AIA Engineering Forecasts 30,000 Tons Volume Growth, Eyes EBITDA Margin Improvement

1 min read     Updated on 10 Nov 2025, 09:16 AM
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Reviewed by
Radhika SScanX News Team
Overview

AIA Engineering anticipates at least 30,000 tons of annual volume growth in the next year. The company projects short-term EBITDA margins of 20-22%, with long-term targets of 24-25%. Annual maintenance capital expenditure is set at INR 150 crores. The company is conducting large-scale trials and plans to provide more formal guidance after reviewing the results.

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

AIA Engineering , a leading manufacturer of high chromium wear, corrosion, and abrasion resistant castings, has announced its growth projections and financial outlook for the coming year.

Volume Growth Expectations

The company is anticipating a significant increase in its production volume, projecting at least 30,000 tons of annual volume growth in the next year. This forecast suggests a robust demand for AIA Engineering's products and potentially indicates an expanding market presence.

EBITDA Margin Projections

AIA Engineering has provided insights into its expected profitability:

Metric Short-term Target Long-term Target
EBITDA Margin 20-22% 24-25%

While the company expects to achieve EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) margins of 20-22% in the near term, it believes that margins of 24-25% are achievable in the long run. This indicates the company's confidence in its ability to improve operational efficiency and profitability over time.

Capital Expenditure Guidance

AIA Engineering has provided guidance on its annual maintenance capital expenditure:

Type of Capex Annual Amount
Maintenance Capex INR 150 crores

This planned expenditure suggests the company's commitment to maintaining and potentially upgrading its existing infrastructure and equipment.

Ongoing Trials and Future Guidance

The company has indicated that it is currently conducting large-scale trials. AIA Engineering plans to provide more formal guidance after reviewing the results of these ongoing trials. This approach demonstrates a cautious and data-driven decision-making process, which could be viewed positively by investors and analysts.

Investors and market watchers will likely keep a close eye on AIA Engineering's performance in the coming quarters to see if the company can meet or exceed these projections. The anticipated volume growth, coupled with the potential for margin improvement, could signal positive prospects for the company's financial health and market position.

Historical Stock Returns for AIA Engineering

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AIA Engineering Reports Strong Q2 Performance with 64% Revenue Growth

1 min read     Updated on 07 Nov 2025, 01:57 PM
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Reviewed by
Ashish TScanX News Team
Overview

AIA Engineering's Q2 FY2026 results show a significant 64.1% quarter-over-quarter increase in revenue to ₹989.79 crores. Net profit decreased by 9% to ₹277.44 crores. The company plans to close its Nagpur manufacturing unit without expecting adverse effects on operations. New U.S. import duties of 3.16% for Countervailing Duty and 6.91% for Anti-Dumping Duty have been imposed on certain high chrome iron grinding media from India.

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

AIA Engineering , a leading manufacturer of high chrome mill internals, has announced its financial results for the quarter ended September 30, 2025, demonstrating substantial growth in revenue.

Financial Highlights

Particulars (₹ in crores) Q2 FY2026 Q1 FY2026 QoQ Change
Revenue from Operations 989.79 603.27 +64.1%
Net Profit 277.44 305.02 -9.0%

Revenue Growth

AIA Engineering reported a significant increase in revenue from operations, which rose to ₹989.79 crores in Q2 FY2026 from ₹603.27 crores in the previous quarter, marking a substantial 64.1% quarter-over-quarter growth. This growth demonstrates the company's strong market position and ability to capitalize on demand for its products.

Profitability

The company's net profit for the quarter stood at ₹277.44 crores, compared to ₹305.02 crores in the previous quarter, representing a 9.0% decrease. Despite the slight decline in net profit, the significant revenue growth indicates the company's focus on expanding its market share.

Half-Year Performance

For the half-year period, AIA Engineering's total revenue reached ₹1,792.53 crores, compared to ₹1,717.01 crores in the corresponding period last year, showing a year-over-year growth of 4.4%.

Business Segment and Operations

AIA Engineering primarily operates in the manufacturing of high chrome mill internals. The company's Board of Directors has decided to discontinue manufacturing operations at the Nagpur unit. However, this closure is not expected to adversely affect production, business operations, or profitability.

Regulatory Challenges

The company faces new regulatory requirements in the United States. Effective from June 13, 2025, AIA Engineering is subject to cash deposit requirements for:

  • Countervailing Duty at 3.16%
  • Anti-Dumping Duty at 6.91%

These duties apply to certain high chrome iron grinding media imported from India, following a determination by the U.S. Department of Commerce.

Conclusion

AIA Engineering's Q2 FY2026 results showcase the company's strong growth trajectory, particularly in terms of revenue. The substantial increase in quarterly revenue, despite challenges such as the closure of the Nagpur unit and new U.S. import duties, indicates the company's resilience and adaptability in a dynamic market environment. As AIA Engineering continues to navigate these challenges, investors and stakeholders will likely monitor its ability to maintain this growth momentum and manage profitability in the face of regulatory pressures.

Historical Stock Returns for AIA Engineering

1 Day5 Days1 Month6 Months1 Year5 Years
-3.48%+0.35%+10.43%+12.42%+8.77%+101.60%
AIA Engineering
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