Admach Systems Ltd (ADMACH) Q2FY27 Concall Transcript - Sep-2026 Qtr
Moderator (Aurum Connect): Ladies and gentlemen, good day, and welcome to Admach Systems Limited H1 FY '27 earnings conference call, hosted by Aurum Connect. As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star, then zero on your touchtone phone. Please note that this conference is being recorded. This conference call may contain forward-looking statements about the company, which are based on the beliefs, opinions, and expectations of the company as on date of this call. These statements are not the guarantees of future performance and involve risks and uncertainties that are difficult to predict. I now hand the conference over to Ms. Jhanvi Patil from Aurum Connect. Thank you, and over to you, ma'am.
Jhanvi Patil (Aurum Connect): Thank you. Good afternoon, everyone, and a warm welcome to all of you. I am Jhanvi Patil from Aurum Connect, representing the Investor Relations team of Admach Systems Limited. On behalf of the company, I would like to thank you all for joining us for the H1 FY '27 earnings call. We are joined today by the company's senior management team, Mr. Ajay Longani, who is Managing Director, and Mr. Anshul Patel, who is Accounts Manager. Thank you for taking the time and join us today. I would like to hand over the call to Mr. Ajay for his opening remarks. Following his address, we will open the floor for Q&A. Over to you, sir.
Ajay Longani (Admach Systems Ltd): Yeah. Very good afternoon, everyone. I am Ajay Longani, Managing Director at Admach Systems Limited. On behalf of Admach Systems Limited, I welcome you all all the participants to our H1 FY '27 earnings call. Thank you for your continued interest in and interest in and support of the company. Let me begin by sharing our financial performance for the first half of FY '27. We have delivered strong year-on-year growth, with revenue from operations increasing by 48.34% to 42.2
Ajay Longani (Admach Systems Ltd): EBITDA grew by 47.62% to 9.95 crores, while profit after tax increased by 45.91% to 6.53 crores. This performance reflects our growing execution capabilities and demand for our specialized engineering solutions. Coming to the larger industry opportunity, we believe Admach is positioned in several important segments of India's industrial growth story, particularly defence and nuclear sectors, steel processing, and advanced testing systems. India's increasing focus on defence indigenization is creating opportunities for domestic engineering companies capable of delivering specialized machinery, testing equipment, and precision-engineered systems. The government's emphasis on domestic procurement and modernization provides a favorable long-term environment for companies with established technical capabilities and execution experience. Admach has experience in developing non-destructive testing, or NDT, systems used for inspect- inspecting critical components, including equipment associated with industrial and defence applications. Our solutions support the detection of defects and help ensure the quality and structural integrity of components where reliability and safety are essential. Another important opportunity is emerging in in the nuclear and atomic energy sector. India's long-term ambition to expand nuclear power capacity creates potential demand for specialized machinery, inspection systems, and engineering solutions across the nuclear ecosystem. In this context, our 10.62 crore rupees order from Nuclear Fuel Complex under the Department of Atomic Energy is an important milestone for Admach. It demonstrates our ability to participate in a specialized and technically demanding area of the engineering industry. We believe this experience can strengthen our credentials as we explore relevant future opportunities with nuclear sector organizations, including the Nuclear Fuel Complex and other institutions involved in India's nuclear energy ecosystem. However, our focus will remain on pursuing opportunities that match our technical capabilities, qualification requirements, and execution strengths. Beyond defence and nuclear energy, we continue to see opportunities in steel processing, oil and gas, and industrial testing. Increasing manufacturing activity, capacity expansion, and the need for higher quality inspection systems support the long-term demand outlook for specialized machinery. Our established product portfolio and international technology collaborations position us to address a range of these requirements. Coming to our business visi- visibility, our order book stood at 77.42 crores as of the latest reporting period. Our priority is to execute these orders efficiently, maintaining delivery commitments and convert our order book into revenue and cash flows. We are also focused on strengthening our relationships with established domestic and international customers, expanding our technological capabilities and improving operational efficiency. Our integrated manufacturing setup allows us to design and manufacture customized solutions while maintaining control over quality and execution. Looking ahead, we intend to build on our existing capabilities and selectively pursue opportunities in the sectors where technical expertise, reliability, and customer qualification create meaningful entry barriers. We believe that our presence across steel machinery, NDT systems, defence-related applications, and nuclear sector opportunities provide a platform for sustainable long-term growth. At the same time, we remain conscious of the importance of disciplined working capital management, timely project execution, and maintaining profitability as the business scale.
Ajay Longani (Admach Systems Ltd): Q&A session. Thank you. Thank you very much.
Moderator (Aurum Connect): Thank you. We will now begin with the question and answer session. Anyone who wishes to ask a question may press * and 1 on the touchtone telephone. If you wish to remove yourself from the question queue, you may press * and 2. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Ashish Soni from Capital Limited. Please go ahead.
Ashish Soni (Capital Limited): Sir, this nuclear opportunity you are pursuing with other organizations, is it similar to what work you have done, or it's something different you are pursuing right now?
Moderator (Aurum Connect): Ajay, sir? Ajay, sir? Ajay sir, are you there? Ladies and gentlemen, we have lost the connection for Ajay sir. Just give us a moment while we have them back on line. [music] [music] [music] Thank you for your patience. We have Ajay sir on line with us. Sir, please go ahead.
Ajay Longani (Admach Systems Ltd): Yeah, please Some question was coming [inaudible] disconnected here.
Ashish Soni (Capital Limited): Okay. So question was, sir, nuclear order I think you are pursuing with other organizations in India. So is it similar to the order what you have executed or is it something different you are trying right now?
Ajay Longani (Admach Systems Ltd): I didn't get your question related to India.
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