Humro Unveils Strategic Response to US Tariff Changes, Maintains Competitive Edge

2 min read     Updated on 27 Aug 2025, 04:36 PM
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Reviewed by
Radhika SahaniScanX News Team
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Overview

Humro, a subsidiary of Affordable Robotic & Automation Limited, has announced a comprehensive plan to address recent tariff changes on US imports. The company will implement a 10% price adjustment across all products while maintaining a 15-20% cost advantage over competitors. Strategies to mitigate tariff impact include adopting CKD and SKD shipment methods, partnering with local US vendors, and pre-stocking robots in the US. Humro's proof-of-concept model remains unchanged, allowing customers to deploy machines with no upfront costs. The US warehouse automation market is projected to grow from $5.78 billion in 2024 to $16.60 billion by 2030, presenting significant opportunities for Humro despite current challenges.

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*this image is generated using AI for illustrative purposes only.

Affordable Robotic & Automation Limited subsidiary brand Humro has announced a comprehensive strategy to navigate recent tariff changes affecting US imports. The company, a leader in autonomous material handling and robotics solutions, is taking proactive measures to maintain its competitive advantage in the growing US warehouse automation market.

Price Adjustment and Market Positioning

Humro will implement a 10% price adjustment across all products to account for additional duties, which represent approximately 7% of its topline revenue. Despite this adjustment, the company asserts that its solutions will remain 15-20% cheaper than its closest competitors, underlining its commitment to providing value in the face of changing market conditions.

Innovative Approaches to Mitigate Tariff Impact

To reduce the impact of duties, Humro is implementing several strategic initiatives:

  1. Shipment Methods: The company is adopting Complete Knockdown (CKD) and Semi Knockdown (SKD) shipment methods.
  2. Local Partnerships: Humro is actively partnering with local US vendors to minimize the tariff impact.
  3. Pre-stocking: The company has pre-stocked robots in the US, which are expected to account for nearly 50% of sales.

Maintaining Customer-Centric Model

Humro emphasized that its proof-of-concept model remains unchanged. This model allows customers to deploy machines with no upfront costs, purchasing the product only if success criteria are met. If not, customers pay a flat fee, ensuring a low-risk entry point for businesses looking to automate their operations.

Market Growth and Opportunities

The US warehouse automation market, where Humro operates, is projected to experience significant growth. According to the company, the market is expected to grow at a 20.6% CAGR from 2025-2030, expanding from $5.78 billion in 2024 to nearly $16.60 billion by 2030. This growth trajectory presents substantial opportunities for Humro, despite the current tariff challenges.

Leadership Perspective

Milind Padole, Founder & Managing Director of Humro, commented on the strategy: "The tariff environment is temporary turbulence. We've built resilience into our model by combining Indian engineering strength with US-based value addition and enterprise-grade software. Even with the tariff and a modest price adjustment, Humro will deliver more value than our closest competitors."

Robinson Philipose, Co-Founder & Chief Executive Officer of Humro, added: "The US remains one of our most important growth markets, and the tariff environment doesn't change that. Our commitment is simple: to give US customers automation that creates real value, even in a shifting policy landscape."

Looking Ahead

With these proactive steps, Humro believes it can maintain a level playing field between Indian and US companies while preserving its long-term growth trajectory. The company's unique blend of affordability, rapid deployment, and software-driven efficiency continues to differentiate it in a market where reliability and cost savings are paramount.

As the US warehouse automation market continues to expand, Humro's strategic response to tariff changes positions the company to capitalize on the growing demand for innovative, cost-effective automation solutions.

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Affordable Robotic & Automation Reports Q1 FY26 Results: Narrows Losses Amid Stable Revenue

2 min read     Updated on 11 Aug 2025, 09:42 PM
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Jubin VergheseScanX News Team
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Overview

Affordable Robotic & Automation Limited (ARAPL) announced Q1 FY26 results with total revenue of Rs. 1,882.15 lakhs, down 2.10% year-over-year. Despite revenue decline, profitability improved significantly with EBITDA loss reduced by 40.71% to Rs. 201.29 lakhs and Loss Before Tax decreased by 23.91% to Rs. 360.46 lakhs. The company's subsidiary, ARAPL RaaS, rebranded as 'Humro', shipped 15 robots to the USA with plans for 25 more by November 2025. Management remains optimistic about future growth prospects.

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*this image is generated using AI for illustrative purposes only.

Affordable Robotic & Automation Limited (ARAPL), a leading provider of automotive project-based line building and automated multilevel car parking systems, has announced its unaudited financial results for the quarter ended June 30, 2025 (Q1 FY26). The company's board of directors approved the standalone and consolidated results during a meeting held on August 11, 2025.

Financial Performance

ARAPL reported a stable revenue performance in Q1 FY26:

Metric Q1 FY26 Q1 FY25 Change
Total Revenue 1,882.15 1,922.61 -2.10%

All figures in Rs. lakhs

Despite the marginal decline in revenue, the company showed significant improvement in its bottom line.

Improved Profitability

The company's efforts in cost management and operational efficiency have yielded positive results:

Metric Q1 FY26 Q1 FY25 Change
EBITDA Loss 201.29 339.49 -40.71%
Loss Before Tax 360.46 473.73 -23.91%
Employee Benefits Expense - - -14.00%
Other Expenses - - -8.00%

All figures in Rs. lakhs

Consolidated Performance

On a consolidated basis, which includes subsidiaries ARAPL RaaS Private Limited, ARAPL RaaS International LLC, and Masterji.AI Private Limited, the company reported:

  • Total revenue of Rs. 1,886.56 lakhs
  • EBITDA loss of Rs. 196.88 lakhs
  • Loss Before Tax of Rs. 368.85 lakhs

ARAPL RaaS Developments

The company's subsidiary, ARAPL RaaS Private Limited, has made significant strides:

  • Shipped 15 robots to the USA, with installation at customer sites planned in the coming months
  • An additional 5 robots were shipped last month, with plans to ship 25 more by November 2025
  • Rebranded as "Humro" (short for Human + Robotics) to reflect its evolution and global ambitions

Management Commentary

Milind Padole, Managing Director of ARAPL, stated, "Our Q1 FY26 results demonstrate our resilience and commitment to operational excellence. While revenue remained stable, we've significantly narrowed our losses through effective cost management. With a strong project pipeline and ongoing investments in technology and talent, we are well-positioned to capitalize on industry tailwinds and deliver sustainable value to all stakeholders."

The company's focus on innovation and expansion into new markets, particularly through its rebranded subsidiary Humro, underscores its ambition to become a globally recognized Indian mobile robotics brand. As Affordable Robotic & Automation navigates challenges, it remains committed to its long-term strategic objectives in the robotics and automation sector.

The fund-raising process is expected to close within the month, which could further strengthen the company's financial position and support its growth initiatives.

Historical Stock Returns for Affordable Robotic & Automation

1 Day5 Days1 Month6 Months1 Year5 Years
-3.65%-32.08%-34.73%-34.71%-62.96%-62.96%
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