Emmforce Autotech Ltd — Q4 FY26 earnings call
Summary generated by AI from the official transcript Emmforce Autotech 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
Emmforce Autotech reported FY26 revenue of Rs 113 crore, up 27% year-over-year, with EBITDA of Rs 23 crore, up 28%, while PAT remained around Rs 8 crore. Management attributed the moderation in PAT to manpower hiring for a new export project and higher depreciation related to capex at its subsidiary EMSPL. For FY27 and FY28, management gave revenue targets of approximately Rs 195 crore and Rs 240 crore respectively, split across automotive and agri segments.
1 statement from this call is not shown because its supporting quote could not be reproduced within our quoting limits. Nothing shown here is affected: every statement on this page carries its verified quote.
Numbers mentioned
Revenue: INR113 crores (FY26)
p. 5
“Coming to the financial performance. So financial year '26 revenue grew strongly to INR113 crores.”
Ashok Mehta, page 5 of the filed PDF · View the filing
Revenue growth: 27% (FY26 vs FY25)
p. 5
“That is a 27% growth year-over-year, while the EBITDA increased to INR23 crores, which is 28% year-over-year, maintaining a healthy operating margins despite continued investments towards capacity expansion, talent acquisition and future growth initiatives.”
Ashok Mehta, page 5 of the filed PDF · View the filing
EBITDA: INR23 crores (FY26)
p. 5
“That is a 27% growth year-over-year, while the EBITDA increased to INR23 crores, which is 28% year-over-year, maintaining a healthy operating margins despite continued investments towards capacity expansion, talent acquisition and future growth initiatives.”
Ashok Mehta, page 5 of the filed PDF · View the filing
PAT: INR8 crores (FY26)
p. 5
“PAT remained at around INR8 crores.”
Ashok Mehta, page 5 of the filed PDF · View the filing
Four-year revenue CAGR: 35% (FY22-FY26)
p. 5
“The four-year revenue CAGR is about 35% and four-year EBITDA CAGR is around 27%.”
Ashok Mehta, page 5 of the filed PDF · View the filing
EBITDA margin: around 20% (FY26)
p. 5
“EBITDA margins remained healthy at around 20%, while revenue for the year came in at INR113 crores, well within our guided range of INR100 crores to INR125 crores.”
Ashok Mehta, page 5 of the filed PDF · View the filing
Net debt-to-equity ratio: 0.48x (FY26)
p. 6
“the company continues to remain comfortable with the net debt-to-equity ratio of 0.48x.”
Ashok Mehta, page 6 of the filed PDF · View the filing
Installed capacity: approximately INR350 crores
p. 4
“the company currently has an installed capacity of approximately INR350 crores split between around INR200 crores for automotive segment and INR150 crores for Agri segment.”
Ashok Mehta, page 4 of the filed PDF · View the filing
Automotive capacity utilization: 50% to 55%
p. 4
“The current utilization levels remain at about 50% to 55% in automotive and 8% to 10% in agri, placing us in a strong operative leverage curve where incremental growth can meaningfully translate into margin expansion going forward.”
Ashok Mehta, page 4 of the filed PDF · View the filing
Order book: exceeding INR500 crores
p. 5
“Today, we have a multiyear order book exceeding INR500 crores, providing strong medium-term revenue visibility.”
Ashok Mehta, page 5 of the filed PDF · View the filing
Export order revenue contribution FY26: About INR5.5 to INR6 crores (FY26)
p. 6
“About INR5.5 to INR6 crores I believe. So, this was only in the month of March, practically in the month of March only.”
Ashok Mehta, page 6 of the filed PDF · View the filing
TAFE blade business annual size: about INR4 crores
p. 8
“So typical annual business they have is about INR4 crores for blade itself.”
Ashok Mehta, page 8 of the filed PDF · View the filing
OEM contribution target: about 40% (end of FY27)
p. 12
“So I think it is there in the presentation also but it is we are expecting that in the automotive business we should be having about 40% business coming in from OEMs by the end of this year.”
Ashok Mehta, page 12 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.
Automotive segment revenue — approximately INR165 crores · FY27
stated firmly by Ashok Mehta
p. 6
“For financial year '27, we are targeting revenue of approximately INR165 crores from the automotive business and around INR30 crores from the Agri segment.”
Ashok Mehta, page 6 of the filed PDF · View the filing
Agri segment revenue — around INR30 crores · FY27
stated firmly by Ashok Mehta
p. 6
“For financial year '27, we are targeting revenue of approximately INR165 crores from the automotive business and around INR30 crores from the Agri segment.”
Ashok Mehta, page 6 of the filed PDF · View the filing
Overall revenue — nearly INR240 crores with agri contributing close to INR50 crores · FY28
stated as an aspiration by Ashok Mehta
p. 6
“Further, for FY28, we are aiming to scale overall revenues to nearly INR240 crores with agri business contributing close to INR50 crores.”
Ashok Mehta, page 6 of the filed PDF · View the filing
EBITDA margin — 20% to 22%
stated as an aspiration by Ashok Mehta
p. 6
“We continue to target healthy EBITDA margins in the range of 20% to 22%, along with PAT margins of around 10%, supported by operating leverage, backward integration benefits and improved scale efficiencies over coming years.”
Ashok Mehta, page 6 of the filed PDF · View the filing
PAT margin — around 10%
stated as an aspiration by Ashok Mehta
p. 6
“We continue to target healthy EBITDA margins in the range of 20% to 22%, along with PAT margins of around 10%, supported by operating leverage, backward integration benefits and improved scale efficiencies over coming years.”
Ashok Mehta, page 6 of the filed PDF · View the filing
OEM contribution to revenue mix — in the range of 60%
stated as an aspiration by Ashok Mehta
p. 16
“I would say sir we can expect OEM contribution to be in the range of 60% going forward as we foresee. Yes.”
Ashok Mehta, page 16 of the filed PDF · View the filing
Long-term drivetrain supply order commercial production — Q3 FY27
stated firmly by Ashok Mehta
p. 5
“In addition, we have secured a long-term drivetrain supply order with an estimated annual opportunity of about INR10.5 crores for which the PPAP samples have already been submitted to the customer and the commercial production is expected to commence in Q3 financial year '27 this year.”
Ashok Mehta, page 5 of the filed PDF · View the filing
US export order annual revenue contribution — approximately INR60 crores · FY27
stated firmly by Ashok Mehta
p. 5
“The already secured INR470 crores U.S. export order has already entered into commercial production at full run rate and is expected to contribute approximately INR60 crores of annual revenue in FY27.”
Ashok Mehta, page 5 of the filed PDF · View the filing
Asset turnover — three and a half to four times · next financial year
stated as an aspiration by Ashok Mehta
p. 19
“And if we look into the next year then this is going to be maybe three and a half to four times. So this will keep growing over the years.”
Ashok Mehta, page 19 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 it was about Rs 5.5-6 crore, generated only in March.
Answered by Ashok Mehta
Asked by Jatin Chawla: What was the final revenue contribution of the large export order in FY26?
p. 6
“About INR5.5 to INR6 crores I believe. So, this was only in the month of March, practically in the month of March only.”
Ashok Mehta, page 6 of the filed PDF · View the filing
Management attributed this to customers rationalizing inventories due to tariff-related cash flow pressure.
Answered by Ashok Mehta
Asked by Jatin Chawla: Why has the base business (excluding the export order) been stagnant?
p. 7
“Typically, the customers were trying to adjust some sort of inventories, as we understand, because there were tariffs which customers were paying.”
Ashok Mehta, page 7 of the filed PDF · View the filing
Management said the response from customers during a recent US visit was very positive with no signs of recession-driven slowdown.
Answered by Ashok Mehta
Asked by Jatin Chawla: How does management see growth on the base business given tariff and currency changes?
p. 7
“People are quite okay in terms of, we were, in fact, doubtful that whether the market is actually being hit by some recession or something, but none of the customers were showing anything that they see any sort of thing like that, and the orders are also continuing rather more than what we expected.”
Ashok Mehta, page 7 of the filed PDF · View the filing
Management cited TAFE's approval and growing orders, distributor traction, and ongoing discussions with large OEMs.
Answered by Ashok Mehta
Asked by Jatin Chawla: What gives confidence in scaling agri revenue from a Rs 4 crore run rate to Rs 30 crore for FY27?
p. 8
“So over a period of time, now they will keep growing their business with us because we are the best bet available with them, the nearest source available to them.”
Ashok Mehta, page 8 of the filed PDF · View the filing
Management said working capital is already sanctioned by banks and export credit facilities are available for up to six months.
Answered by Ashok Mehta
Asked by Hiren Patel: How will additional working capital needs be funded as revenue scales?
p. 9
“So since working capital is going to be required for sure because when we are into the market of U.S. and the transit time is also two months.”
Ashok Mehta, page 9 of the filed PDF · View the filing
Management said they prefer niche, non-generic OEM business that avoids margin pressure.
Answered by Ashok Mehta
Asked by Hiren Patel: Will scaling toward OEM business pressure EBITDA margins?
p. 10
“You know what the type of business we prefer to do is not generic OEM business. We try to do a sort of niche business where parts are not really simple.”
Ashok Mehta, page 10 of the filed PDF · View the filing
Management said risks were generic to any business and cited a broader world economic slowdown as the main uncontrollable factor.
Answered by Ashok Mehta
Asked by Hiren Patel: What are the top risks that could delay FY27/FY28 guidance?
p. 10
“So there is nothing specific that I would say that, okay, this could be a risk that could really slow down our things because ultimately, India, if you see when we are into the exports market, so the whole world is basically now looking into India as a supplier because this is the only low-cost country.”
Ashok Mehta, page 10 of the filed PDF · View the filing
Management said margins should be better going forward once the one-off manpower cost drag from the new project passes.
Answered by Ashok Mehta
Asked by Varun Arora: How sustainable is the current 20-21% margin given cost pressures across the auto ancillary sector?
p. 11
“On the margin also we don't really see any, rather, I don't really see. I mean to say, if you see the, you know, cost of manufacturing has basically reduced if we see overall.”
Ashok Mehta, page 11 of the filed PDF · View the filing
Management said the guidance was kept deliberately conservative even though actual growth could be higher.
Answered by Ashok Mehta
Asked by Himanshu Bisani: Why does the FY27 auto revenue guidance of Rs 165 crore show no growth in the base business excluding the new export order?
p. 13
“So sometimes what happens is when you try and project more growth people try to believe that this is unbelievable. So we just tried to remain conservative here and see let the people see what all is happening.”
Ashok Mehta, page 13 of the filed PDF · View the filing
Management said the merger process is ongoing and expected to happen after listing on the main board.
Answered by Ashok Mehta
Asked by Ashish Khandelwal: What is the status of the planned merger of the group company?
p. 15
“So the idea is we are, you know, as we have mentioned in our presentation also that by all by all means we are going to merge it, you know, immediately after we are on the main board, but there is a very high possibility that we'll give you a surprise in the coming few months.”
Ashok Mehta, page 15 of the filed PDF · View the filing
Management said rationalization is still ongoing but orders have come back strongly and unexpectedly.
Answered by Ashok Mehta
Asked by Jatin Chawla: Has the replacement business inventory rationalization ended, and are orders returning?
p. 17
“Actually sir, the inventory rationalization is still going on, but at the same time the orders are also they have also flown in pretty well. That's a surprising thing.”
Ashok Mehta, page 17 of the filed PDF · View the filing
Management said shipments are on time and freight cost increases have been minor.
Answered by Ashok Mehta
Asked by Jatin Chawla: Has the West Asia conflict impacted freight costs or shipment times?
p. 18
“No sir, basically not even rather all our shipments are reaching on time, honestly, and freight also is not really gone up so much as we were expecting.”
Ashok Mehta, page 18 of the filed PDF · View the filing
Risks flagged
Customer inventory rationalization due to tariffs impacted base business growth
p. 7
“Typically, the customers were trying to adjust some sort of inventories, as we understand, because there were tariffs which customers were paying.”
Ashok Mehta, page 7 of the filed PDF · View the filing
25% tariff on customers affecting their cash flows
p. 7
“So there is a 25% tariff that customers are paying, and that was basically hitting their cash flows.”
Ashok Mehta, page 7 of the filed PDF · View the filing
Potential global economic slowdown could affect all businesses including theirs
p. 10
“But then it is going to be affecting everyone, not only us.”
Ashok Mehta, page 10 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.