Emmforce Autotech Limited has reported robust growth in its standalone and consolidated revenues for the first half of the fiscal year, despite ongoing tariff concerns in the U.S. market. The company has also secured new orders and is poised for expansion in both its drivetrain and agricultural equipment segments.

Financial Highlights

• Standalone revenue grew by 33.33% year-over-year
• Consolidated revenue increased by 43.78%
• U.S. business specifically grew by 39.12%, defying tariff-related concerns
• Profit after tax (PAT) on a standalone basis increased by 12.5%

New Business Developments

Emmforce Autotech has made significant strides in securing new business and expanding its product portfolio:

• Secured new orders worth INR 10.50 crores annually for drivetrain parts from a U.S. regional equipment company
• Awaiting commercial production start for a major INR 470.00 crores order
• Hydraulic gear pump samples approved by a customer, with field trials underway

Expansion in Agri-Business

The company is making a strategic push into the agricultural equipment sector:

• Started production of agri-equipment and rotavator blades in its subsidiary
• Commenced deliveries to TAFE, a new customer for rotavator parts
• Exploring opportunities for higher-value agricultural equipment in the future

Future Outlook

Emmforce Autotech has provided guidance for its future performance:

• Targeting revenue of INR 125.00-135.00 crores for FY26
• Projecting revenue of INR 175.00 crores for FY27
• Aiming for INR 250.00-300.00 crores in revenue by FY28

Management Commentary

Ashok Mehta, Chairman and Managing Director, stated, "We have secured that order of INR 10.50 crores and this is going to go up and we expect a big growth in our drivetrain components business. All the production facilities are now fully operational so we do not really look into any major capex right now. And our focus is going to be again on R&D going forward and on the operational excellence."

Investor Considerations

• The company maintains a strong export focus, with 97% of standalone revenue coming from exports, primarily to the U.S.
• Emmforce Autotech has demonstrated resilience against U.S. tariff impacts, with continued growth in the market
• The agri-business segment is expected to contribute significantly to future growth, with potential for higher-margin products
• Capital expenditure for current expansion plans is largely complete, with focus shifting to utilization of new capacities

Investors should note that while the company has shown strong growth, the realization of future projections depends on successful execution of new orders and market conditions in both the drivetrain and agricultural equipment sectors.

Conclusion

Emmforce Autotech Limited's performance showcases its ability to grow despite challenging market conditions. With a clear focus on expanding its product portfolio and entering new market segments, the company appears well-positioned for continued growth. However, investors should monitor the progress of new projects and the company's ability to maintain profitability as it scales its operations.

Emmforce Autotech Limited , a leading manufacturer of drivetrain components and agricultural equipment, has reported robust financial results for the first half of fiscal year 2026 (H1FY26). The company's performance showcases significant growth across key financial metrics and operational achievements.

Financial Highlights

Emmforce Autotech's standalone turnover witnessed a substantial increase of 33.33% in H1FY26 compared to the same period last year. This growth was accompanied by a 46.24% rise in EBITDA, reflecting the company's improved operational efficiency.

The company's Profit After Tax (PAT) saw a notable increase of 49.88%, driven by enhanced capacity utilization and growing customer confidence in its products.

Key Financial Metrics

Operational Achievements

Emmforce Autotech has made significant strides in expanding its business and improving its operational capabilities:

1. New Business Acquisitions: The company secured new business worth ₹10 crores annually from US customers, demonstrating its growing international presence.

2. Long-term Supply Order: A USA-based OEM awarded Emmforce a long-term supply order for drivetrain components, valued at approximately ₹10.50 crores per annum.

3. Capacity Expansion: Fixed assets increased by 45.35%, primarily due to investments in new facilities to meet growing demand.

4. Product Diversification: The company has commenced production of agricultural equipment and rotavator blades, with TAFE rotavator parts in full production since July 2025.

5. Infrastructure Development: Emmforce completed the construction of a 30,000 sq. ft. plant dedicated to sub-assemblies and warehousing to support new projects.

Consolidated Performance

On a consolidated basis, Emmforce Autotech reported mixed results:

• Total income rose by 43.78%, indicating strong overall growth.
• Consolidated PAT declined by 16.64%, primarily due to higher depreciation from new asset capitalization in the subsidiary.
• The subsidiary's cash loss reduced significantly by 62.70%, showing improved operational performance.

Cash Flow and Working Capital Management

The company demonstrated improved cash flow management:

• Net cash from operating activities improved to ₹10.74 crore in H1FY26 from ₹(8.98) crore in H1FY25.
• Cash generated from operations rose to ₹15.46 crore compared to ₹(6.53) crore in the previous year, driven by higher profitability and tighter working capital control.

Future Outlook

Emmforce Autotech is poised for continued growth, with a focus on:

1. Expanding its drivetrain parts business, expecting major growth in FY26 and FY27 due to new business inflows.
2. Ramping up production of agricultural equipment, with an active pursuit of opportunities with various Indian OEMs.
3. Expanding its distribution network across India for agricultural products.
4. Introducing new product ranges, including inter-row weeders, laser levelers, potato planters, and diggers.

The company's management remains committed to operational excellence, cost optimization, and enhancing margins through value-added products and improved capacity utilization.

Emmforce Autotech's strong H1FY26 performance, coupled with its strategic initiatives and expansion plans, positions the company for sustained growth in both its drivetrain components and agricultural equipment segments.