In , Aequs Ltd (Engineering - Light - General) is outperforming Nifty 500 with +47.5% relative strength. Fundamentals: Weak. On a 5-week streak.
Weekly presence in the outperformers list. Green = beating Nifty 500 by 10%+ that week.
Based on Q3 FY26 earnings • Updated Apr 18, 2026
What: Aerospace Order Book: USD 814 Mn
“Our aerospace segment continues to be profitable with a strong order book of USD $814 million... We expect this to get delivered over the next five years.”
What: Consumer Utilization: 31%
Impact: 18-20% EBITDA margin target
“As our utilization improves with scale, we expect operating leverage to improve our profitability.”
What: PLI Approval: MeitY approval
“During the quarter, we received approval from MeitY for PLI incentives under the electronic component manufacturing scheme.”
What: Export Mix: 86%
“This setup has kept us close to customers while at the same time capitalizing on India's position as a value-oriented supplier.”
What: Aerospace Parts Added: 195 in Q3
“Added 195 new aerospace parts during the quarter, enhancing portfolio depth and customer wallet share.”
What: Revenue growth of 51% YoY to ₹3,262 Mn.
“In Q3, coordinated planning and shop-floor execution supported stable operations across our facilities, with revenues growing 51% YoY.”
Earnings deceleration risks from management commentary
Trigger: Provisioning for changes in labor codes.
Impact: PAT impact: ₹167 Mn
Management view: One-time in nature; adjusted PAT shows underlying improvement.
Monitor: labor
Trigger: Global trade dynamics and FTA negotiations.
Management view: Aerospace has zero tariffs; consumer customers typically bear duties.
Monitor: geopolitical
Key quotes from recent conference calls
“Partnered with Accel India and Vagus Defence to enter design and manufacturing of Unmanned Aeriel Vehicles (UAV) primarily for India defence requirements. [Initiative: Entry into Unmanned Aerial Vehicles (UAV)]”
“PAT for the quarter was at INR negative 426 million, but this includes both the impact of the labor code expense and IPO related expenses. [Risk (labor): MEDIUM]”
“Aerospace did not have any kind of tariffs between EU and India. It has been Zero. And whereas consumer toys have certain tariffs. [Risk (geopolitical): LOW]”
“Our aerospace segment continues to be profitable with a strong order book of USD $814 million... We expect this to get delivered over the next five years. [Catalyst (order_book_or_contract_wins): ACTIVE]”
Headline numbers from the latest earnings call
Revenue
₹3,262 Mn
Why: Growth was driven by the ramp-up in aerospace programs and scaling up of the consumer business, particularly consumer electronics.
Highest quarterly revenue in the company's history.
EBITDA
₹381 Mn
Why: Driven by operating leverage in the aerospace segment and improved absorption despite the consumer segment being in a scale-up phase.
Significant margin expansion from 4% in Q3 FY25 to 12% in Q3 FY26.
PAT
₹-426 Mn
Why: Losses were impacted by one-time expenses of ₹167 Mn related to labor law changes and IPO costs.
Adjusted PAT would have been a loss of ₹259 Mn, a 35% YoY improvement.
Other Highlights
• Aerospace order book stands at USD 814 Mn as of Q3 FY26.
• Net debt-to-equity improved to 0.1x following IPO proceeds.
• Aerospace segment ROCE improved to 18.5% for 9M FY26.
Sub-sector-specific signals from the latest concall — each with management's stated reason for the change
Aerospace Order Book
USD 814 Mn
Why: Maintained at a high level with continuous conversion of RFP pipeline.
Aerospace Capacity Utilisation (India)
71%
Why: Reflecting ramp-up in existing programs and incremental capacity added.
Consumer Capacity Utilisation
31%
Why: Supported by capacity additions and increasing throughput in consumer electronics.
Aerospace Parts Portfolio
5,221
Why: Continuous addition of new parts to enhance portfolio depth.
Net Debt to Equity
0.1x
Why: Reflecting deleveraging following the IPO and improved capital structure.
Net Working Capital Days
120 days
Why: Broadly in line with the long-cycle nature of aerospace programs.
Aerospace Segment ROCE
18.5%
Why: Driven by operating leverage in the mature aerospace segment.
Annual Machining/Molding Hours
3.96 Mn
Why: Total installed capacity across aerospace and consumer segments.
CNC Machines Count
424
Why: 206 for Aerospace and 218 for Consumer as of Dec 2025.
Export Revenue %
86%
Why: Strong global reach with 22 export markets.
Forward-looking targets from management for Long-term
Revenue Growth Target
20%
OPM Guidance
20%
20%+
Targeting 18-20% EBITDA margins for the consumer segment at steady state.
Guidance Changes
PAT Positive Timeline: End of FY27 → Under evaluation
Revenue, profit and margin growth rates
| Metric | YoY | 3Y CAGR | Trend |
|---|---|---|---|
| Revenue | +51% | +7% | Insufficient Data |
| PAT (Net Profit) | -7% | -50% | Insufficient Data |
| OPM | 9.0% | +600 bps | Insufficient Data |
The above analysis is parsed from publicly available earnings call transcripts. This is educational research only — not investment advice. Last updated Apr 18, 2026.
Based on publicly available financial data. This is educational research, not investment advice.
Aequs Ltd's latest quarterly results (Dec 2025) show
Aequs Ltd's profit is declining with an insufficient_data trend.
Aequs Ltd's revenue growth trend is insufficient_data.
Aequs Ltd's operating margin is insufficient_data.
Aequs Ltd's long-term compounding rates
Aequs Ltd's earnings growth is insufficient_data with insufficient_data on a sequential basis.
Aequs Ltd appears significantly overvalued based on our fair value analysis.
Aequs Ltd is rated Weak with a fundamental score of 21/100. This score is calculated from objective financial metrics
Aequs Ltd has a debt-to-equity ratio of N/A.
Aequs Ltd's return ratios over recent years
Aequs Ltd's operating cash flow is positive (FY2025).
Aequs Ltd currently does not pay a significant dividend (yield 0.00%).
Aequs Ltd's shareholding pattern (Mar 2026)
Aequs Ltd's promoter holding has remained stable recently.
Aequs Ltd has been outperforming Nifty 500 for 5 consecutive weeks, indicating building momentum.
Aequs Ltd is an established outperformer with 5 weeks of consecutive Nifty 500 outperformance.
Aequs Ltd has 6 key growth catalysts identified from recent earnings analysis
Aequs Ltd has 2 key risks worth monitoring
In Q3 FY26, Aequs Ltd's management highlighted
Aequs Ltd's management has provided the following forward guidance for Long-term
Aequs Ltd's most important sub-sector-specific KPIs from the latest concall
Based on quantitative research signals, here is why Aequs Ltd may be worth studying
Aequs Ltd investment thesis summary:
Aequs Ltd's forward outlook based on current data signals
The above FAQs are generated from publicly available earnings data and conference call transcripts. This is educational research only. Sector Alpha is not SEBI registered and does not provide investment advice.
