Synopsis:
Azad Engineering Ltd a small-cap aerospace components manufacturer, reported a 71.90% YoY increase in Q1FY26 net profit, drawing investors’ interest.
A small-cap stock engaged in the manufacturing of aerospace components is in the spotlight today after the announcement of financial results for Q1FY26, with a 71.90 percent jump in Net Profits. Check the article below to learn about their performance.
With a market capitalization of Rs. 10,129 crore, the shares of Azad Engineering Limited were trading at Rs. 1,567.70, up by 4.5 percent from its previous closing price of Rs. 1,500.20. In today’s trading session, the stock has touched its high of Rs. 1,611.50.
Q1FY26 Results
Azad Engineering Ltd reported Rs. 137.09 crore in revenue for the first quarter of FY26, an increase of 39.30 percent over the Rs. 98.41 crore for the same period in FY25. However, from Rs. 126.93 crore in Q4 FY25, revenue increased by 8 percent sequentially.
The company’s EBITDA stood at Rs. 49 crore in Q1FY26, increased by 7.48 percent compared to Rs. 45.59 crore in Q4FY25, whereas it increased by 48.26 percent compared to Rs. 33.05 crore in Q1FY25.
The consolidated net profit for the first quarter of FY26 was Rs. 29.43 crore, which was 18.62 percent higher than the Rs. 24.81 crore reported in the previous quarter and 71.90 percent higher year over year than the Rs. 17.12 crore in Q1 FY25.
Profit growth was also reflected in earnings per share (EPS), which increased to approximately Rs. 4.56 in Q1 FY26 from Rs. 4.15 in Q4 FY25 and Rs. 2.90 in Q1 FY25.
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About the Company
Azad Engineering Ltd. is a highly specialized manufacturer of complex, mission- and life-critical components for industries that require high quality and regulatory compliance. With 15 years of operational experience, the company has established itself as a Tier 1 supplier, exporting to 12 countries and accounting for approximately 92 percent of total revenue in FY25.
Azad has a large operational manufacturing area of approximately 20,000 square meters, with another 94,899 square meters under development. The company runs 45+ qualified manufacturing processes and employs approximately 1,700 qualified people.
It has delivered 3.09 million units with zero parts per million defects, catering to customers who require highly rigorous vendor qualifications, which can take somewhere around 30 to 48 months.
Azad Engineering supplies products to three major industries. In aerospace and defence, where the market is expected to reach Rs. 2,190 billion by 2029, it provides parts to six of the top global manufacturers and supplies major aircraft makers like Honeywell, General Electric, and Eaton Aerospace.
In the energy sector, which could grow to Rs. 310 billion by 2029, Azad supplies five major companies that make turbines, including those that together control about 75 percent of the world’s gas turbine market.
Some of its major energy customers are Siemens Energy, General Electric, Mitsubishi Heavy Industries, MAN Energy Solutions, and Honeywell. In the oil and gas market projected to reach Rs. 930 billion by 2029, Azad supplies parts to one of the world’s largest companies making drilling equipment.
In short: Azad Engineering reported Q1 FY26 revenue of Rs. 137.09 crore, up 39.3 percent YoY, and net profit of Rs. 29.72 crore, up 71.90 percent YoY, with strong sequential growth as well, and continues to serve global leaders in the aerospace, energy, and oil and gas industries.
Written By Akshay Sanghavi
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