Avantel Limited (AVANTEL)
₹151.61 +2.20% last close, 16 Oct
Q2 FY27 results
📅 Next results: 26 Oct 2026 (board meeting)Avantel Limited's board meets on 26 Oct 2026 to consider its Q2 FY27 results (July-September 2026).
In its latest reported quarter, Q1 FY27, Avantel's revenue was ₹70.4 Cr (+35.7% year on year, +10.3% on the previous quarter), and net profit ₹5.4 Cr (+67.2% year on year); the operating margin was 24.8%.
| Q1 FY27 (₹ Cr) | Value | YoY vs Q1 FY26 | QoQ |
|---|---|---|---|
| Revenue | ₹70.4 | +35.7% | +10.3% |
| Operating profit | ₹17.4 | +66.7% | +28.3% |
| Net profit | ₹5.4 | +67.2% | +13.0% |
| EPS (₹) | 0.20 | +66.7% | +17.6% |
| Operating margin | 24.8% | — | — |
AVANTEL delivery percentage
NSE end-of-day data for
On Fri, 16 Oct 2026, 46.92% of the AVANTEL shares traded on NSE were taken to delivery, against the stock's own 20-session average of 40.49%. That is close to its usual level. Volume was 0.3 times its average, well below normal.
Delivery in the last 5 sessions: 39.7% · 40.2% · 40.8% · 49.5% · 46.9%
A description of what the exchange published, not a recommendation. Names such as "accumulation" or "long buildup" label a pattern in the numbers. How delivery is analysed
📢 Recent Corporate Announcements
Avantel Limited has received a purchase order dated October 9, 2026, from Larsen & Toubro Limited for Comprehensive Annual Maintenance of Satcom Equipment. The contract is valued at ₹12.04 crore (inclusive of taxes) and is slated for execution by October 2028. This order represents approximately 5% of the company's TTM revenue of ₹241 crore, offering multi-year revenue visibility for its service segment.
- Received purchase order from Larsen & Toubro Limited for ₹12.04 Cr (inclusive of taxes)
- Contract is for Comprehensive Annual Maintenance of Satcom Equipment
- Execution timeline spans over two years through October 2028
- Domestic service contract with no related party interest
Avantel Limited received an updated credit rating action from Acuité Ratings & Research Limited on October 8, 2026. Acuité reaffirmed the long-term rating of 'ACUITE A-' and short-term rating of 'ACUITE A2+' with a 'Stable' outlook on Rs 134.50 Cr of bank facilities. Additionally, the agency assigned the same ratings ('ACUITE A-' and 'ACUITE A2+', Outlook: Stable) on fresh/incremental bank facilities of Rs 124.44 Cr. Total rated facilities now stand at Rs 258.94 Cr, which is larger than the company's TTM revenue of Rs 241 Cr.
- Reaffirmed long-term rating of 'ACUITE A-' and short-term rating of 'ACUITE A2+' with Stable outlook on Rs 134.50 Cr bank facilities
- Assigned new rating of 'ACUITE A-' and 'ACUITE A2+' with Stable outlook on Rs 124.44 Cr bank facilities
- Total bank facilities covered under the rating action amount to Rs 258.94 Cr
- Action received via credit rating agency email dated October 8, 2026
Avantel Limited has secured a domestic service contract dated September 30, 2026, from the Directorate of Electrical Engineering, Naval Head Quarters, Ministry of Defence. The contract is valued at ₹6.02 crore (inclusive of applicable taxes) for Comprehensive Annual Maintenance of Satcom Equipment. The execution period extends over three years until September 2029. Relative to Avantel's TTM revenue of ₹241 crore, the order represents a modest ~2.5% across its entire multi-year execution window.
- Received contract valued at ₹6.02 Crores inclusive of applicable taxes
- Awarded by Directorate of Electrical Engineering, Naval Head Quarters, Ministry of Defence
- Scope covers Comprehensive Annual Maintenance of Satcom Equipment
- Execution timeline spans through September 2029
Avantel Limited has secured a firm domestic Purchase Order worth Rs 177.35 crore (inclusive of taxes) from Zetwerk Manufacturing Businesses Limited. The contract entails manufacturing and supplying Satellite Communication Equipment along with a 1-year comprehensive onsite warranty. The order is slated for execution by March 2027. Notably, this single order represents approximately 73.6% of Avantel's TTM revenue of Rs 241 crore, significantly bolstering revenue visibility over the next 6-7 months.
- Firm Purchase Order valued at Rs 177.35 Crores (inclusive of applicable taxes)
- Contract awarded by Zetwerk Manufacturing Businesses Limited pursuant to a Rate Contract from March 2026
- Scope includes supply of Satellite Communication Equipment with 1-year comprehensive onsite warranty
- Scheduled execution timeline is by March 2027
Avantel Limited has issued a Postal Ballot notice seeking shareholder approval via Special Resolution to alter its Memorandum of Association (MOA) Objects Clause. This alteration enables the company to enter medical devices, healthcare, and allied activities following the Board's decision on September 18, 2026, to merge its wholly owned subsidiary, Imeds Global Private Limited, into Avantel. The remote e-voting window runs from September 23, 2026, to October 22, 2026, with voting results to be declared on October 23, 2026. The proposed merger remains subject to approvals from the National Company Law Tribunal (NCLT) and other statutory authorities.
- Board approved the merger of wholly owned subsidiary Imeds Global into Avantel on September 18, 2026
- Special Resolution proposed to alter MOA Objects Clause to include healthcare and medical device businesses
- Remote e-voting opens at 09:00 AM on September 23, 2026, and closes at 05:00 PM on October 22, 2026
- Cut-off date for voting eligibility set as September 18, 2026, with results declared on October 23, 2026
Avantel's Board has approved the merger of its wholly owned subsidiary, Imeds Global Private Limited, into the parent company under Sections 230 to 232 of the Companies Act, 2013. For FY26, Imeds Global reported standalone revenue of Rs 1.60 cr (Rs 160.32 lakhs) and net worth of Rs 21.83 cr, which represents less than 1% of Avantel's FY26 standalone revenue of Rs 221.35 cr. As Imeds Global is a 100% subsidiary, no cash consideration or share swap is involved, leaving Avantel's shareholding pattern unchanged. In addition, the Board approved altering its Memorandum of Association (MOA) to add business objects spanning medical devices, space/satellites, energy systems, and electronic manufacturing services.
- Imeds Global FY26 standalone revenue stood at Rs 1.60 cr (Rs 160.32 lakhs) vs Avantel standalone revenue of Rs 221.35 cr (<1% contribution)
- Imeds Global net worth as of March 31, 2026 was Rs 21.83 cr (Rs 2,182.83 lakhs) compared to Avantel's net worth of Rs 356.50 cr
- No cash consideration or share issuance; 100% of Imeds Global shares held by Avantel will be cancelled upon effectiveness
- Proposed expansion of MOA Main Objects clause into medical electronics, space/satellites, energy systems, and contract manufacturing via Postal Ballot
Avantel's Board of Directors approved the merger of its wholly owned subsidiary, Imeds Global Private Limited, into Avantel Limited under Sections 230 to 232 of the Companies Act, 2013. For the year ended March 31, 2026, Imeds Global recorded standalone revenue of Rs 1.60 crore (Rs 160.32 lakhs) and net worth of Rs 21.83 crore (Rs 2,182.83 lakhs), representing less than 1% of Avantel's FY26 standalone revenue of Rs 221.35 crore. As Imeds is a 100% subsidiary, no cash consideration or shares will be issued, leaving the parent shareholding pattern unchanged. The board also approved altering its Memorandum of Association (MOA) to add business objects covering medical devices, space/satellites, energy systems, and electronic manufacturing services, subject to postal ballot approval.
- Merger of 100% subsidiary Imeds Global Private Limited into Avantel Limited approved by Board
- Imeds Global FY26 standalone revenue stood at Rs 1.60 cr (Rs 160.32 lakhs) vs Avantel's Rs 221.35 cr
- Imeds Global net worth was Rs 21.83 cr (Rs 2,182.83 lakhs) as of March 31, 2026
- No cash consideration or share issuance; 100% equity shares held in Imeds will be extinguished
- MOA Main Objects Clause expanded to include medical devices, satellites/space systems, and energy systems
Avantel Limited's Board has approved the merger of its wholly owned subsidiary, Imeds Global Private Limited, into itself under Sections 230 to 232 of the Companies Act, 2013. For FY26, Imeds Global reported standalone revenue of Rs 1.60 cr (Rs 160.32 Lakhs) and net worth of Rs 21.83 cr (Rs 2,182.83 Lakhs), representing roughly 0.7% of Avantel's standalone revenue of Rs 221.35 cr. As Imeds is a 100% subsidiary, no cash consideration or shares will be issued, leaving the shareholding pattern unchanged. Additionally, the Board approved an alteration of its Memorandum of Association (MOA) to add object clauses covering medical devices, space/satellites, energy systems, and precision contract manufacturing, subject to postal ballot approval.
- Imeds Global standalone revenue for FY26 stood at Rs 160.32 Lakhs vs Avantel's Rs 22,135.23 Lakhs
- Imeds Global net worth was Rs 2,182.83 Lakhs as on March 31, 2026, compared to Avantel's Rs 35,650.45 Lakhs
- Zero share dilution: no cash consideration or shares to be issued as Imeds is a 100% wholly owned subsidiary
- MOA altered to introduce four new main object categories spanning medical devices, space technology, energy systems, and electronic manufacturing services
Avantel Limited has approved the allotment of 65,016 equity shares of face value Rs. 2 each following the exercise of options under the Avantel Employees Stock Option Plan 2023 (ESOP 2023). Following this allotment, the company's paid-up share capital increased from 26,57,10,850 shares (Rs. 53,14,21,700) to 26,57,75,866 shares (Rs. 53,15,51,732). The equity dilution resulting from this allotment is marginal at approximately 0.024% of the expanded equity base.
- Allotment of 65,016 equity shares of face value Rs. 2 each under ESOP 2023
- Paid-up share capital increased from Rs. 53,14,21,700 to Rs. 53,15,51,732
- Total number of issued shares expanded from 26,57,10,850 to 26,57,75,866 shares
Avantel Limited has announced the closure of its trading window effective September 13, 2026. The closure precedes a board meeting scheduled to consider and approve a Scheme of Merger of its wholly owned subsidiary, Imeds Global Private Limited, into the holding company Avantel Limited. The window will remain shut until 48 hours after the board meeting outcome is officially disclosed.
- Trading window closed with effect from September 13, 2026
- Trading window to reopen 48 hours after board meeting outcome is disclosed
- Board to consider and approve Scheme of Merger of wholly owned subsidiary Imeds Global Private Limited into Avantel Limited
- Circular references: BSE Circular No. LIST/COMP/01/2019-20 and NSE Circular No. NSE/CML/2019/11 dated April 2, 2019
Avantel Limited has secured a significant domestic contract worth ₹117.88 crore (inclusive of taxes) from the Defence Research and Development Organisation (DRDO), Ministry of Defence. The contract entails the development, installation, and commissioning of a Ground Segment Hub for voice and data communication. The order represents roughly 48.9% of Avantel's TTM revenue of ₹241 crore and is slated for completion by February 2029, accompanied by a 36-month warranty period.
- Contract value: ₹117.88 Crores (inclusive of applicable taxes)
- Customer: DRDO, Ministry of Defence, Government of India
- Scope: Development, Installation & Commissioning of Ground Segment Hub for voice & data communication
- Execution timeline: Scheduled for completion by February 2029
- Warranty terms: 36 months
Avantel Limited announced that its members have approved key board appointments and re-appointments through postal ballot voting concluded on August 16, 2026. Mr. Abburi Siddhartha Sagar (holding an 8.47% equity stake) was re-appointed as Executive Director (Strategy & Business Development) for a 5-year term starting March 8, 2027. Mr. Peddi Bala Bhaskar Rao was appointed as Director (Operations) for 3 years from July 11, 2026, bringing over 30 years of defense electronics expertise. Additionally, Mr. Vyasabhattu Ramchander was re-appointed as Independent Director for 5 years starting May 6, 2027.
- Re-appointment of Mr. Abburi Siddhartha Sagar (holds 2,25,15,377 shares / 8.47%) as Executive Director for 5 years (March 8, 2027 to March 7, 2032)
- Appointment of Mr. Peddi Bala Bhaskar Rao (holds 1,41,965 shares / 0.05%) as Director (Operations) for 3 years (July 11, 2026 to July 10, 2029)
- Re-appointment of Mr. Vyasabhattu Ramchander as an Independent Director for a 5-year term from May 6, 2027 to May 5, 2032
- All resolutions passed with requisite majority via remote e-voting on August 16, 2026
Avantel Limited announced the completion of its postal ballot e-voting on August 16, 2026, passing all three proposed special resolutions with over 99.98% votes in favor. Shareholders approved the re-appointment of Abburi Siddhartha Sagar as Executive Director and Vyasabhattu Ramchander as Independent Director, alongside the appointment of Peddi Bala Bhaskar Rao as Director (Operations). Total voter turnout stood at 41.57% (11.05 crore votes polled out of 26.57 crore total shares) among 1,98,544 recorded shareholders. The voting confirms board continuity and operational leadership without dissent.
- Re-appointment of Abburi Siddhartha Sagar as Executive Director approved with 99.98% favorable votes (11,04,40,148 votes in favor)
- Appointment of Peddi Bala Bhaskar Rao as Director (Operations) approved with 99.98% favorable votes (11,04,39,617 votes in favor)
- Re-appointment of Vyasabhattu Ramchander as Independent Director cleared with 99.98% votes (11,04,42,030 votes in favor)
- Overall voter participation represented 41.57% of total voting shares across 1,98,544 shareholders on the record date (July 14, 2026)
Avantel Limited has declared the results of its Postal Ballot process concluded on August 16, 2026. Shareholders approved all three special resolutions with an overwhelming >99.98% majority of votes cast. The approved resolutions include the re-appointment of Mr. Abburi Siddhartha Sagar as Executive Director, the appointment of Mr. Peddi Bala Bhaskar Rao as Director (Operations), and the re-appointment of Mr. Vyasabhattu Ramchander as Independent Director. The total voting turnout represented approximately 41.57% of total outstanding shares across 198,544 recorded shareholders.
- Re-appointment of Mr. Abburi Siddhartha Sagar as Executive Director approved with 99.98% votes in favour (11,04,40,148 votes)
- Appointment of Mr. Peddi Bala Bhaskar Rao as Director (Operations) passed with 99.98% votes in favour (11,04,39,617 votes)
- Re-appointment of Mr. Vyasabhattu Ramchander as Independent Director passed with 99.98% votes in favour (11,04,42,030 votes)
- Remote e-voting concluded on August 16, 2026, based on a cut-off record date of July 14, 2026 with 198,544 total shareholders
Avantel Limited has secured a domestic supply order worth Rs 2.70 crore from the Integrated Test Range (ITR), Chandipur. The contract involves the supply of a Telecommand RF System and is scheduled for completion by September 2028. This order is relatively small, representing approximately 1.21% of the company's TTM revenue of Rs 223 crore. The terms include a 5% performance bank guarantee, and the execution period spans approximately 25 months.
- Order value of Rs 2.70 crore inclusive of applicable taxes
- Execution timeline set for completion by September 2028
- Performance Bank Guarantee required at 5% of the contract value
- Order awarded by Integrated Test Range (ITR), Chandipur, a domestic entity
- Contract represents approximately 1.21% of TTM revenue (Rs 223 Cr)
Financial Performance
Revenue Growth by Segment
Total operating income grew 10.97% YoY to INR 248.48 Cr in FY25 from INR 223.92 Cr in FY24. Growth was driven by the execution of RTIS systems for Indian Railways and MSS terminals for the Indian Coast Guard. Q1FY26 revenue remained stagnant at INR 51.84 Cr compared to INR 51.65 Cr in Q1FY25 due to slower execution of the order book and government delays in Request For Proposal (RFP) processes.
Geographic Revenue Split
Not specifically disclosed in available documents, though the company primarily serves the Indian Defence services and Indian Railways, with international exposure through clients like Lockheed Martin (USA) and collaborations with Safran (France).
Profitability Margins
Gross margins are influenced by a low-cost indigenous structure. However, PAT margin stood at 24.11% in FY25, a slight decline from 24.76% in FY24 due to higher depreciation. Q1FY26 PAT margin dropped significantly to 8.92% from 15.65% in Q1FY25, caused by a shift in product mix toward lower-margin orders and increased depreciation from new capex.
EBITDA Margin
EBITDA margin was 38.61% in FY25, up from 37.95% in FY24 due to lower cost of goods sold and unsold inventory. However, Q1FY26 EBITDA margin fell to 21.91% from 28.60% in Q1FY25, primarily due to a spike in inventory carrying costs and the execution of low-margin orders.
Capital Expenditure
The company is undertaking a planned capital expenditure of INR 65.00 Cr funded entirely through internal accruals. This investment is directed toward expanding existing facilities and a new plant that was expected to commence operations in August 2025.
Credit Rating & Borrowing
The company holds a 'CARE A-; Stable' and 'ACUITE A-' long-term rating. Borrowing costs are minimized as there is nil long-term debt; total debt of INR 26.23 Cr (FY25) consists of working capital limits and promoter loans. Interest coverage ratio improved to 31.42x in FY25 from 27.37x in FY24.
Operational Drivers
Raw Materials
Key inputs include RF microwave subsystems, digital components, and specialized electronic subsystems, which account for a significant portion of the cost of goods sold. Raw material costs are volatile, fluctuating based on specific order requirements and the need for external procurement of specialized subsystems.
Import Sources
Not specifically disclosed, but the company utilizes a mix of indigenous components and specialized subsystems procured externally to meet rigorous defense specifications.
Key Suppliers
Not specifically disclosed; however, the company maintains an elaborate supply management process to manage long-lead items essential for defense electronics.
Capacity Expansion
A new manufacturing facility was scheduled to start in August 2025. This expansion supports the development of Software Defined Radios (SDR) and Ku-Band Electronic Steerable phased array Antennas (ESA) to meet growing defense demand.
Raw Material Costs
Raw material costs as a percentage of revenue vary by project; in FY25, lower cost of goods sold contributed to a 38.61% EBITDA margin. The company uses a low-cost indigenous design strategy to maintain competitiveness in 'lowest bidder' (L1) tender processes.
Manufacturing Efficiency
The company leverages 30+ years of experience in RF and satellite systems to maintain high margins (38%+). Efficiency is driven by indigenous R&D, reducing reliance on expensive imported finished systems.
Logistics & Distribution
Not specifically disclosed; however, the company provides after-market support and system engineering as part of its service suite.
Strategic Growth
Expected Growth Rate
35-40%
Growth Strategy
Growth will be achieved through the commercialization of a new plant in August 2025, diversification into Software Defined Radios (SDR) where it aims to be a top 5 domestic player, and expansion into railway signaling and Wind Profiler Radars. The company is also leveraging a strategic collaboration with Safran France for aerospace opportunities.
Products & Services
RF microwave subsystems, digital radios, satellite communication (SATCOM) systems, Software Defined Radios (SDR), Ku-Band Electronic Steerable phased array Antennas (ESA), and RTIS systems for railways.
Brand Portfolio
Avantel; Avantel Employees Stock Option Plan - 2023.
New Products/Services
Software Defined Radios for airborne applications, Wind Profiler Radars, and Ground Satellite as a Service (GSaaS) are expected to contribute to revenue starting FY26.
Market Expansion
Expansion into the railway signaling segment (following an order for L&T) and the commercial space sector via Ground Satellite as a Service.
Market Share & Ranking
Prominent player in the Indian defense electronics segment for over three decades; aims to be among the top five companies in India for Software Defined Radios.
Strategic Alliances
Collaboration with Safran France in the aerospace sector and strategic synergy with IMAX to leverage technical competencies for high-growth areas.
External Factors
Industry Trends
The defense electronics industry is shifting toward 'Make in India' and indigenization. The market is growing but faces increased competition from new entrants. Technology is shifting toward Software Defined Radios and high-frequency satellite systems.
Competitive Landscape
Faces competition from both established defense PSUs and new private entrants attracted by the 'Make in India' initiative.
Competitive Moat
Moat is built on 30+ years of domain expertise, proprietary indigenous designs, and a low-cost manufacturing base. This is sustainable due to the high entry barriers created by rigorous defense testing and long gestation periods (4-6 years from RFI to production).
Macro Economic Sensitivity
Highly sensitive to Indian Defense Budget allocations and 'Make in India' policy shifts, which drive the demand for indigenous defense electronics.
Consumer Behavior
Not applicable as the primary customers are institutional (Defense, Railways).
Geopolitical Risks
Geopolitical tensions drive increased defense spending in India, benefiting Avantel's SATCOM and SDR divisions, but supply chain disruptions can impact component availability.
Regulatory & Governance
Industry Regulations
Operations are governed by defense procurement policies and stringent quality standards required for aerospace and strategic electronics. Must comply with 'Make in India' value-addition norms.
Environmental Compliance
Certified with Environmental Management Systems (EMS) and Occupational Health and Safety (OH&S) Management Systems.
Taxation Policy Impact
The company recorded a Profit Before Tax of INR 82.71 Cr in FY25. Standard corporate tax rates apply.
Legal Contingencies
The company reports no pending disputes with stakeholders and maintains cordial relations across the business environment.
Risk Analysis
Key Uncertainties
The primary risk is the long gestation period (up to 6 years) between product development and final delivery, which requires sustained capital allocation without guaranteed returns. Potential impact is a 15-20% margin fluctuation if orders are delayed.
Geographic Concentration Risk
Revenue is heavily concentrated in India, specifically serving the Indian strategic and defense sectors.
Third Party Dependencies
Dependency on government agencies for order clearances and RFPs. Delays in these processes can lead to stagnant revenue as seen in the FY24-FY25 transition.
Technology Obsolescence Risk
High risk in the electronics sector; mitigated by continuous R&D investment in next-gen technologies like Software Defined Radios and Wind Profiler Radars.
Credit & Counterparty Risk
Low risk regarding receivables quality as primary customers are government entities (Defense, Railways), though payment cycles can be long.
