Unimech Aerospace Reports Strong Revenue Growth in Q2 FY26, Profit Dips on Higher Expenses
Unimech Aerospace and Manufacturing Limited reported Q2 FY26 results with consolidated revenue at ₹6,198.19 crore, up slightly from ₹6,145.03 crore in Q2 FY25. H1 FY26 revenue grew 3.57% to ₹12,497.04 crore. However, Q2 profit after tax decreased to ₹1,567.09 crore from ₹1,805.16 crore last year. H1 profit fell 10.05% to ₹3,479.52 crore. Expenses rose significantly, with total Q2 expenses at ₹5,117.01 crore, up from ₹4,171.39 crore. The company has utilized ₹13,292.00 crore of its IPO funds and plans to reallocate remaining proceeds, subject to shareholder approval.

*this image is generated using AI for illustrative purposes only.
Unimech Aerospace and Manufacturing Limited , a key player in the aerospace and defense manufacturing sector, has reported a mixed set of financial results for the second quarter and first half of fiscal year 2026.
Revenue Growth
The company's consolidated revenue from operations for Q2 FY26 stood at ₹6,198.19 crore, marking a slight increase from ₹6,145.03 crore in the same quarter last year. For the first half of FY26, revenue grew to ₹12,497.04 crore, up from ₹12,065.56 crore in H1 FY25, representing a year-on-year growth of 3.57%.
Profit Performance
Despite the revenue growth, Unimech Aerospace and Manufacturing's profitability faced some headwinds. The consolidated profit after tax for Q2 FY26 was ₹1,567.09 crore, down from ₹1,805.16 crore in Q2 FY25. For H1 FY26, profit after tax decreased to ₹3,479.52 crore from ₹3,868.14 crore in the corresponding period last year, representing a decline of 10.05%.
Expense Increase
The decline in profitability can be attributed to a significant increase in expenses. Total expenses for Q2 FY26 rose to ₹5,117.01 crore from ₹4,171.39 crore in Q2 FY25. For H1 FY26, expenses increased to ₹10,139.67 crore from ₹7,774.20 crore in H1 FY25.
Key Expense Components
Notable increases were observed in:
| Expense Category | H1 FY26 (₹ crore) | H1 FY25 (₹ crore) |
|---|---|---|
| Cost of materials consumed | 2,926.37 | 2,666.11 |
| Employee benefits expense | 2,573.01 | 2,335.11 |
| Depreciation and amortization | 1,222.57 | 377.06 |
Balance Sheet Highlights
As of September 30, 2025:
- Total assets stood at ₹87,024.21 crore, up from ₹80,977.31 crore as of March 31, 2025
- Total equity increased to ₹70,627.53 crore from ₹66,890.72 crore
IPO Fund Utilization
Unimech Aerospace and Manufacturing has utilized ₹13,292.00 crore out of the ₹23,091.10 crore raised through its IPO. The funds have been used for various purposes including capital expenditure, working capital requirements, and investments in its subsidiary.
Management Commentary
Anil Puttan Kumar, Chairman & Managing Director, stated, "While we are pleased with our revenue growth, we acknowledge the impact of increased expenses on our profitability. We are actively working on optimizing our cost structure while continuing to invest in growth opportunities."
Future Outlook
The company's board has approved changes to the allocation of unutilized IPO proceeds, subject to shareholder approval, indicating potential shifts in strategic priorities. Unimech Aerospace and Manufacturing's focus on expanding its manufacturing capabilities and addressing working capital needs suggests a continued emphasis on growth and operational efficiency.
Investors will be watching closely to see how the company navigates the challenges of rising costs while capitalizing on the growth opportunities in the aerospace and defense sectors.
Historical Stock Returns for Unimech Aerospace and Manufacturing
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -0.06% | +0.62% | +6.65% | +6.18% | -27.14% | -27.14% |









































