AXISCADES Technologies (532395) Q1 24/25 earnings summary

Executive summary

• Q1 FY25 revenue from contracts was ₹223.256 crore, up 4.5% YoY; Engineering Services revenue grew 15% YoY.

• EBITDA was ₹31 crore and PAT was ₹17 crore, up from ₹6 crore in Q1 FY24.

• Aerospace and Defence led growth; management expects FY25 performance to track plan despite pressure in select verticals and lumpy Defence deliveries.

Financial highlights

• Revenue from contracts was ₹22,325.60 lakhs versus ₹21,363.85 lakhs YoY; total income was ₹23,377.91 lakhs.

• EBITDA was ₹31 crore at 13.9% margin; PAT was ₹17 crore at 7.2% margin, versus ₹6 crore and 2.6% in Q1 FY24.

• Profit before tax was ₹2,421.28 lakhs versus ₹848.07 lakhs YoY; total comprehensive income was ₹1,645.11 lakhs versus ₹703.69 lakhs.

• Finance costs fell to ₹806.79 lakhs from ₹2,010.54 lakhs YoY.

Outlook and guidance

• Management expects to deliver the FY25 plan, with Defence production, cost actions and digital initiatives supporting performance through the year.

• FY25 Defence production revenue is targeted at ₹170–175 crore versus ₹90 crore in FY24; Q2 production and margins are expected to be strong, with deliveries weighted to the next three quarters.

• FY26 ambition remains ₹1,600 crore revenue and ₹160–170 crore bottom line; 10%–15% of the revenue plan is expected to be inorganic.

• Engineering Services EBIT margin is targeted to improve by 150–200 bps by FY25-end; annual finance cost is expected at ~₹30 crore.

• Aerospace revenue is expected to improve in Q2 after factory shutdowns; semiconductor recovery is expected in H2, with OEM inventory softness persisting for two more quarters.