Aeroflex Industries announced its Q3 FY26 results, reporting its highest-ever quarterly revenue, EBITDA, and PAT. The company's performance was driven by a continued focus on value-added products and expansion into high-growth applications like data centers and AI infrastructure. Despite tariff headwinds, export business grew 30% year-on-year. The company achieved an EBITDA margin of 23.5% and added 1 million meters of hose capacity, bringing the total installed capacity to 17.5 million meters per annum. The remaining 2.5 million meters are expected to be commissioned by Q2 of the next financial year. A key strategic highlight was the entry into high-performance liquid cooling solutions for data centers, with the first commercial dispatch of advanced flow control components and skid assemblies. Skid assembly capacity is being expanded to 15,000 units per annum by June 2026, with a new plant at Chakan, Pune, to support production. Additionally, 6 new assembly stations were added, increasing the total to 46. The company rationalized the capital expenditure for the Miniature Metal Bellows project from ₹23 crore to ₹10.5 crore, revising the installed capacity from 240,000 pieces to 50,000 pieces per annum. The balance funds will be utilized for other expansion projects. Investments in process automation, including robotic and automated welding stations and an annealing plant, are progressing as planned for completion by the end of the calendar year. Aeroflex's subsidiary, Hyd-Air, generated revenues of ₹8.5 crore in the quarter, compared to ₹2.9 crore in the same quarter last year. The company's total income for Q3 FY26 stood at ₹121 crore, a 21% year-on-year growth. EBITDA was ₹28.5 crore (28% growth YoY) with a margin of 23.6%, and PAT was ₹16.5 crore (8% growth YoY) with a margin of 13.5%. Cash PAT increased to ₹22.75 crore. For the first nine months of FY26, total income was ₹317 crore, EBITDA was ₹70.5 crore (22.2% margin), and PAT was approximately ₹38 crore (12% margin). Value-added products contributed 54% of total sales during this period. The company expects a strong outlook for the remaining quarter, supported by a healthy order book, strong customer relationships, and increasing penetration in the global data center and AI infrastructure market.
