Astra Microwave Products (532493) Q2 25/26 earnings summary

Executive summary

• Delivered strong Q2 and H1 FY26 performance with improved margins, robust order book, and continued profitability, supported by a favorable revenue mix and transition to integrated solutions.

• Over 10 years of revenue growth, with a diversified portfolio in defense, space, meteorology, and exports, and strategic R&D and joint ventures driving innovation and global reach.

• Standalone and consolidated unaudited financial results for Q2 and H1 FY26 were approved, with no material misstatements found by auditors.

• Major deliveries included modules for key radar systems, new orders in defense refurbishment, and participation in major defense and space programs.

• Convertible warrant proceeds and a subsidiary dissolution were notable events in H1 FY26.

Financial highlights

• Standalone H1 FY26 revenue grew 7.2% YoY to Rs. 410 Cr; consolidated revenue up 7.7% to Rs. 414 Cr; Q2 standalone revenue at Rs. 213 Cr.

• Standalone H1 FY26 EBITDA at Rs. 85 Cr (20.6% margin), PAT up 13.5% YoY to Rs. 34 Cr; consolidated EBITDA at Rs. 89 Cr (21.4% margin), PAT at Rs. 40 Cr.

• Gross profit margin improved to 46.9% (standalone) and 48.8% (consolidated) in H1 FY26.

• Standalone and consolidated cash and cash equivalents increased significantly to Rs. 9,726.59 lakhs and Rs. 10,147.94 lakhs as of September 30, 2025.

• ARC JV contributed Rs. 7 Cr PBT in Q2 on Rs. 78 Cr revenue; targeting Rs. 350 Cr revenue for FY26.

Outlook and guidance

• FY26 revenue guidance at Rs. 1,150–1,200 Cr, with margins expected to be maintained or slightly improved; targets 15–20% revenue growth over the next 3–5 years.

• Management targets doubling turnover in 3–4 years, with a long-term goal of $1 billion revenue.

• Order inflow expected at Rs. 400 Cr in Q3 and Rs. 600 Cr in Q4; order book at Rs. 1,916 Cr standalone and Rs. 2,209 Cr consolidated as of September 30, 2025.

• Growth to be back-ended, with significant ramp-up from FY27 as major projects enter production.

• Expects higher revenue contribution from advanced systems and global markets.