Sigma Advanced Systems Limited reported robust financial performance for the quarter ended December 31, 2025, with the Board of Directors approving the unaudited financial results on February 14, 2026. The aerospace and defence company demonstrated strong growth across key financial metrics while executing strategic corporate initiatives.

Standalone Financial Performance

The company's standalone operations showed impressive growth during Q3FY26. Revenue from operations increased substantially, supported by strong operational performance and strategic initiatives undertaken during the period.

For the nine-month period ended December 31, 2025, standalone revenue from operations reached ₹5,194.63 lakhs compared to ₹5,062.25 lakhs in the corresponding previous period. Net profit for the nine-month period stood at ₹15,396.70 lakhs versus ₹758.51 lakhs in the previous year, reflecting exceptional performance driven by strategic asset monetization.

Consolidated Results and Major Acquisition

The consolidated financial results reflect the impact of the company's strategic acquisition of Nasmyth Group, UK. During Q3FY26, the company acquired 100% stake in Nasmyth Group through its wholly owned UK subsidiary, with consolidation effective from November 1, 2025.

The acquisition-related transaction costs were disclosed as exceptional items, impacting the consolidated results for the quarter. The financial statements of the acquired entity have been consolidated for two months, making the quarterly results not comparable with previous periods.

Strategic Corporate Developments

The Board approved several key strategic initiatives during the meeting. The enhancement of loan facility to Sigma Advanced Systems UK Limited from 20 Million GBP to 30 Million GBP demonstrates the company's commitment to supporting its international operations and growth initiatives.

Additionally, the Board approved the re-designation of Mr. Cheemarla Damodar Reddy as Whole-Time Director (Executive, Promoter Category) and approved a Postal Ballot Notice for regularisation and fixing of remuneration under applicable SEBI Listing Regulations.

Scheme of Amalgamation and Corporate Restructuring

The company successfully completed its scheme of amalgamation with the National Company Law Tribunal, Chennai Bench sanctioning the merger between Sigma Advanced Systems Private Limited (Transferor Company) and Megasoft Limited (Transferee Company) on December 16, 2025, with an appointed date of April 1, 2024.

Following the NCLT approval, the company issued and allotted equity shares to shareholders of the Transferor Company on January 16, 2026, and changed its name from Megasoft Limited to Sigma Advanced Systems Limited on January 12, 2026.

Asset Monetization and Future Outlook

The company realized significant value from its property sale in April 2025, contributing to the exceptional performance in the nine-month results. The company has also entered into an agreement to divest its entire stake in Extrovis AG, which has been treated as an Asset Held for sale.

With its focus on the aerospace and defence segment and recent strategic acquisitions, Sigma Advanced Systems Limited continues to strengthen its market position while maintaining operational efficiency across its expanded global footprint.

Sigma Advanced Systems Limited has entered into a strategic acquisition agreement to purchase a 51% stake in AS Strategic Private Limited, a Delhi-based aerospace and defence company, for INR 20 crores. The Share Purchase Agreement was signed on February 10, 2026, marking a significant expansion of Sigma's presence in the aerospace and defence sector.

Acquisition Details

The transaction involves a cash consideration of INR 20 crores for acquiring 51% equity shareholding in AS Strategic Private Limited. The deal is structured as a straightforward equity purchase and is expected to be completed within 4 to 6 weeks.

Target Company Profile

AS Strategic Private Limited operates as a defence and space-focused company based in Delhi, India. The company has established long-term joint ventures and partnerships with leading European and global defence Original Equipment Manufacturers (OEMs). This strategic positioning provides access to established relationships within the European aerospace and defence ecosystem.

Financial Performance

AS Strategic has demonstrated remarkable growth trajectory over the past three years, with turnover increasing substantially:

The company's turnover growth from Rs. 2 lacs in March 2023 to Rs. 608 lacs in March 2025 reflects significant business expansion and operational scaling.

Strategic Rationale

According to the disclosure, this acquisition represents a key step in Sigma's strategy to build a globally embedded aerospace and defence platform. The transaction will provide Sigma Advanced Systems with access to AS Strategic's established joint ventures with major European Aerospace & Defence OEMs, enhancing its international market presence and technological capabilities.

Regulatory Compliance

The acquisition does not fall within related party transactions, and the promoter/promoter group/group companies have no interest in the entity being acquired. The Audit Committee and Board of Directors have approved the Share Purchase Agreement execution and proposed acquisition in accordance with the Companies Act, 2013 and SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. No additional governmental or regulatory approvals are required for completing this transaction.