AXISCADES Technologies Limited – Q3 FY2025 Results
Value Pick Multibagger stock for long term
Company Overview
AXISCADES Technologies Limited is a leading technology enabler in Aerospace, Defence, and Electronics, Semiconductor & AI (ESAI). The company is shifting from a service-based model to a product-driven, non-linear growth strategy to enhance margins and scalability.
Q3 FY2025 Financial Performance
Revenue
₹274 Cr
YoY +18.4% QoQ +3.7%EBITDA
₹40 Cr
YoY +36.9% QoQ +21.7%PAT
₹14.8 Cr
YoY +95.9% QoQ +20.7%EBITDA Margin
14.6%
vs 12.4% in Q2 FY25Key Drivers
- Defence: +88% YoY
- Aerospace: +11% YoY
Future Growth Plans & Planned Expansions
Strategic Infrastructure Investments
ESAI Hub
180,000 sq. ft. near BIAL
June 2025 completionUnmanned Warfare Centre
Electronic City, Bangalore
June 2025 completionDefence & Aerospace Cluster
20.7 Acres near KIADB Aerospace SEZ
Product & Business Strategy
- Aerospace: AI-enabled MRO, aircraft interiors, and power-by-hour logistics
- Defence: Investments in radar integration, unmanned warfare, and AI-enabled RF systems
- ESAI: Expansion in post-silicon chip design, AI/SLM devices, and Edge Data Centres
Management Targets
Competitive Landscape & Key Risks
Competitive Advantages
- Strong Aerospace & Defence expertise (6,000+ man-years)
- Strategic foreign partnerships
- High-margin, product-driven shift
Risks
Financial & Valuation Analysis
Market Cap
₹3,021 Cr
Stock P/E
56.3x
Premium vs peersBook Value
₹143
P/B Ratio: 5.0xReturns
ROCE: 13.8%
ROE: 7.11%
Valuation Perspective
- High growth visibility with strong Defence & Aerospace tailwinds
- Strong EBITDA growth supports long-term expansion
- Premium valuation demands consistent earnings execution
Fair Value Estimate: ₹680 – ₹720 (based on forward P/E of 40x FY26E EPS)
Investment Thesis
Positive Factors
- Strong core segment growth (+33% YoY in Q3 FY25)
- Large capex plans drive long-term value
- Improving margins & product-driven shift
Investment View
Moderate Buy for long-term investors, but watch execution risks.
This report is for informational purposes only and does not constitute investment advice. Investors should perform their own due diligence before making any financial decisions.
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