C2C Advanced Systems Limited (C2C)
Latest quarterly results (H2 FY26)
In its latest reported quarter, H2 FY26, C2C Advanced's revenue was ₹80.0 Cr (+11.1% year on year, +21.0% on the previous half-year), and net profit ₹-5.0 Cr (against a profit a year earlier); the operating margin was -7.5%.
| H2 FY26 (₹ Cr) | Value | YoY vs H2 FY25 | vs prev. half |
|---|---|---|---|
| Revenue | ₹80.0 | +11.1% | +21.0% |
| Operating profit | ₹-6.0 | to loss | to loss |
| Net profit | ₹-5.0 | to loss | to loss |
| EPS (₹) | -3.14 | to loss | to loss |
| Operating margin | -7.5% | — | — |
C2C delivery percentage
NSE end-of-day data for
On Fri, 16 Oct 2026, 63.67% of the C2C shares traded on NSE were taken to delivery, against the stock's own 20-session average of 65.21%. That is close to its usual level. It closed at a price band (circuit) on 1 session in about the last 20.
Delivery in the last 5 sessions: 70.8% · 63.2% · 65.8% · 70.0% · 63.7%
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
C2C Advanced Systems announced board changes effective October 8, 2026. Ms. Maya Chandra has resigned from her role as Director. Concurrently, Mr. Putta Satish Chowdhary, aged 44, has been appointed as an Additional Director (Non-Executive Non-Independent). The 50-minute board meeting commenced at 5:30 PM and concluded at 6:20 PM IST.
- Resignation of Ms. Maya Chandra from the post of Director effective October 8, 2026
- Appointment of Mr. Putta Satish Chowdhary (aged 44) as Additional Director effective October 8, 2026
- Board meeting commenced at 05:30 P.M. and concluded at 06:20 P.M. on October 8, 2026
- Appointed director brings approximately 10 years of trading and operations experience
In a shareholder letter, C2C Advanced Systems' CEO reported that trade collections currently stand at approximately 30% of target levels expected for this point in the financial year. Management attributed delays to administrative cycles of government, public sector, and large enterprise clients rather than doubtful debts or recognition issues. The CEO apologized for missing an investor communication schedule, specifically the update due on August 26, 2026. Separately, the promoter group announced plans to inject capital via a preferential allotment, details of which will follow in a shareholder notice.
- Collections are trailing at approximately 30% of expected levels for this point in the fiscal year
- Missed scheduled periodic shareholder communication update previously committed for August 26, 2026
- Promoter group intends to invest additional capital by way of a preferential allotment (terms to be finalized)
- Management affirms invoiced balances are supported by client confirmations with no material amounts deemed doubtful
C2C Advanced Systems Limited has released a corrigendum to the notice of its 9th Annual General Meeting (AGM) for FY 2025-26. The announcement rectifies a typographical error where the AGM date was inadvertently stated as September 30, 2025, instead of September 30, 2026. The company confirmed that all other particulars, including e-voting schedules and AGM mode, remain unchanged.
- AGM date corrected to September 30, 2026 from the errantly printed September 30, 2025
- Applies to the Notice forming part of the Annual Report for Financial Year 2025-26
- Pertains to the 9th Annual General Meeting of the company
- All other details including e-voting schedule and cut-off date remain unchanged
C2C Advanced Systems has issued a notice for its 9th Annual General Meeting scheduled for September 30, 2026. A key item on the agenda includes shareholder approval for material Related Party Transactions up to ₹120 crore for FY 2026-27 with promoter-related entities. The company is also proposing the appointment of M/s. Narasimhan & Srinivasan as statutory auditors until 2031 to fill a casual vacancy created by the resignation of M/s. Labs & Associates. Additionally, the AGM will consider the directorship of Ms. Maya Chandra and the appointment of COO Mr. Narendra Subrahmanya Srinivasa Lanka as Whole-Time Director.
- 9th AGM to be held via Video Conferencing on September 30, 2026, with cut-off date set to September 23, 2026
- Approval sought for material Related Party Transactions up to ₹120 crore for FY 2026-27 with promoter-related entities
- Appointment of M/s. Narasimhan & Srinivasan as statutory auditors until 2031 to fill casual vacancy caused by resignation of M/s. Labs & Associates
- Proposal to appoint COO Mr. Narendra Subrahmanya Srinivasa Lanka (holding 5,01,000 shares) as Whole-Time Director
C2C Advanced Systems announced several board outcomes, notably withdrawing and deferring its proposal to raise funds via preferential convertible warrants to a future meeting. The board recommended appointing M/s Narasimhan & Srinivasan as Statutory Auditors for a 5-year term through 2031, following a casual vacancy. Additionally, internal and secretarial auditors were appointed for FY27, and director regularizations were approved subject to shareholder consent at the 9th AGM on September 30, 2026.
- Preferential warrant fundraise proposal withdrawn and deferred to the next board meeting
- Recommendation to appoint Statutory Auditor M/s Narasimhan & Srinivasan for a 5-year term ending at the 2031 AGM
- 9th Annual General Meeting scheduled for September 30, 2026, with cut-off date set to September 23, 2026
- Appointed M/s R Seetharaman & Associates as Internal Auditor and M/s S. Khandelwal & Co. as Secretarial Auditor for FY 2026-27
C2C Advanced Systems announced outcomes from its board meeting held on September 07, 2026. The board scheduled the company's 9th Annual General Meeting for September 30, 2026, with remote e-voting running from September 27 to September 29, 2026. Key proposals include recommending the appointment of M/s Narasimhan & Srinivasan as Statutory Auditors for a 5-year term until 2031 and regularizing promoter directors. Notably, the board withdrew the agenda item regarding raising funds via preferential convertible warrants, deferring it to a future meeting.
- AGM scheduled for September 30, 2026; cut-off date for e-voting is September 23, 2026
- Remote e-voting period runs from September 27, 2026 (9:00 AM) to September 29, 2026 (5:00 PM)
- Proposed appointment of M/s Narasimhan & Srinivasan as Statutory Auditors for a 5-year term through 2031
- Agenda item to consider raising funds via Fully Convertible Warrants was withdrawn by management for consideration in the next board meeting
C2C Advanced Systems Limited has announced the appointment of M/s Narasimhan & Srinivasan, Chartered Accountants, as its Statutory Auditors on September 07, 2026. The appointment is effective from the conclusion of the upcoming Annual General Meeting until the AGM in 2031, covering a 5-year tenure. The audit firm was established in 1987 and recently received its Peer Review Certification in March 2026. This administrative change fulfills corporate compliance requirements under SEBI regulations.
- Appointment approved by the Board on September 07, 2026, following the Audit Committee's recommendation
- Tenure extends from the conclusion of the ensuing AGM until the AGM to be held in 2031
- Appointed audit firm M/s Narasimhan & Srinivasan was established in 1987 and received Peer Review Certification in March 2026
- Board meeting commenced at 05:45 PM and concluded at 08:45 PM on September 07, 2026
C2C Advanced Systems announced the outcomes of its Board meeting held on September 07, 2026. The Board withdrew its proposal to raise funds through Fully Convertible Warrants on a preferential basis, deferring the matter to the next meeting. Additionally, it recommended the appointment of M/s Narasimhan & Srinivasan as Statutory Auditors for a 5-year term (2026–2031) and approved the regularization of promoter directors Commander LSS Narendra (Retd.) as Whole-Time Director and Ms. Maya Chandra as Director, subject to shareholder approval at the AGM scheduled for September 30, 2026.
- Fundraise via Fully Convertible Warrants withdrawn from agenda and deferred to the next board meeting
- M/s Narasimhan & Srinivasan recommended as Statutory Auditors for 5 consecutive years (until 2031 AGM)
- Regularization of promoter Mr. LSS Narendra as Whole-Time Director effective September 30, 2026
- 9th AGM scheduled for September 30, 2026, with cut-off date fixed as September 23, 2026
M/s LABS & Associates has resigned as the Statutory Auditor of C2C Advanced Systems effective August 14, 2026, citing pre-occupation with other assignments. The resignation comes mid-term, as the firm was originally appointed for a five-year period ending in FY 2028-29. The auditors recently completed the FY 2026 audit on July 18, 2026, and had not yet commenced the FY 2027 audit. The company has stated there are no material concerns or disagreements associated with this departure.
- Resignation effective from the closing business hours of August 14, 2026
- Auditor was originally appointed for a 5-year term from FY 2024-25 to FY 2028-29
- Last audit report for the year ended March 31, 2026, was submitted on July 18, 2026
- The firm cited inability to devote time due to other assignments as the primary reason
- Company to appoint new Statutory Auditors to fill the casual vacancy in due course
C2C Advanced Systems has provided a liquidity update, confirming the collection of Rs 15.56 Cr in receivables through the end of July 2026. An additional Rs 7.5 Cr is currently in process and expected to be credited within a week, totaling approximately Rs 23.06 Cr in recent cash inflows. While the company acknowledged delivery delays due to complex sensor integration requirements in global markets, it confirmed successful sign-offs on several subsystems. Management maintains that they are on track for their August collection targets, which is vital for a company with Rs 48 Cr in debt.
- Rs 15.56 Cr in receivables successfully collected by the end of July 2026
- Rs 7.5 Cr in additional payments currently in process and expected within 7 days
- Successful delivery and client sign-off achieved for multiple defense subsystems
- Company maintains a manageable Debt-to-Equity ratio of 0.22 based on Rs 48 Cr debt and Rs 222 Cr net worth
- Management targeting consistent month-on-month positive free cash flow by 2027
C2C Advanced Systems addressed critical concerns regarding its balance sheet and liquidity during its H2 FY2025-26 earnings call. Management confirmed that approximately ₹25 crore has been collected since April 1, 2026, and they aim to recover 80% of receivables older than 180 days by September 2026. The company clarified that a ₹14.5 crore IFRS provision for long outstandings is expected to be reversed by year-end as collections materialize. Furthermore, management emphasized that the auditor's observation was an 'Emphasis of Matter' regarding aging, not a qualified opinion or a going-concern threat.
- Targeting collection of 80% of receivables outstanding beyond 180 days by the end of September 2026
- Confirmed collection of approximately ₹25 crore in receivables since April 1, 2026
- Recorded a ₹14.5 crore IFRS provision for long outstandings, which management expects to reverse by the end of the fiscal year
- Warranty retention on contracts typically ranges between 8% and 15% of the total contract value
- Clarified that the related party account with Synergy Login is now closed with all dues received
C2C Advanced Systems has approved raising funds through the issuance of Fully Convertible Warrants to promoters and non-promoters on a preferential basis. The board also initiated the formulation of an Employee Stock Option Scheme (ESOP) to align employee interests. In a notable move, the CEO has requested that his remuneration be deferred until after March 31, 2027, contingent upon the 'satisfactory realization' of outstanding trade receivables. This highlights a management focus on cash flow and liquidity, as the company carries Rs 48 Cr in debt against a net worth of Rs 222 Cr.
- Board approved issuance of Fully Convertible Warrants to Promoters and Non-Promoters on August 01, 2026
- CEO remuneration deferred until after March 31, 2027, pending trade receivable realization
- Authorization granted to formulate and implement a new Employee Stock Option Scheme (ESOP)
- Company maintains a Debt-to-Equity ratio of 0.22 based on Rs 48 Cr debt and Rs 222 Cr net worth
- Management targeting positive free cash flow by 2027 as part of its broader efficiency strategy
C2C Advanced Systems has released the audio recording of its earnings conference call held on July 27, 2026, regarding the H2 FY 2025-26 results. This is a standard regulatory filing under SEBI (LODR) Regulations to ensure transparency for all shareholders. The company is currently navigating a high-growth phase with a target of 180.40% growth, driven by a shift toward high-margin IP-based revenue. Investors can access the recording on the company's website, with a written transcript to follow.
- Earnings conference call was conducted on July 27, 2026, at 5:30 p.m. IST
- The call focused on the financial results for the half-year (H2) ending March 2026
- Filing submitted to the exchange on July 29, 2026, in compliance with Regulation 30
- Company maintains a debt of Rs 48 Cr against a net worth of Rs 222 Cr
Financial Performance
Revenue Growth by Segment
The defense portfolio, including industrial and digital transformation practices for defense, contributes approximately 75% of total revenue. IP-based revenue is projected to be 30% for FY25-26, with a long-term target to increase this to 50%. Total revenue grew from INR 41.06 Cr in FY24 to INR 115.11 Cr in FY25, representing a 180.4% YoY increase.
Geographic Revenue Split
Historically, a significant portion of revenue was derived from global clients, including a two-year delivery of systems to the Malaysian Navy. The company is now aggressively penetrating the domestic market, recently securing an order from an Indian Public Sector Undertaking (PSU) for defense sub-systems.
Profitability Margins
Gross Profit margins have seen a decline from 93.8% in FY23 to 76.5% in FY24, and further to 55.8% in FY25 (INR 64.22 Cr) due to changes in product mix and increased cost of goods sold. Net Profit (PAT) margin stood at 25.1% in FY25 (INR 28.84 Cr) compared to 29.9% in FY24.
EBITDA Margin
EBITDA margin was 36.0% in FY25 (INR 41.42 Cr), down from 44.6% in FY24 (INR 18.33 Cr). This 860 basis point compression is attributed to higher employee costs, which rose 30.8% YoY to INR 12.18 Cr, and other operational expenses.
Capital Expenditure
Capital Work-in-Progress (WIP) stood at INR 25.57 Cr in FY25. The company is utilizing IPO proceeds for capital expenditure, including INR 1.47 Cr for upgrading the Experience Centre and setting up a Training Centre, though vendor selection has deviated from the original prospectus to secure better deals.
Credit Rating & Borrowing
Short-term borrowings increased significantly from zero in FY24 to INR 37.61 Cr in FY25. Finance costs rose from INR 0.79 Cr to INR 0.92 Cr YoY. Specific credit ratings and interest rate percentages were not disclosed in the available documents.
Operational Drivers
Raw Materials
Key inputs include electronic hardware components for sub-systems, proprietary software modules, and purchased goods for trade which accounted for INR 103.17 Cr in FY25 (approx. 89.6% of revenue).
Import Sources
Not specifically disclosed, though the company mentions global operations and the ability to create products locally based on global technological trends.
Key Suppliers
Not specifically named, however, the Monitoring Agency report noted a shift in vendors for capital assets from those originally proposed in the prospectus to alternative vendors offering better specifications/deals.
Capacity Expansion
The company is expanding through the setup of a new Training Centre and the upgradation of its existing Experience Centre. It maintains core competencies in system integration, architecture, and software development for mission-critical applications.
Raw Material Costs
Cost of Goods Sold (COGS) was INR 50.89 Cr in FY25, representing 44.2% of revenue, a sharp increase from 23.5% in FY24. This increase is driven by a higher volume of purchased goods for trade (INR 103.17 Cr) offset by inventory changes.
Manufacturing Efficiency
The company is transitioning toward a model focused on free cash flow, targeting consistent month-on-month positive free cash flow by 2027. Efficiency is driven by the 'MAGI-C4ISR' architecture.
Strategic Growth
Expected Growth Rate
180.40%
Growth Strategy
Growth is driven by a shift toward high-margin IP-based revenue (targeting 50% share) and penetrating the domestic Indian defense market. The company is leveraging its MAGI-C4ISR architecture to secure PSU orders and is positioning itself for recurring follow-on opportunities in mission-critical defense integration programs.
Products & Services
Command and control platforms, situational awareness systems (digital brains for warships and drones), mission-critical defense sub-systems, MAGI-C4ISR architecture, and Industry 4.0 digital transformation products.
Brand Portfolio
C2C Advanced Systems, MAGI-C4ISR (Architecture).
New Products/Services
Recent launch and supply of sub-systems for PSU defense projects; expected to provide an entry point for recurring domestic revenue.
Market Expansion
Targeting the domestic Indian defense ecosystem to balance its historical reliance on global clients like the Malaysian Navy.
Market Share & Ranking
Not specifically disclosed, but positions itself as a key player in the digital 'brains' of defense assets.
Strategic Alliances
Collaborates with Public Sector Undertakings (PSUs) for defense system integration; specific private partner names were not disclosed.
External Factors
Industry Trends
The Indian Ministry of Defense targets a US$ 36.1 bn turnover in aerospace and defense by 2028-29. The industry is shifting toward software-defined warfare and situational awareness, where C2C's C4ISR platforms are positioned for growth.
Competitive Landscape
Competes with both domestic PSUs (as a sub-system supplier) and global defense technology integrators.
Competitive Moat
Moat is built on 25+ years of founder experience in the defense domain and proprietary software-driven architectures that are 'agnostic' to hardware, making them difficult to displace once integrated into mission-critical naval or drone systems.
Macro Economic Sensitivity
Highly sensitive to Indian Defense Budget allocations. The FY26 budget envisages an outlay of INR 6.81 lakh crore (13.45% of total budget), with a 4.65% increase in capital outlay which directly impacts C2C's order pipeline.
Consumer Behavior
Shift in government procurement toward domestic private players under the 'Atmanirbhar Bharat' initiative is increasing demand for C2C's locally developed IP.
Geopolitical Risks
Global defense trends and local 'Make in India' requirements influence the company's ability to create and sell products locally versus globally.
Regulatory & Governance
Industry Regulations
Operations are governed by Ministry of Defense procurement policies and SEBI Listing Obligations. The company must comply with mission-critical security standards for defense applications.
Taxation Policy Impact
Effective tax rate in FY25 was approximately 29.8% (INR 12.28 Cr tax on INR 41.12 Cr PBT).
Legal Contingencies
The Monitoring Agency (ICRA) reported a deviation in the utilization of IPO proceeds where funds were paid to vendors different from those listed in the prospectus, though the company justified this as seeking 'best deals'.
Risk Analysis
Key Uncertainties
Uncertainty regarding the timing of 'emergency procurements' and the specific product mix in the order book, which can cause margin volatility between 25% and 35%.
Geographic Concentration Risk
Transitioning from high global concentration to increasing domestic Indian exposure.
Third Party Dependencies
Dependency on hardware vendors for system integration; management noted potential constraints if material purchase support is unavailable.
Technology Obsolescence Risk
High risk in electronics; mitigated by a 10-year replacement cycle and focus on software-driven retrofitting.
Credit & Counterparty Risk
Trade receivables rose to INR 109.96 Cr in FY25 (nearly 95% of annual revenue), indicating potential working capital pressure and long payment cycles typical of defense contracts.
