Aptech has secured a confirmed work order valued at Rs 5.66 crore from an Autonomous body under the State Government. The contract mandates the conduct of a training program, with execution scheduled to commence in Q3 of FY 2026-27.

ORDER IN FINANCIAL CONTEXT

The Rs 5.66 crore order represents approximately 4.3% of the company's average quarterly revenue of Rs 132.97 crore. The total disclosed order book stands at Rs 92.33 crore (sum of the 15 orders disclosed across the last 3 fiscal quarters shown in the table below), resulting in a book-to-bill ratio of roughly 0.17x against trailing twelve-month revenue. This backlog covers 0.69 quarters of average revenue.

COMPANY ORDER TRACK RECORD

Order inflow in Q2FY27 reached Rs 31.27 crore across five orders, reflecting continued activity from state-level entities. The current order size of Rs 5.66 crore is consistent with the company's typical per-order range, which spans from Rs 1.81 crore to Rs 9.92 crore in recent filings. The company has received orders from multiple entity types, including The State Government Body, Autonomous bodies under the State Government, and an Autonomous body under the Central Government.

EXECUTION AND REVENUE QUALITY

Revenue generation remains stable, though operating margins have fluctuated. Q1FY27 saw an OPM of 6.81%, a recovery from the compressed 2.62% margin in Q4FY26. No net losses were reported in the last three quarters, indicating steady execution capabilities.

REVENUE GROWTH - ORDER WINS TRANSLATING TO REVENUE

As Aptech has sustained order wins, its annual revenue has grown from Rs 476.10 crore in FY25 to Rs 503.43 crore in FY26, representing a YoY growth of +5.7% based on the latest annual data. This top-line expansion occurred despite a decline in operating profit margins from 6.30% in FY25 to 5.74% in FY26, suggesting potential pricing pressure or higher cost structures in recent contracts.

WORKING CAPITAL AND EXECUTION CAPACITY

The company maintains a comfortable liquidity position with a current ratio of 1.69x and a Total Liabilities/Equity ratio of 0.72x. Operating cashflow was positive at Rs 20.10 crore in FY25, generating free cashflow of Rs 12.90 crore. This strong cash conversion ability supports the company's capacity to fund working capital requirements for the existing backlog without external financing.

WHAT TO WATCH

• Execution rate: Monitor whether the recent order sizes in Q2FY27 translate into consistent quarterly revenue run-rates or if revenue growth slows alongside order inflows.
• OPM trajectory: Watch if the margin recovery seen in Q1FY27 (6.81%) sustains as these examination and training contracts execute, given the historical volatility between 2.62% and 8.19%.
• Client concentration: The State Government Body and its autonomous agencies remain the dominant awarding entities; any policy shifts or budget constraints at this level could disproportionately impact order flow.
• Order velocity: Consistent order inflow is required to maintain the backlog coverage, which currently sits at 0.69 quarters of average revenue.

KEY OBSERVATIONS

• Backlog signal: Book-to-bill of 0.17x. Continuous order acquisition is essential to maintain revenue visibility beyond the immediate quarter.
• Margin stress: Net profit dropped to Rs 1.80 crore in Q4FY26 with OPM at 2.62%; while Q1FY27 showed improvement, margin stability remains a key execution risk.

Aptech has secured a work order worth ₹5.66 crore from a state government autonomous body for a training program.

Order details

The work order has been awarded by a state government autonomous body, with Aptech designated to deliver the training program under the contract. The order value stands at ₹5.66 crore.