBC.
With a market capitalization of Rs 11,941 crore, Aequs Ltd’s shares on Friday made a day high of Rs 195 per share, up by 5.67 percent from its previous day’s close price of Rs 184.55 per share. The shares of the company have given a return of 20 percent since its listing in December 2025.
Management Outlook
- Strong aerospace visibility drives growth outlook: Aravind Melligeri said Aequs is well-positioned for long-term growth, supported by strong global aerospace demand. With around 90 percent of revenues coming from aerospace, the company benefits from deep order visibility and expects limited impact from near-term aviation volatility.
- Long-term aerospace demand visibility: Aravind Melligeri said aerospace accounts for about 89 percent of Aequs’ business, supported by strong global demand. He noted that Airbus and Boeing have over 10-year order backlogs, ensuring stable visibility, while any deferred orders are likely to be absorbed by other customers.
- Growth outlook driven by aerospace ramp-up: Aravind Melligeri said Aequs expects around 35 percent growth in its aerospace business, supported by rising aircraft production at Airbus and Boeing and a strong 10-year OEM order backlog. He added that concerns around airline spending slowdown mainly affect aftermarket services, where the company has limited exposure, keeping it relatively insulated from near-term demand shocks.
- Limited impact from client shift in consumer segment: Aequs said one consumer client has stopped placing new orders with Aequs Engineered Plastics (AEPPL), though the 2016 master supply agreement remains in place. The move is seen as a strategic shift by the client rather than a structural disruption, and the company is working through a separation arrangement.
- Consumer business outlook remains intact: The consumer segment, which contributes around 11–12 percent of revenues, is still expected to grow steadily. Aravind Melligeri said the broader order book remains strong across other customers, including consumer electronics, with the segment expected to scale up sharply. He added that improving utilisation in this business should support faster revenue growth and a quick improvement in margins.
About the Company
Aequs is a leading Indian precision manufacturing company focusing on aerospace, consumer durables, and electronics, boasting a fully integrated aerospace ecosystem within its Special Economic Zone (SEZ) in Belagavi. The company serves global OEMs with services like machining, forging, and surface treatment.
Aequs serves major aerospace OEM customers, including Airbus, Boeing, Safran, Collins Aerospace, and SAAB, supporting long-cycle programs with integrated manufacturing, testing, and validation capabilities.
Financial Highlights: The revenue from operations grew by 50.9 percent to Rs 326 crore in Q3 FY26, corresponding to the same quarter in the last financial year, and the operating margin improved YoY to 9 percent in Q3 FY26. Accompanied by a net loss of Rs 43 crore in Q3 FY26 from Rs 40 crore in Q3 FY25, resulting in a negative EPS of Rs 0.64 per share in Q3 FY26.
Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
The post Aerospace Stock Jumps 6% After CEO Signals Strong Growth Outlook and Order Visibility appeared first on Trade Brains.