Aeroflex Industries (AEROFLEX) Q3 25/26 earnings summary

Executive summary

• Achieved highest-ever quarterly revenue, EBITDA, and PAT in Q3 FY26, driven by value-added products and expansion into data center and AI infrastructure applications.

• Export business grew 30% year-over-year despite tariff headwinds, reflecting strong customer retention and execution capabilities.

• Major operational milestones include capacity expansion, entry into liquid cooling solutions, and new plant setup in Pune.

• Initiated manufacturing and first commercial dispatch of advanced flow control components for liquid cooling in data centers.

• Ongoing investments in automation and advanced manufacturing to enhance throughput and margins.

Financial highlights

• Q3 FY26 total income: INR 121.12 crores, up 21% year-over-year and 9% quarter-over-quarter.

• Q3 EBITDA: INR 28.58 crores (28% YoY growth), margin at 23.59%, up 141 bps YoY.

• Q3 PAT: INR 16.49 crores (8% YoY growth), PAT margin 13.62%.

• Nine-month FY26 revenue: INR 316.10 crores; EBITDA: INR 70.45 crores (22.2% margin); PAT: INR 38 crores (12% margin).

• Earnings per share for Q3 FY26: INR 1.28; for 9MFY26: INR 2.93.

Outlook and guidance

• Healthy order book, strong customer relationships, and increasing penetration in global data center and AI infrastructure markets support a positive outlook.

• Targeting sustained growth momentum and long-term shareholder value.

• Liquid cooling skid assembly capacity to be expanded to 15,000 units per annum by June 2026.

• Commissioning of new annealing plant and automation lines targeted by December 2026.

• EBITDA margin guidance maintained at 23%-25% for the next couple of years.