Managing Director Srinivas Reddy expects earnings before interest, taxes, depreciation and amortization (EBITDA) margins to be around 24% in FY27, with the order book touching ₹5,000 crore by the end of the year.
Watch the full conversation here or scroll for edited excerpts.
Clean energy continues to remain the company’s biggest growth driver, with key global clients ramping up orders and capacity requirements. It is also expanding manufacturing capacities during the year to support execution across clean energy, aerospace, defense and nuclear businesses.
MTAR is also planning ₹250-300 crore of capex during FY27, partly funded through debt, to support future growth and capacity expansion.
In the March quarter of 2026 (Q4FY26), MTAR Technologies reported a 67% year-on-year rise in revenue to ₹306 crore, with EBITDA margin expansion of 154 basis points to 20.19% and net profit of ₹44 crore, up from ₹14 crore in the corresponding quarter last year.
Telangana-based MTAR Technologies has a market capitalization of around ₹20,578 crore. The stock has surged nearly 345% over the past year.
This is an edited transcript of the interview.Q: MTAR Technologies has raised its FY27 revenue growth guidance from 50% to 80%. What gives you the confidence to raise guidance?
A: Based on the kind of inputs we received and the order book we have, we reviewed everything very carefully and raised the guidance to a level that is very comfortable and achievable for us.
With improved operating leverage, we should achieve EBITDA margins of around 24%. We also expect a very strong order book by the end of FY27, close to ₹5,000 crore, with more orders expected across various quarters this year.
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Q: Do you have enough capacity to execute the targeted order book? Which segments are seeing maximum traction?
A: The maximum traction is clearly from the clean energy sector. At the same time, we are also seeing substantial growth in aerospace, defense and nuclear businesses.
We have qualified for many aerospace assemblies and are already doing volume production. Absolute numbers in the other sectors are also growing this year.
Q: What kind of ordering activity are you seeing from clients like Bloom Energy and Fluence Energy?
A: We already have a strong order book in clean energy and expect additional orders going forward. Existing capacity expansion has already been commissioned, and we are undertaking further capacity additions to meet customer requirements.
While exact numbers cannot be disclosed due to non-disclosure agreements (NDAs), demand remains very strong, and we are expanding capacities accordingly.
Q: Will clean energy continue to account for a majority of the order book?
A: Yes, definitely. More than half of the order book will continue to come from clean energy.
Q: Is the West Asia crisis creating supply-side risks or pressure on margins?
A: We had some input cost issues in the last quarter, but we evaluated everything carefully and remain confident about our revenue and margin guidance. It is not a major concern for us right now.
Q: Will FY27 margins be back-ended or improve steadily through the year?
A: Last year, the first half was weak, but this year we expect a strong first half itself, with the second half being even better. Operating leverage should help margins improve quarter-on-quarter and support the 24% EBITDA margin guidance.
Q: Working capital days have improved sharply. What explains the improvement?
A: We worked closely with customers for better payment terms and improved inventory management. Working capital days have come down significantly, and we aim to sustain them in the 150-170-day range going forward.
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Q: What are the company’s capex and nuclear business plans?
A: Capex for FY27 is expected to be around ₹250-300 crore for capacity enhancement and will be partly funded through debt.
On the nuclear side, margins are higher, and the company currently has an order book of around ₹650 crore to be executed over the next three to three-and-a-half years. MTAR also expects additional nuclear opportunities from refurbishment and new reactor projects.
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