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    Astra Microwave

    ASTRAMICRO
    Capital Goods·14 Aug 2025
    Management Summary

    Astra Microwave reported a strong Q1 FY26 with revenue growing 28.1% YoY to INR197 crores and a robust stand-alone order book of INR1,891 crores. The company secured INR137 crores in Q1 orders, with an additional INR123 crores in July, and is making strategic investments in space, MMIC, and anti-drone technologies. While the ARC JV faced minor Q1 delays, management remains confident in achieving its FY26 order inflow and revenue growth targets.

    Highlights

    5
    • Revenue of INR197 crores, growing 28.1% year-on-year, indicating a strong start to FY26.

    • Stand-alone order book reached INR1,891 crores, providing strong visibility for coming quarters.

    • Secured a significant INR135 crore order from DRDO in August 2025 for ground-based radar system upgradation.

    • Q1 FY26 order inflow stood at INR137 crores, with an additional INR123 crores booked in July, totaling INR260 crores YTD.

    • Wholly-owned subsidiary Astra Space Technologies established to focus on space business, with INR239 crores in space sector orders.

    Concerns

    2
    • Joint venture, ARC, reported marginal profits in Q1 due to supply chain issues and customer acceptance delays, shifting sales to the current quarter.

    • Delay in few tests of DRDO for Uttam Radar impacting the timeline for order induction.

    Key financials

    Single quarter

    01 metrics
    1. 01Revenue₹197 Cr+28.1%YoY

    Order Book

    high confidence

    Total Value

    ₹ 1,891 crores

    as of 2025-08-14

    quantified

    Inflow this qtr

    ₹ 137 crores

    Execution

    strong visibility for the coming quarters

    Composition

    Space Sector(product)
    ₹ 239 crores12.6%
    Build-to-spec(contract type)
    Astra Rafael Comsys Private Limited (JV)(entity)
    ₹ 400 crores

    Pipeline

    L1 awaiting loa

    Negotiations for INR150 crores and pipeline of INR100 crores expected in Q2.

    "The company maintains a robust stand-alone order book of INR1,891 crores, with significant new orders in Q1 and a strong pipeline for Q2, ensuring good visibility for future quarters."

    Source:
    Prepared remarks
    Q&A

    Capital allocation

    3
    high confidence
    CategoryHeadline
    M&A

    Astra Space Technologies Private Limited

    acquisition · signed

    M&A

    Unnamed chip development company

    Other · signed

    M&A

    Unnamed Defense PSU SPV

    joint venture · announced

    Guidance & targets

    11
    CategoryTargetPriority
    Order Inflow
    Total Order Inflow
    INR1,300 crores to INR1,400 crores
    High
    Order Inflow
    Additional Order Inflow
    INR1,100 crores
    High
    Order Inflow
    ARC JV Order Inflow
    $100 million
    High
    Order Inflow
    Ground Penetrating Radar Orders
    a few orders
    Medium
    Order Inflow
    SDR Radar Contracts
    3 major contracts, $100 million
    High
    Revenue
    Revenue Growth
    18% to 20%
    High
    Revenue
    ARC JV Top Line
    INR350-plus crores
    High
    Profitability
    Profit Margins
    maintain current year profit / slight improvement
    Medium
    Profitability
    ARC JV PBT
    10%
    High
    Product Development
    New Radars Delivered
    at least 3
    High
    Order Book
    Metrological/Hydrological Order Book
    INR400 crores, INR500 crores
    Medium

    Uttam Radar Order Update

    next 3-4 months
    CurrentDelay in DRDO tests, no firm timeline for order induction.
    TargetSpecific timeline or quantum of orders for Uttam Radar.

    Why it matters

    Uttam Radar is a significant project with large potential, and its induction timeline is crucial for future revenue visibility.

    Maybe in next 3 to 4 months, I think we'll be in a position to inform you exactly on the Uttam.

    How to verify

    guidance_and_targets[metric='Total Order Inflow']

    Risks & concerns

    3
    RiskSeverity

    ARC JV Q1 Performance

    Marginal profits in Q1 for ARC JV due to supply chain issues and customer acceptance delays.Management acknowledged

    low

    Uttam Radar Order Delays

    Delay in few tests by DRDO for Uttam Radar impacting order induction timelines.Management acknowledged

    medium

    Myanmar Project Confidentiality

    Details on Myanmar radar technology project are confidential, with updates expected in 4-5 months, indicating potential sensitivities.Management not addressed

    medium

    Q&A highlights

    7

    “only time can tell. Maybe in next 3 to 4 months, I think we'll be in a position to inform you exactly on the Uttam.”

    Critical for future order book, but management cannot provide firm timelines due to external factors (DRDO tests).

    asked by Amit Dixit

    2 min read6 chapters

    Detailed Narrative

    01

    Q1 FY26 Performance Overview

    Astra Microwave reported a strong start to FY26 with a stand-alone top line of INR197 crores, marking a 28.1% year-on-year growth. The company noted an increase in other profit margins, indicating the strength of its core business. This performance highlights the significant transformation occurring within the Indian defense sector, driven by government initiatives to strengthen domestic manufacturing.

    02

    Robust Order Book and Inflow

    The stand-alone order book currently stands at INR1,891 crores, providing strong revenue visibility for upcoming quarters. In Q1 FY26, the company booked INR137 crores in orders. Additionally, INR123 crores in orders were secured in July, bringing the total booked for FY26 to INR260 crores as of August 14, 2025. Management expects to book an additional INR1,100 crores by March 2026, targeting a total FY26 inflow of INR1,300-1,400 crores.

    03

    Strategic Diversification and New Opportunities

    Astra Microwave is actively diversifying its technology and sector presence, with a focus on radar systems for defense and weather applications. The company has secured INR239 crores in orders from the space sector and established Astra Space Technologies Private Limited as a wholly-owned subsidiary. Significant investments are also being made in anti-drone systems, with participation in over 3 dozen RFIs, and in Metrological and hydrological sectors, targeting an order book of INR400-500 crores in the next two years.

    04

    Product Development and Innovation

    The company's R&D team is committed to delivering at least three new radars this year, with a focus on lightweight, low-level, anti-drone, and ground penetration radars. Astra has successfully completed site acceptance tests for its first-ever developed photonics radar and is developing an engineering model for a handheld ground penetrating radar, expected to be completed in the next couple of months. The X-band seeker for missile programs is expected to be qualified by December 2025, with potential orders for 50-60 units in the next 2-3 years.

    05

    Joint Venture Performance and Outlook

    The joint venture, Astra Rafael Comsys Private Limited (ARC), has an order book exceeding INR400 crores and is projected to achieve a top line of over INR350 crores with a PBT of approximately 10% for FY26. While ARC experienced marginal profits in Q1 due to supply chain issues and customer acceptance delays, management is confident in meeting its yearly guidance. ARC is actively pursuing opportunities in tactical communication and electro-optics, with expectations of securing $100 million in orders by March 2026.

    06

    MMIC Chips and Global Ambitions

    Astra has been involved in MMIC chips for over two decades, forming the backbone of its TR modules. The company boasts a portfolio of over 40 chips and is focused on upgrading them to compete in global markets, with a potential to sell chips exceeding $50 million over the next five years. Astra has signed one equity participation linked transaction with a chip development company and is pursuing another, aiming for global relationships to enable these sales.

    This is an AI-generated summary of a publicly available earnings call transcript. It is for informational purposes only and does not constitute investment advice, a recommendation, or an endorsement. inve.money is not a SEBI-registered investment advisor. Please consult a qualified financial advisor before making any investment decisions.