Transcript of Investor Conference call held on August 17, 2026 for Q1- MIDHANI

AI summary - Q1 FY27 turnover Rs. 239.49 Cr +40.46% y-y; EBITDA Rs. 46.6 Cr +12.89% y-y; PAT Rs. 16.31 Cr +27.42% y-y - Order book Rs. 2,329 Cr as of July 1, 2026, with 66% defense, 21% space, 9% energy - Margin compression in Q1 due to LPG price surge and raw material cost inflation; normalization expected by Q3 FY27 - Metal bank implementation expected by Q2 FY27 to mitigate raw material supply and cost volatility - Capex of ~Rs. 1,000 Cr planned over 2-3 years; benefits expected after 3-4 years stabilization - Titanium production doubled (~700 tons); titanium and super alloys have higher margins than steel - Export target ~10% of turnover, expected to grow 10-15% annually over next 3-4 years - S400 certification from GE enables in-country testing services, potential new revenue stream - Focus on indigenization and certifications to replace imports and serve global OEMs; approvals expected within ~1 year - Aluminum rolling initiated using wide plate mill; standalone aluminum plant proposal closed - Scrap management optimized; scrap considered a "gold mine" for raw material recycling - Margin variability depends on product mix; Q1 impacted by external cost factors but EBITDA increased in absolute terms