Unimech Aerospace and Manufacturing Limited , a key player in the aerospace and defense manufacturing sector, has announced its financial results for the first quarter of fiscal year 2026, ending June 30, 2025. The company reported a mixed performance, with revenue growth accompanied by a slight decline in profitability.

Financial Highlights

Operational Performance

The company reported several operational updates:

• Qualified SKUs increased to 4,769 as of June 2025, up from 4,388 in March 2025.
• Employee count grew to 845 as of June 2025, compared to 793 in March 2025.
• Orders in hand stood at ₹810 crore as of June 2025, with expectations of larger order flow in Q2 and Q3.
• Capacity utilization reached 58% of installed machine capacity at 658,590 machine hours in June 2025, a significant increase from 222,990 machine hours in March 2024.

Management Commentary

Anil Kumar P, Chairman & Managing Director of Unimech Aerospace, commented on the results: "FY26 has begun on a steady note with revenues of ₹630 million. Focused margin management delivered a gross margin of 66%, while EBITDA margin at 31% remained aligned with our guidance. We added three new customers this quarter, driven by strong market interest and continued momentum from last year."

He further added, "Our strategy to build a resilient, diversified business is yielding results, with growing presence in precision engineering for tier-1 and OEM clients across aerospace, defense, semiconductors etc. Improving capacity utilization is a key near-term priority. Our active engagement across industries is expected to strengthen the order book, supported by nuclear projects and OEM component manufacturing."

Corporate Updates

In addition to the financial results, Unimech Aerospace announced several corporate updates:

1. Appointment of New Company Secretary: Mr. Akash Shetty has been appointed as the Company Secretary and Compliance Officer, effective July 24, 2025. Mr. Shetty brings over a decade of experience in governance and compliance across the manufacturing and IT sectors.

2. New Internal Auditors: The company has appointed RSM India as its Internal Auditors for the Financial Year 2025-26. RSM India, a member of RSM International, has been operating in India since 1996 and brings extensive experience in internal audit, risk advisory, and consulting services.

3. Strategic Initiatives: The company continues to explore inorganic expansion opportunities and is evaluating potential M&A targets for strategic and operational synergies. Unimech has also acquired a 30% stake in Dheya Engineering Technologies Pvt Ltd, securing an exclusive manufacturing agreement for micro gas turbine engines.

4. Geographical Expansion: Unimech is expanding its presence in the USA and European countries by onboarding new customers and increasing wallet share with existing clients. The company is also evaluating the establishment of warehouses in global locations to reduce lead times and improve responsiveness to customer demands.

Despite the challenges reflected in the quarterly results, Unimech Aerospace remains optimistic about future growth opportunities, citing its diversified business model, expanding customer base, and strategic initiatives as key drivers for sustainable growth in the coming quarters.

Unimech Aerospace and Manufacturing Limited , a leading precision engineering company, has reported its financial results for the first quarter of fiscal year 2026, demonstrating steady growth and strategic developments.

Financial Highlights

Unimech Aerospace recorded a revenue of ₹629.90 crore in Q1 FY26, marking a 6% increase from ₹592.10 crore in the same quarter last year. However, the company experienced a decline in profitability:

Despite the revenue growth, the company faced challenges in maintaining its profit margins. The EBITDA margin contracted from 43.40% to 31.40%, while the PAT margin decreased from 34.80% to 30.40% year-over-year.

Operational Performance

Unimech Aerospace continued to expand its operational capabilities during the quarter:

• Qualified SKUs increased to 4,769 as of June 2025, up from 4,388 in March 2025.
• Employee count grew to 845 as of June 2025, compared to 793 in March 2025.
• The company reported orders in hand worth ₹810.00 crore as of June 2025.
• Capacity utilization stood at 58% of installed machine capacity, with 6,58,590 machine hours in June 2025, a significant increase from 2,22,990 machine hours in March 2024.

Management Commentary

Anil Kumar P, Chairman & Managing Director of Unimech Aerospace, commented on the company's performance: "FY26 has begun on a steady note with revenues of ₹630 million. Focused margin management delivered a gross margin of 66%, while EBITDA margin at 31% remained aligned with our guidance. We added three new customers this quarter, driven by strong market interest and continued momentum from last year."

He further added, "Our strategy to build a resilient, diversified business is yielding results, with growing presence in precision engineering for tier-1 and OEM clients across aerospace, defense, semiconductors etc. Improving capacity utilization is a key near-term priority. Our active engagement across industries is expected to strengthen the order book, supported by nuclear projects and OEM component manufacturing."

Key Developments

1. Appointment of Company Secretary: The Board appointed Mr. Akash Shetty as the Company Secretary and Compliance Officer, effective July 24, 2025. Mr. Shetty brings over a decade of experience in governance and compliance across manufacturing and IT sectors.

2. New Internal Auditors: RSM India has been appointed as the Internal Auditors for the Financial Year 2025-26. RSM India, a member of RSM International, has been operating in India since 1996 and brings extensive experience in internal audit, risk advisory, and consulting services.

3. Strategic Investment: Unimech Aerospace acquired a 30% stake in Dheya Engineering Technologies Pvt Ltd, securing an exclusive manufacturing agreement for the production of micro gas turbine engines.

4. Capacity Expansion: The company expanded its manufacturing capacity, with its Innomech facility in Devanahalli, SEZ, Bangalore, now capable of 4,86,720 hours annually, a 171% growth since March 2024.

5. Customer Base Growth: Unimech Aerospace is currently serving 19 customers in its Aero Tooling segment and 16 customers in its Precision Components and Assemblies segment, including recent additions from the defense and robotics medical sectors.

Future Outlook

Unimech Aerospace remains optimistic about future opportunities, focusing on capturing higher market shares, increasing wallet size from current customers, and expanding its global footprint. The company is also exploring inorganic growth opportunities through strategic M&As to align with its long-term vision.

As Unimech Aerospace continues to navigate the challenges in the precision engineering sector, its diversified business model and strategic initiatives position it for potential growth in the coming quarters.