Aartech Solonics Ltd — Q4 FY26 earnings call
Summary generated by AI from the official transcript Aartech Solonics Ltd filed with BSE on 01 Jun 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Aartech Solonics held its first virtual investor call to discuss results for Q4 and FY26, reporting revenue of Rs 40 crore for the year with management describing a record turnover and improved profitability versus FY25. Management discussed the product portfolio including BTS 2000, Control and Relay Panels, defence applications and the Alternative Adaptive Power Module, along with recent order wins in Indonesia, Qatar, Oman, China and Africa. Management also detailed the order book, export mix, margins on the flagship product, and progress on a new manufacturing facility near Narmadapuram.
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Numbers mentioned
Revenue: 40 CR (FY26)
p. 7
“Revenues have steadily grown year on year. And as of 25-26, we stand at 40 CR.”
Arati Nath, page 7 of the filed PDF · View the filing
Cash and cash equivalents: Rs. 328 lakhs (FY26)
p. 9
“As we can see, by the end of it, the cash and cash equivalents were a healthy number of Rs. 328 lakhs vis-à-vis Rs. 168 lakhs last year.”
Arati Nath, page 9 of the filed PDF · View the filing
Order book at beginning of financial year: Rs. 10 crores (FY27)
p. 15
“As of the beginning of the financial year, we had around Rs. 10 crores of order book in hand.”
Arati Nath, page 15 of the filed PDF · View the filing
Bids submitted: approximately Rs. 15 crores
p. 15
“And as far as the number of bids that we have right now participated in are concerned, they are approximately Rs. 15 crores in value.”
Arati Nath, page 15 of the filed PDF · View the filing
BTS 2000 average margin: 35% to 40%
p. 12
“however, from a target point of view, when I'm talking about our flagship product, BTS 2000, average margins are somewhere around 35% to 40 %.”
Arati Nath, page 12 of the filed PDF · View the filing
Export share of revenue: around 10% (FY27)
p. 12
“In this year, if I have to talk about the export percentage, vis-a-vis the total revenues, it would be somewhere around 10&, still 90% of it we are focusing from the domestic markets.”
Arati Nath, page 12 of the filed PDF · View the filing
EBITDA margin: 15% (FY26)
p. 14
“What I'm trying to ask is this year we did about 15 % of EBITDA.”
Devesh Shrimali, page 14 of the filed PDF · View the filing
Exceptional expense in prior year: Rs. 4 Cr (FY25)
p. 8
“Definitely seems to be 3x times higher because in 2025 we had incurred an exceptional expense of around Rs. 4 Cr, which resulted in a low PAT and a low EBITDA.”
Arati Nath, page 8 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Order book — around Rs. 25 crores · by end of June
stated conditionally by Arati Nath
p. 15
“Obviously, the timelines for the results vary. However, by the end of June, we are expecting that our order book should come to somewhere around Rs. 25 crores.”
Arati Nath, page 15 of the filed PDF · View the filing
Narmadapuram facility commercial operations — end of 26-27 or early 27-28
stated as an aspiration by Arati Nath
p. 10
“And as I just mentioned, that commercial operations are targeted by the end of 26-27 or early 27-28.”
Arati Nath, page 10 of the filed PDF · View the filing
Civil and infrastructure work at Narmadapuram facility — next nine to ten months
stated conditionally by Arati Nath
p. 9
“The civil and infrastructure work is underway, and we are expecting that that should be done in the next nine to ten months.”
Arati Nath, page 9 of the filed PDF · View the filing
Patent for Adaptive Alternative Power Module — next 12 to 18 months
stated conditionally by Arati Nath
p. 10
“There is also a patent that we have filed for this particular product under the civil-military collaboration, and we are expecting it in the next 12 to 18 months for the patent to come in our books.”
Arati Nath, page 10 of the filed PDF · View the filing
Defence segment revenue potential for Aartech — 50 to 100 crores
stated as an aspiration by Arati Nath
p. 12
“But yes, broadly, I can say that for Aartech, and to serve its customers with the kind of size Aartech has right now, the market potential looks somewhere around 50 to 100 crores.”
Arati Nath, page 12 of the filed PDF · View the filing
Organic growth trajectory
stated as an aspiration by Amit Anil Raje
p. 13
“So, I would say to answer your question specifically, as far as the CAGR is concerned, whatever organic traction you can see from our numbers is most definitely likely to continue because these are, while diversified, it's across various domains which are all progressing reasonably stably.”
Amit Anil Raje, page 13 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management said each product has a different life cycle and margin profile, with defence seen as a high-potential but slow, high-barrier segment.
Answered by Arati Nath
Asked by Shailesh Jain: Which segment (BTS 2000, Ultracapacitors, Control and Relay Panels, defence applications) has the highest long-term scalability and margin potential, and what revenue scale can be achieved over the next two years?
p. 11
“Today, when we are sitting here, we all see that defence is one of the most sunrise sectors. And because a lot of emphasis is being given by our government for “Make in India”, definitely this sector looks very, very good in terms of, or potentially good, in terms of revenues and margins.”
Arati Nath, page 11 of the filed PDF · View the filing
Management estimated the overall addressable defence market and Aartech's realistic share of it.
Answered by Arati Nath
Asked by Shailesh Jain: Can you give a numerical estimate of defence segment revenue potential over two years?
p. 12
“But let's say, even if we are looking at 1% of it, then obviously the numbers are in front of you.”
Arati Nath, page 12 of the filed PDF · View the filing
Management said margins on the flagship BTS 2000 product are around 35-40%, driven by the technology platform.
Answered by Arati Nath
Asked by Shailesh Jain: What margins are being achieved on Middle East orders won against ABB, and are margins being compromised to win bids?
p. 12
“And that is where the technology, our technology, our platform which is getting used is the plus point that we are encashing right now.”
Arati Nath, page 12 of the filed PDF · View the filing
Management said innovation is the source of leverage and that margins vary by product, with the flagship product's higher margin diluted by more competitive products.
Answered by Amit Anil Raje
Asked by Devesh Shrimali: As the company grows organically and inorganically, will operating leverage improve margins from the current ~15% EBITDA level?
p. 14
“So, Arati just mentioned that our flagship product enjoys a 35-40% margin. Obviously, that tapers down to a net of 10-15% because of other more competitive products.”
Amit Anil Raje, page 14 of the filed PDF · View the filing
Management did not provide a specific numeric target, saying they would address it when reached.
Answered by Amit Anil Raje
Asked by Devesh Shrimali: What is management's aspiration for becoming a Rs 100 crore company in two years?
p. 15
“We'll cross the bridge when we get there. And it will be all for all of us to take a look at and observe.”
Amit Anil Raje, page 15 of the filed PDF · View the filing
Management gave the order book size at the start of the year and bids in progress, with an expected order book figure by end of June.
Answered by Arati Nath
Asked by Shailesh Jain: Can you share the current order book and major order sources, plus execution timelines?
p. 15
“Obviously, the timelines for the results vary. However, by the end of June, we are expecting that our order book should come to somewhere around Rs. 25 crores.”
Arati Nath, page 15 of the filed PDF · View the filing
Risks flagged
Control and Relay Panel segment faces tough price-based competition with thin margins
p. 11
“But there is very, very tough competition in terms of margins, and it's a very price-sensitive product.”
Arati Nath, page 11 of the filed PDF · View the filing
High entry barriers and long gestation periods in the defence segment
p. 11
“However, the entry barriers are very high. In this particular segment, and a long gestation period is there for, which includes the trials, validations, and performance metrics need to be very, very strong.”
Arati Nath, page 11 of the filed PDF · View the filing
Export markets are unpredictable due to geopolitical conditions
p. 12
“So, sir, to actually understand the export markets and with the current geopolitical situations, it's very unpredictable.”
Arati Nath, page 12 of the filed PDF · View the filing
High working capital requirement due to long project execution cycles
p. 9
“So, as we can see, that the changes in working capital is a pretty significant number, and because of the kind of industry that we are in, it requires high working capital.”
Arati Nath, page 9 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.