Synopsis: Dynamatic Technologies reported consolidated revenue from operations of Rs. 1,621.34 crore for FY26, up 15.5% YoY, with the Aerospace segment emerging as the main growth driver. The Board also approved a final dividend of Rs. 5 per share and reappointed Udayant Malhoutra as CEO & Managing Director for another five years.

The Board considered and approved both standalone and consolidated audited financial results for the quarter and year ended March 31, 2026. On a consolidated basis, revenue from operations for FY26 stood at Rs. 1,621.34 crore, compared to Rs. 1,403.80 crore in FY25. For Q4FY26, consolidated revenue came in at Rs. 433.16 crore, up from Rs. 380.67 crore in Q4FY25, marking a 13.8% year-on-year growth.

Profit After Tax (PAT) for the full year was Rs. 32.41 crore, down about 24.7% from Rs. 43.04 crore in FY25. The decline was mainly due to exceptional items of Rs. 27.57 crore, largely related to restructuring charges in the Hydraulic division of Dynamatic Limited UK (DLUK).

The UK Hydraulic Division faced significant headwinds stemming from European supply chain disruptions, which rendered the operations financially unsustainable. The company has taken a strategic decision to transfer specific production operations from DLUK’s Hydraulic division to India while retaining select product lines in the UK. 

Two rounds of workforce reduction provisions recognised Rs. 6.88 crore in Q2FY26 and Rs. 6.42 crore in Q4FY26 were booked as exceptional items. Additionally, a non-cash tax charge of Rs. 5.62 crore was recognised due to an intra-group IP transfer to Dynamatic Manufacturing Limited (DML).

Excluding these exceptional items, operational performance remained strong. Profit before tax and exceptional items for FY26 stood at Rs. 77.76 crore, up 41.1% from Rs. 55.11 crore in FY25. On a standalone basis, revenue from operations reached Rs. 783.93 crore, growing 22.7% from Rs. 639.18 crore in FY25, while standalone PAT was Rs. 44.47 crore.

Segment-wise, the Aerospace division was the strongest performer with revenue of Rs. 775.61 crore, up 27.6% from Rs. 607.85 crore in FY25. The Hydraulics segment reported Rs. 487.38 crore, up 6.4%, while Metallurgy recorded Rs. 358.10 crore, a 7% increase. Aerospace now contributes about 48% of consolidated revenue, highlighting the company’s growing role in the global aerospace supply chain.

On the dividend front, the Board recommended a final dividend of Rs. 5 per equity share of Rs. 10 face value for FY2025-26, subject to shareholder approval. Combined with the interim dividend of Rs. 5 per share declared in February 2026, the total dividend for FY26 stands at Rs. 10 per equity share. The record date has been fixed as August 28, 2026 for dividend entitlement.

In a significant leadership development, the Board approved the re-appointment of Dr. Udayant Malhoutra as CEO and Managing Director for a further term of five years, effective October 1, 2026 through September 30, 2031, subject to shareholder approval. 

Dr. Malhoutra, who has been associated with the company for over four decades, has been credited with transforming Dynamatic into a globally competitive knowledge-based organisation. Separately, the Board noted the resignation of Mr. Dietmar Hahn as Non-Executive & Non-Independent Director with effect from May 19, 2026, following his retirement from Eisenwerk Erla, Germany Dynamatic’s foreign subsidiary.

Shares of Dynamatic Technologies Limited declined 7.01% to Rs. 10,102 on 20 May 2026 around 10:50 IST, compared to the previous close of Rs. 10,864. The stock opened at Rs. 10,583 and traded between Rs. 9,950 and Rs. 10,583 during the session. Around 0.28 lakh shares were traded, with a total traded value of about Rs. 28.03 crore, giving the company a market capitalization of roughly Rs. 6,860 crore.

Company Overview

Dynamatic Technologies Limited, headquartered in Bangalore, is a diversified engineering company with a 45-year legacy. The company operates across three key segments — Hydraulics, Aerospace, and Metallurgy — with manufacturing facilities in India, the United Kingdom, the United States, and Germany. Dynamatic is a Tier-1 supplier to global aerospace OEMs and also manufactures precision hydraulic systems and automotive iron castings. Its Aerospace division supplies critical aerostructures and components for leading global platforms.

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