Airfloa Rail Technology Limited has secured a new order worth ₹1.21 Crores from the Furnishing Division of Integral Coach Factory, Indian Railways. The contract, received on July 2, 2026, involves the supply and installation of 26 sets of panelling in side walls, partitions, and roofs. This order is expected to be executed within a period of three months.

The order was awarded by a domestic entity, Integral Coach Factory, Chennai. The terms of the contract are subject to Indian Railways Standard Conditions of Contract and General Conditions of Contract for the Stores Department of Indian Railway. The mode of despatch is by road, and inspection will be conducted by a third-party agency.

Contract Terms and Payment Structure

The payment terms stipulate that up to 80% of the supply portion will be released upon submission of the inspection certificate and Provisional Physical Receipt Certificate. The balance 20% of the supply portion, along with 100% installation charges, will be paid after receipt and acceptance of stores by the consignee based on the installation certificate issued by a competent authority.

Security money has been exempted for this contract as Airfloa Rail Technology is an approved regular source of the Integral Coach Factory. The contract is governed by the latest version of the Indian Railways Stores (IRS) conditions of contract.

Order Details

The company confirmed that the order does not involve any interest from the promoter, promoter group, or group companies in the entity awarding the contract. Furthermore, the transaction does not fall within related party transactions.

Airfloa Rail Technology Limited has guided for revenue of ₹500 crore in FY27, with a targeted profit after tax (PAT) margin of 12-13%, following a strong financial performance in FY26. The company reported a 66% increase in revenue from operations to ₹319.6 crore for the financial year ended March 31, 2026, compared to ₹192.4 crore in the previous year. PAT rose 52% to ₹39.1 crore from ₹25.8 crore in FY25. The financial results were detailed in an investor presentation submitted to BSE Limited on June 12, 2026.

FY27 Outlook

Airfloa Rail Technology's outlook for FY27 is underpinned by an order book of ₹469 crore as of March 31, 2026, providing healthy visibility for the year. The company also has an active bid pipeline of approximately ₹1200 crore across railways, metro systems, defence, and aerospace opportunities. The company is executing projects for Vande Bharat, Amrit Bharat, RRTS, and Vistadome coaches, alongside defense projects such as hull assembly for T90 tanks.

Financial Performance

The company's EBITDA for FY26 grew 33% to ₹64.3 crore, with an EBITDA margin of 20.1%. For the half-year ended March 31, 2026 (H2FY26), revenue from operations increased 114% to ₹229.1 crore, while PAT grew 69% to ₹27.1 crore. The following table summarises the company's key financial metrics across periods:

Strategic Developments

Airfloa Rail Technology established a 51:49 joint venture with Big Bang Boom Solutions (BBBS) to industrialize next-generation defense technologies, including electronic warfare systems and AI-driven autonomous platforms, with commercialization targeted for mid-FY27. The company is also expanding its manufacturing base with a new facility to consolidate units and deploy advanced machinery. To fund growth, the company has tied up debt funding of ₹120 crore at an interest rate of 8.25%.