Mtar Technologies Limited Earnings Summary — Q4 FY2026
MTAR Technologies Reports Strong Revenue Growth in Q4 with Record Quarterly Profits despite Margin Pressure
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue has increased for 4 consecutive quarters.
- Revenue of ₹361 Cr is 130.4% higher year-on-year.
- Revenue has compounded at 50.9% annualised over the last 10 quarters.
- Revenue is at its highest level in 10 quarters.
- Net profit has reached its highest level in 10 quarters.
- Net profit of ₹50 Cr is 364.7% above the same quarter last year.
- Profit growth is outpacing revenue growth, pointing to positive operating leverage.
- Net profit has compounded at 182.1% annualised across the period.
- Operating margin stands at 23.6% in Q1 FY2027.
- Operating margin expanded by 545 bps year-on-year.
- Over the last two years operating margin has expanded by 1063 bps.
- PBT margin is 18.7%.
- Expense growth of 115.0% remained below revenue growth of 130.4%.
- Operating profit of ₹85 Cr is 199.6% higher year-on-year.
- Operating leverage continues to improve.
- 5 of the last 6 measured quarters delivered year-on-year revenue growth.
- Overall quarterly business momentum scores 82/100 (Strong) on the latest 10 quarters.
- Business momentum remains positive heading into the next quarter.
Quarterly Financials
Last 10 Reported Quarters • All figures in ₹ Crore • Margins in %
| Metric | Trend | Latest Q1 FY2027 | Q4 FY2026 | Q3 FY2026 | Q2 FY2026 | Q1 FY2026 | Q4 FY2025 | Q3 FY2025 | Q2 FY2025 | Q1 FY2025 | Q4 FY2024 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | Accelerating | 361 | 306 | 278 | 136 | 157 | 183 | 174 | 190 | 128 | 143 |
| Expenses | Accelerating | 276 | 244 | 214 | 119 | 128 | 149 | 141 | 153 | 112 | 125 |
| Operating Profit | Volatile | 85 | 62 | 64 | 17 | 28 | 34 | 33 | 37 | 17 | 18 |
| Operating Margin | Accelerating | 23.6% | 20.2% | 23.0% | 12.5% | 18.1% | 18.6% | 19.1% | 19.4% | 12.9% | 12.8% |
| Other Income | Improving | 8 | 16 | -1 | 4 | 1 | 0 | 3 | 1 | 1 | 0 |
| Interest | Accelerating | 16 | 10 | 8 | 6 | 6 | 6 | 6 | 5 | 5 | 6 |
| Depreciation | Improving | 10 | 9 | 9 | 9 | 8 | 10 | 9 | 8 | 6 | 6 |
| Profit Before Tax | Volatile | 67 | 60 | 46 | 6 | 15 | 19 | 21 | 25 | 6 | 7 |
| Tax | Volatile | 17 | 15 | 11 | 1 | 4 | 5 | 5 | 7 | 2 | 2 |
| Net Profit | Volatile | 50 | 44 | 35 | 4 | 11 | 14 | 16 | 19 | 4 | 5 |
| Net Margin | Volatile | 13.9% | 14.5% | 12.5% | 3.1% | 6.9% | 7.5% | 9.2% | 9.9% | 3.5% | 3.4% |
Key Takeaways
- Delivered record quarterly revenue of 306 Cr, a substantial 67% increase year-over-year.
- Net profit of 44 Cr represents a sharp recovery from the cyclical lows seen in previous quarters.
- Operating profit margins (OPM) stabilized at 20%, though still below the historic peaks of 30% seen in 2021.
- High capital intensity is evident as total borrowings jumped to 377 Cr to support expansion and inventory.
- Working capital cycle remains a concern with debtor days stretching to 140 leading to increased interest costs.
- Significant other income of 16 Cr in the current quarter boosted the profit before tax to 60 Cr.
Management Guidance
Management is focused on maintaining momentum in Nuclear and Space sectors while managing the capital-intensive nature of precision engineering.
Sentiment Shift
Improving
After a period of stagnant earnings in late 2024 and early 2025, the last two quarters of FY2026 show a sharp upward trajectory in both revenue and absolute profit.
Outlook
The outlook remains strong due to positioning in ISRO and NPCIL projects, though financial health is sensitive to interest rate hikes given the rising debt levels used to fund inventory and receivables.
From the Annual Report (Key Quotes)
“MTAR is a high-precision engineering firm serving critical sectors including Nuclear, Space, Defense, and Clean Energy.”
“Promoter holding has seen a significant decline... which is a major red flag for long-term investors.”
“The financial structure reflects a 'growth at all costs' phase which hasn't yet translated into efficient bottom-line compounding.”
Official Quarterly Documents
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This summary is AI-generated from Mtar Technologies Limited's latest quarterly filing and earnings call. For informational purposes only — not investment advice.