Arghyadeep

|Bharat First 🇮🇳 | Bhakt Of Mahadev 🏔️ |Proud Hindu|Long Term Investor |Tracking India’s Defence & Geopolitics|

[Mithun Sarkar @MithunSarkari]

Azad Engg: #AZAD
Annual Report readings from my Lens.

Massive Order book: ~6,500 Cr ~11x of FY26 revenue

Mix:
• Energy — 57%
• Aerospace & Defence — 29%
• Oil & Gas — 14%
Average OEM contract tenure: 5–6 years.
Crucially, capacity expansion is being undertaken against contracted volumes, rather than speculative demand.

1/ FY27 is the “year of conversion”

This is probably the most important near-term trigger.

FY26 was about building capacity.

FY27 is about:
→ ramping 4 capitalised plants
→ commissioning remaining facilities
→ converting backlog into production
→ increasing customer wallet share

Phase-1 adds ~95,000 sq.m capacity and was ~70–80% complete at FY26-end.

Mgmt expects operating leverage to become increasingly visible through FY27 and towards full utilisation in FY28.

2/ MHI hot-section entry is a major strategic upgrade
MHI named AZAD a single-source supplier under an 8-year contract for hot-section nozzle-vane segments.

Why important?

AZAD historically focused on cold/compressor-section components.

Hot section = much higher complexity in temperature, metallurgy & process control, with only a handful of qualified global suppliers.
👉
This is a move up the value chain + potentially higher-value revenue mix.

3/ Aerospace is moving from qualification → production

A&D crossed 100 Cr revenue for the first time.

But the bigger opportunity is the ~1,850 Cr Odr book.

Key milestones:
• Rolls-Royce — 7-year contract; first shipments expected before FY27-end, production building into FY28
• Pratt & Whitney Canada — contract finalised
• Safran — MOU + qualification underway

This can materially change the segment mix over the next few years.

4/ Oil & Gas is a small base with a large backlog

FY26 revenue: <10 Cr

Order book: ~950 Cr
FY26 was deliberately the qualification year.
FY27 is expected to be the first year of Oil & Gas revenue contribution.

A dedicated 7,600 sq.m Baker Hughes facility was inaugurated in April 2026.

So this is another potentially meaningful growth leg starting from a very low base.

5/ The next phase is higher value-add, not just more machining

AZAD is progressively moving:

Components → complex components → assemblies/sub-assemblies → complete systems

The DRDO/GTRE programme is an important capability milestone — AZAD manufactured, assembled and delivered a complete 350 kg-thrust expendable turbojet engine.

6/ Margin expansion is possible, but utilisation is the key

Standalone EBITDA margin already improved:

35.5% → 36.9% (+140 bps)

Mgmt expects operating leverage to become more visible as the new plants ramp through FY27 and towards full utilisation in FY28.

Other positives:
→ higher-complexity products
→ MHI hot-section entry
→ more special processes in-house
→ subsidiaries reached EBITDA breakeven

7/ To Monitor :

Management expects >25% sustained annual revenue growth, with Energy declining from ~80% today to 55–60% over 4–5 years, as A&D and Oil & Gas scale.

What can drive earnings:

Backlog conversion + capacity utilisation + A&D ramp + Oil & Gas ramp + MHI hot section + wallet-share expansion + operating leverage.

What can derail the thesis:💡
• Qualification delays/failures
• High working capital
• Capex execution
• Customer/export concentration
• Geopolitical/trade risks
• Technology/process requirements

And the most important FY27 monitorable is working capital: it rose to 244 days from 202, which mgmtt itself calls the company's “slowest-moving number”.❗

8/ Crux:

AZAD is transitioning from a qualified component manufacturer into a higher-capacity, multi-vertical, higher-value engineering partner — with FY27 being the critical year when the 6,500 Cr backlog and newly built capacity have to start converting into revenue, cash flow and operating leverage.

The key question is no longer “does AZAD have demand?”

👉Its now the Execution.

No Recommendations, please do your own studies.📝

[Xenon 11-0 @Xenontp06]

🚨 Thread for damage at 7 airbases of PAF struck during Op Sindoor,

1 • PAF Base Bholari, Jamshoro

- 1 SAAB 2000 + 2 F16s [with 1 seen in img] + 5 KIA [1 Sq. Leader+ 1 Corporal T. + 2 Senior T. + 1 Junior T.] and 20 WIA [Includes 1 Flt. Lt.+ 1 HS2 + 1 Senior T. + 1 Junior T.]

[Mithun Sarkar @MithunSarkari]

GE Vernova T&D — a significant HVDC development ⚡

GE Vernova T&D India has been intimated by Power Grid as the L1 bidder for a massive 6,000 MW, ±800 kV HVDC LCC terminal station for evacuation of renewable power from Barmer II to South Kalamb.

Key points to note:

1/ Scale is the headline: 6,000 MW capacity, comprising 2 × 3,000 MW HVDC terminals at ±800 kV.

2/ Scope: GE Vernova T&D is slated to Design, Supply & Execute the HVDC LCC terminal station.

3/ Strategic importance: The project will facilitate evacuation of renewable power from Barmer II to South Kalamb, aligning directly with India's expanding renewable transmission infrastructure.

4/ But important distinction: This is currently an L1 bidder intimation, not yet an awarded order. Investors should track the formal award/contract next.

5/ Execution: The company states that execution will take place over multiple years, implying a potentially meaningful multi-year revenue opportunity once formally awarded.

6/ Order value: Not disclosed in the filing. Hence, attaching an estimated ₹ value to this announcement would be speculation.

Bottom line:
For GE Vernova T&D, the bigger takeaway is not just one project—it is the increasing scale of India's HVDC transmission build-out, with GE Vernova positioned for large, technically complex projects.
L1 today → formal award + execution are the next milestones.

Must track , and as usual no recommendations 🙏

[CSTM (Chandu Stock Market News) @Tvaasu1]

🔥 APOLLO MICRO SYSTEMS — BIG DEFENCE INFLECTION AHEAD? 🛡️🚀

This Systematix report is very bullish on Apollo Micro Systems (AMS). The core thesis is that AMS can move from being mainly a sub-system/electronics supplier → complete weapon-system/platform manufacturer.

🟢 1. BUY rating with ₹570 target

Current price shown: ₹390
Target price: ₹570
Potential upside: ~46%
Valuation is based on 55× average FY28E/FY29E EPS.

⚠️ This is the broker’s estimate, not guaranteed return.

⸻

🟢 2. The BIG thesis — AMS wants to move up the value chain

Today, AMS is involved in electronics/subsystems.

The report believes it can increasingly manufacture complete weapon systems.

Simple example:

Earlier:
👉 “I supply an important component of the missile.”

Potential future:
👉 “I supply the complete missile/weapon system.”

🔥 If this happens, the revenue opportunity and value captured per program can become much larger.

⸻

🟢 3. DRDO technology transfer is a BIG opportunity

Government is increasingly transferring defence technology (ToT) from DRDO to private companies.

This can allow private players to manufacture complete systems instead of only components.

The report compares the opportunity with Solar Industries’ move toward complete Pinaka systems.

⸻

🟢 4. DAP 2020 supports domestic defence companies

The report highlights DAP 2020 and indigenous procurement policies.

Benefits:

🟢 Higher Indian content
🟢 More domestic procurement
🟢 Better visibility for Indian defence manufacturers
🟢 More private-sector participation

This creates a structural demand environment, rather than a one-quarter opportunity.

⸻

🟢 5. Underwater weapons = a SPECIALISED niche

This is one of AMS’s strongest areas.

The company is described as a major private player in underwater homing systems for:

Torpedoes
Underwater mines

It has developed/tested MIGM and is progressing with the Moored Mine program.

🔥 The report estimates around ₹7,000 Cr potential mines + torpedoes orders over the next 24 months.

⚠️ Important: ₹7,000 Cr is a potential opportunity, NOT confirmed orders.

⸻

🟢 6. Multiple defence programs provide order visibility

The report highlights AMS’s presence in:

MIGM mines
Pinaka
QRSAM
EHWT & LWT torpedoes
Missiles
UAVs
Anti-tank mines

This diversification is important.

One program slows → other programs can potentially support growth.

⸻

🟢 7. Missile capability could become much bigger

AMS is integrating IDL and PEL to build more complete missile-platform capabilities.

The report says this fits with the government’s objective of increasing private-sector participation in complete missile development/integration.

🔥 This is potentially the biggest value-chain upgrade for AMS.

⸻

🟢 8. Defence production itself is growing rapidly

Indian defence production increased:

FY16: ₹53,000 Cr
⬇️
FY26: ₹1.78 lakh Cr

That’s roughly 3.4× growth.

The report says defence production has grown around 12–20% annually over the past six years.

Government’s FY29 target:

₹3 lakh crore defence production

🟢 Large structural industry tailwind.

⸻

🟢 9. Private-sector opportunity is increasing

Earlier, defence manufacturing was heavily dominated by DPSUs.

Now the government is increasingly allowing private companies to participate in:

Development → technology transfer → manufacturing → integration

🔥 This is extremely important for companies like AMS.

[Yatin Mota @yatinmota]

Hitachi Energy – Negative; No more HVDC orders expected for 2026

Barmer II HVDC OEM tender awarded to GE Vernova T&D

This means Hitachi Energy lost the order – as its a peer

NOTE – no more HVDC orders expected for the rest of the year by analysts

Citi expected Hitachi Energy to win orders worth Rs 10000 cr

Given that the order has gone to GE Vernova T&D, Citi Research has CLOSED the tactical BUY idea

Hitachi Energy trades at an expensive valuation compared to GE Vernova

[Magar-Mach 🛦 @XClassHero]

To offset its massive 510kg+ weight, R-37M / RVV-BD relies on a unique lofted trajectory.

It utilizes a dual-pulse motor to climb into the stratosphere at 82,000 ft. In low drag, it accelerates to Mach 5-6 before delivering a hypersonic gravity dive on AWACS and ELINT aircraft.

[microcap investors @ShridhantS]

Systematic bullish on Apollo micro systems limited

Upside ~46%Up

#Apollomicrosystem

[Victorforce @Victorforce2]

Operation Sindoor video compilation, Part 1

[Nitin A. Gokhale @nitingokhale]

Lest anyone thinks I am unaware of the challenges in creating joint theatre commands, listen to the full byte and don’t make instant judgements based on Insta reels

[Gabbar @GabbbarSingh]

2 hour footage of Pakistan getting pulverised during Operation sindoor. Majority of footage captured by Pakistanis free of cost.

[BRADDY @braddy_Codie05]

Finally there is a Confirmation R-37 M Hypersonic Beyond Visual Range Air to Air Missiles Range up to 400 km, speeds over Mach 6 will be integrated on Su-30mki.

[Vikas Khemani @vikaskhemani]

Rare capability which puts India on Global capability map! A few in the world!

[Zafar Shaikh @InvesysCapital]

Controversy around #GDP feels meaningless. Large country like India can not swing from ~7% to ~2% for no apparent reason.

However we are still very poor country to actually feel 7.8% GDP on ground

Per capita GDP in PPP terms is 64% of emerging economies while just 16% of developed economies.

In terms of GDP per Capita in USD it is even worse at 38% of emerging economies & abysmal 4.3% of developed economies.

Before social media people had no feel of how life in developed world looks like. Now everyone gets to see it live which leads to comparison & creates realization of shitty life most are living. For us to elevate quality of life it is paramount to develop durable quality infra rapidly. However corruption has ensured we are in perpetual cycle of build, repair, rebuild, wasting time & precious national resources needed to make country competitive & developed.

It will take decades for India to offer equivalent quality of life of developed world, if at all. Hope at least our next generation gets to see it.

[Abhijit Majumder @abhijitmajumder]

In which @szarabi takes economically illiterate, agenda-driven doubters of India’s GDP numbers to the cleaners.
Watch.

[Alpakanya @Alpakanya]

75-yr old senior talks about AI, space technology, Digital India and Yuvaneta talks about caste and Manusmriti. If you fail to see the difference, you have failed as a taxpaying citizen of India.

[Megh Updates 🚨™ @MeghUpdates]

🚨 BREAKING: World Bank Executive Director drops a massive logic bomb on the "Data Fudge" conspiracy!

​If the government is manipulating the GDP to look good, why did the new February series revise the nominal GDP DOWN by 4%?

​Neelkanth Mishra just exposed the ultimate flaw in the opposition's narrative: shrinking the GDP base actually makes the government's fiscal deficit and debt-to-GDP targets much harder to achieve! Why would any government intentionally sabotage its own economic goals just for PR?

​The entire 2.6% claim relies on an "ill-educated" calculation of mixing old and new datasets.

​Stop falling for manufactured outrage. Take 5 minutes, do a basic AI search on 'GDP rebasing', and look up the global standards for economic data.

​Read. Verify. Think.

[Sputnik India @Sputnik_India]

🚨 BIG: India set to invest $9 bln to accelerate deepwater oil exploration

🔶 $9B Samudra Manthan scheme to accelerate deepwater exploration.

🔶ONGC plans up to $11B investment over 5 years.

🔶 87 deep + ultra-deepwater wells planned by 2031.

[Sputnik India @Sputnik_India]

🚨 BIG: India adds a new precision strike weapon to its arsenal

The Indian Air Force has successfully tested the Khagantak-243, an indigenous long-range glide bomb capable of hitting fortified targets from up to 180 km away.

🔶 Launched from a Su-30 fighter.

🔶 125 kg precision payload.

[Aviator Anil Chopra @Chopsyturvey]

"How Astra Mk1 Established Indian BVR Capability While Mk2 Aims to Push The Boundaries Of Stand-Off Combat"
https://t.co/7Eu5GwRKAr

[BhikuMhatre @MumbaichaDon]

"NO TRADE DEAL TILL U.S. GIVES PREFERENTIAL TARIFF TERMS"

BHARAT DRAWS RED LINE🔥

"India will announce final details of its Bilateral Trade Agreement ONLY AFTER Washington agrees to offer preferential tariff terms over India's competitors"- Commerce Minister .@PiyushGoyal Ji👏