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Astra Microwave Products – Steady performance continues

ICICIdirect Research 29 May 2026 DISCLAIMER

Execution remained steady as revenue increased by 19.7% YoY in Q4FY26 and 10.6% YoY for full year, which was largely in-line with expectations. However, EBITDA margin stood at 28.7% for FY26, better-than-expectations as company remained focused on increasing contribution of higher-margin contracts across all the segments (defence, space, exports etc)
With order inflows of Rs 1469 crore in FY26, consolidated order-book stands healthy at Rs 2610 crore (2.2x FY26 revenue). Management guides further Rs 1600+ crore worth of inflows in FY27E
In the long-term, management expects orders opportunity of Rs 8000 crore in the next 4 years considering the sizable addressable market in radars and electronic warfare in defence and increasing share of space electronics segment
Overall, company’s long-term outlook remains strong as the company aims to achieve 3x revenue (from current levels) in the next 4-5 years, driven by strong execution and increasing indigenization. Margins are also expected to sustain led by focus on higher-margin build-to-specification (BTS) orders
We maintain BUY on Astra Microwave with a target price of Rs 1600

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