AXISCADES Technologies Limited has announced another significant business development through its subsidiary, with Mistral Solutions Private Limited securing an additional supply contract from Hindustan Aeronautics Limited (HAL). The latest contract, valued at ₹25 crores, involves the supply of Single Board Computer for the LCA Mk1A aircraft program, marking continued success for the company's subsidiary operations in India's defense sector.

Latest Contract Details and Manufacturing

The new supply contract awarded by HAL represents another domestic order under the prestigious LCA Mk1A programme. The agreement focuses on the supply of Single Board Computer, demonstrating Mistral Solutions' continued capabilities in providing critical electronic systems to India's indigenous fighter aircraft development. All systems will be manufactured and delivered from AXISCADES' newly commissioned DAL (Devanahalli Atmanirbhar Complex) facility located at the Bangalore Aerospace Park, near Kempegowda International Airport.

Strategic Manufacturing Capabilities

The utilization of AXISCADES' newly commissioned DAL facility highlights the company's expanding manufacturing infrastructure dedicated to defense production. Located strategically at the Bangalore Aerospace Park near Kempegowda International Airport, this facility represents the company's commitment to the 'Make in India' initiative and enhances its capacity to serve major defense programs.

Management Commentary

Commenting on the development, Mr. C. Manikandan, CEO, Mistral Solutions Private Limited, stated that this order win reflects the AXISCADES Group's increasing value addition to the 'Make in India' initiative. The continued success in securing orders under the LCA Mk1A program demonstrates the subsidiary's technical expertise and reliability in meeting HAL's stringent requirements.

Strengthening Defense Portfolio

This latest contract award further strengthens Mistral Solutions' position in the aerospace and defense sector, building upon previous successes in supplying avionics components to India's indigenous fighter aircraft program. The company's ability to consistently win orders under the LCA Mk1A program showcases its technical capabilities and establishes it as a reliable partner for India's premier defense manufacturing initiatives, supporting the country's self-reliance defense strategy.

AXISCADES Technologies Limited hosted its Q3 and 9 months FY26 earnings conference call on February 10, 2026, providing detailed insights into the company's performance and strategic initiatives. The call was moderated by MUFG Intime and featured key management personnel including Dr. Sampath Ravinarayanan, Founder Chairman and Managing Director, along with senior leadership team members.

Management Commentary on Performance

Dr. Sampath Ravinarayanan confirmed the company remains firmly on track to complete FY26 as projected, with strong visibility for FY27. The management reiterated their commitment to achieving EPS growth of 40% to 50% annually, targeting around ₹25-₹26 EPS for the current year. CFO Shashidhar S K highlighted Q3FY26 as a landmark quarter with revenue of ₹343 crores, reflecting 25% year-on-year growth.

Strategic Facility Developments

The management provided comprehensive updates on three major facility developments under the Power930 vision. The Devanahalli Aero Land (DAL) facility is fully operational with advanced electronic manufacturing capabilities, attracting customers from hyperscalers and large US and European companies. The Devanahalli Atmanirbhar Complex (DAC) radar hangars are expected to be ready by Q3, focusing on radar integration and maintenance.

A new Missile Atmanirbhar Complex (MAC) spanning 8 acres in Hyderabad will cater to missile electronics, seekers, onboard electronics, and data links in collaboration with world majors.

Order Book and Pipeline Visibility

The company maintains a robust forecast visibility of ₹3,300-₹3,400 crores with a qualified pipeline of ₹14,000 crores over the next four years. Management expects a 50-60% overall conversion ratio, with higher conversion rates for OEM relationships and 50% for DRDO programs. The defence segment continues as the primary growth driver, followed by ESAI and aerospace manufacturing.

Key Product Developments

Significant progress was reported on the RF seeker development for missiles including BrahMos and Kusha. A successful trial was conducted on February 4, 2026, with RF functionalities completed and customer demonstration achieved. The seeker is expected to complete qualification by Q2, positioning the company for BrahMos's upcoming RFP for next-generation seekers.

International Partnerships and ESAI Growth

The company highlighted strengthening partnerships with global OEMs, particularly in the ESAI segment where margins reach 26-26.5%. Recent pilot orders from hyperscalers, though currently valued at $1.5-2 million, represent potential for 50x to 100x scaling based on facility certification and customer acceptance. Multiple customer visits are planned for February and March 2026.

Strategic Appointments and Corporate Actions

The management welcomed Mr. Mukund Santhanam as Chief Strategy and Growth Officer, bringing three decades of experience from IIT Madras and IIM Ahmedabad. The company continues progressing on noncore business divestment, expected to be resolved by the next investor call, enabling focus on core growth areas.

Future Outlook and Margin Expansion

Management targets 20% EBITDA margins for FY27, up from the current 17% average, with aspirational goals of 25% margins as the company transitions to 80% products and solutions. The shift from services (18.5% margins) to products and solutions (25%+ margins) remains a key strategic priority for sustainable growth.

Source: AXISCADES Technologies Limited Q3 & 9 Months FY26 earnings conference call transcript held on February 10, 2026