Order Book
₹6,500+ Cr
+QoQ growth (not quantified)
Order book provides multi-year revenue visibility; has grown every quarter since listing.
AZADENGINEERING
Other
10 Feb 2026
Azad Engineering Ltd — Q3 FY26
Azad Engineering delivered a strong Q3 FY26 with revenue of ₹155.9 crore (+31% YoY), EBITDA of ₹60.1 crore (+40.7% YoY), and PAT of ₹34 crore (+40.1% YoY).
✓ Verified against BSE filing
2-Min Summary
✦ AI-Generated from Full Transcript
Azad Engineering delivered a strong Q3 FY26 with revenue of ₹155.9 crore (+31% YoY), EBITDA of ₹60.1 crore (+40.7% YoY), and PAT of ₹34 crore (+40.1% YoY). EBITDA margin expanded to 38.6% (+260 bps YoY), driven by favorable product mix and operating leverage despite ramp-up costs. The order book remains robust at ₹6,500+ crore, providing multi-year visibility. Management reiterated 25%+ revenue growth guidance over the coming years, with margin sustainability in the 33-35% range. Key growth drivers include deepening engagements with Safran, Pratt & Whitney, and Rolls-Royce for aerospace components, and strong demand from energy OEMs for gas turbines. Capacity expansion is on track, with stabilization expected by FY27 and full utilization by FY28. Risk: Execution delays in new plant qualifications or workforce ramp-up could temper near-term growth.
Key Numbers
9M PAT vs FY25 Full Year
Exceeded FY25 PAT
+55% YoY (9M PAT growth)
9-month profitability already surpassed full-year FY25 level, demonstrating scalability.
Indigenous Jet Engine Progress
~75% complete
N/A
India's first 100% indigenous jet engine, developed with GTRE, expected to be ready in a few months.
Workforce Addition Rate
150-200 per month
N/A
Company is hiring and training 150-200 people monthly to support capacity expansion.
Management Guidance
25%+ Revenue Growth Over Coming Years
Management expects revenue to grow at 25% or more annually, backed by order book and plant readiness.
Management guidance revenueEBITDA Margin Guidance of 33-35%
Long-term EBITDA margin target of 33-35% is sustainable, with current quarter at 38.6%.
Management guidance marginsNew Plant Stabilization by FY27, Max Utilization by FY28
New facilities for GE, Mitsubishi, and Siemens will stabilize operations by FY27 and reach maximum utilization by FY28.
Management guidance expansionAerospace Revenues Starting from FY27
Revenues from new aerospace customers (Rolls-Royce, etc.) are expected to begin in FY27.
Management guidance growthKey Risks
New Plant Qualification Delays
Stabilization of new plants is complex and may take longer than expected, delaying revenue ramp-up.
medium · management_commentaryWorkforce Availability and Training
Hiring and training skilled workers at scale is challenging; any shortfall could impact production targets.
medium · analyst_questionWorking Capital Days Higher Than Target
Inventory days are elevated due to ramp-up; management targets 140-150 days but current levels are higher.
low · analyst_questionDependence on Few Large OEMs
Revenue concentration on key customers (GE, Mitsubishi, Siemens) poses risk if any program is delayed.
medium · data_observationNotable Quotes
We are not chasing scale at the cost of margins. Every growth initiative is aligned with long-term sustainability and value creation.
The capacity we are creating is substantial. These are not incremental expansions. We are building multifold scalable infrastructure designed to support long-term growth visibility already secured through firm contracts.
We are building capacity against firm contracts and long cycle programs. There is no speculative expansion.
Frequently Asked Questions
What was Azad Engineering's revenue in Q3 FY26?
Azad Engineering reported revenue of ₹159 Cr in Q3 FY26, representing a +31% change compared to the same quarter last year.
What guidance did Azad Engineering management give for FY27?
25%+ Revenue Growth Over Coming Years: Management expects revenue to grow at 25% or more annually, backed by order book and plant readiness. EBITDA Margin Guidance of 33-35%: Long-term EBITDA margin target of 33-35% is sustainable, with current quarter at 38.6%. New Plant Stabilization by FY27, Max Utilization by FY28: New facilities for GE, Mitsubishi, and Siemens will stabilize operations by FY27 and reach maximum utilization by FY28. Aerospace Revenues Starting from FY27: Revenues from new aerospace customers (Rolls-Royce, etc.) are expected to begin in FY27.
What are the key risks for Azad Engineering in FY27?
Key risks include New Plant Qualification Delays — Stabilization of new plants is complex and may take longer than expected, delaying revenue ramp-up.; Workforce Availability and Training — Hiring and training skilled workers at scale is challenging; any shortfall could impact production targets.; Working Capital Days Higher Than Target — Inventory days are elevated due to ramp-up; management targets 140-150 days but current levels are higher.; Dependence on Few Large OEMs — Revenue concentration on key customers (GE, Mitsubishi, Siemens) poses risk if any program is delayed..
Did Azad Engineering meet its previous quarter's guidance?
Scorecard data is being built as historical quarters are processed.
Where can I read the full Azad Engineering Q3 FY26 concall transcript?
The full earnings conference call transcript or source release is available on the linked source material. This page provides an AI-generated summary verified against official BSE/NSE filings.