CWD Ltd

Order details

• Awarding entity: India Post Payments Bank (IPPB), domestic.
• Scope: supply of 5,29,500 payment soundboxes with integration to a proprietary digital platform.
• Value: ₹87.53 crore inclusive of tax.
• Timeline: hardware deployment targeted over six months; 3-year S&M lifecycle.
• Terms: standard GeM tender conditions with performance security and warranty obligations.
• Related party: No promoter group interest; not a related party transaction.
• Impact: 3-year S&M provides recurring revenue visibility.
• Expansion potential: deployment may scale to ~33 lakh devices over three years.
• Delivery: phased deliveries aligned with IPPB rollout.

Status of dematerialisation/rematerialisation

• Details of dematerialised/rematerialised securities for quarter ended June 30, 2026 were furnished to all stock exchanges.

Business overview

• CWD designs and manufactures ICT solutions across consumer electronics and technology solutions.
• Core offerings include payment soundboxes, smart meters, IoT devices, and bespoke wireless systems.

Operational highlights

• Soundbox capacity is rising from 1.5 lakh to 2.5 lakh units monthly.
• Manufacturing footprint expanded from 15,000 sq. ft. to 55,000 sq. ft.
• Won a 1 million CNIC order worth about ₹45 crore.
• Won 25,000 WMS order with 15,000 additional units committed.
• Entered walkie-talkie segment and targets FY27 quarterly revenue run-rate of ₹95–100 crore.

Financial performance

• H2 FY26 revenue rose 308% YoY to ₹110 crore; FY26 revenue rose 346% YoY to ₹151 crore.
• H2 FY26 EBITDA rose 158% YoY to ₹20 crore; FY26 EBITDA rose 251% YoY to ₹28 crore.
• H2 FY26 PAT rose 84% YoY to ₹8 crore; FY26 PAT rose 391% YoY to ₹12 crore.
• FY26 EBITDA margin was 16.0%; PAT margin was 8.4%.

Capital structure

• Cash and investments increased to ₹57.4 crore in FY26 from ₹27.3 crore.
• Shareholder funds rose to ₹113.7 crore from ₹57.6 crore.
• Borrowings increased to ₹79.4 crore, including ₹63.9 crore short-term debt and ₹15.5 crore long-term debt.

Strategy and outlook

• Management targets ₹380–400 crore revenue by FY27.
• Growth is expected from order execution, capacity ramp-up, and international expansion.
• Direct OEM sourcing is expected to reduce material costs and support margin expansion in FY27.

Risks and challenges

• EBITDA margin fell to 16.0% in FY26 from 21.7% in FY25.
• Working capital expanded sharply, with receivables and inventories both rising materially.
• Execution depends on scaling manufacturing and converting the order pipeline.

Governance

• Tejas Kothari is Joint Managing Director and CFO.
• Siddhartha Xavier is Joint Managing Director.
• Aditya Xavier leads technology and Manish Mistry leads hardware.

Standalone FY26

• 📊 Revenue from operations rose 342% YoY to ₹145.83 crore.
• 📊 Total revenue rose 346% YoY to ₹150.83 crore.
• 📊 PBT rose 466% YoY to ₹19.54 crore.
• 📊 PAT rose 391% YoY to ₹12.32 crore.
• 📊 FY26 EPS was ₹5.76 basic and ₹5.00 diluted.
• 📊 Material consumed was ₹119.76 crore, driving most operating costs.
• 📊 Finance cost rose to ₹5.45 crore from ₹2.90 crore.
• 📊 Depreciation and amortisation rose to ₹3.27 crore from ₹1.69 crore.

Consolidated FY26

• 📊 Revenue from operations rose 343% YoY to ₹141.84 crore.
• 📊 Total revenue rose 345% YoY to ₹146.83 crore.
• 📊 PBT rose 418% YoY to ₹17.85 crore.
• 📊 PAT rose 343% YoY to ₹11.12 crore.
• 📊 FY26 EPS was ₹5.19 basic and ₹4.51 diluted.
• 📊 Minority interest reduced consolidated profit by ₹0.44 crore.
• 📊 Material consumed was ₹119.76 crore, the largest expense line.
• 📊 Finance cost rose to ₹5.48 crore from ₹2.00 crore.

Balance sheet and cash

• 📊 Standalone cash and equivalents rose to ₹57.31 crore.
• 📊 Consolidated cash and equivalents rose to ₹57.44 crore.
• 📊 Standalone inventories increased to ₹54.15 crore.
• 📊 Standalone receivables increased to ₹39.74 crore.
• 📊 Standalone borrowings included ₹15.51 crore long-term and ₹63.86 crore short-term.
• 📊 Consolidated borrowings included ₹16.13 crore long-term and ₹63.86 crore short-term.
• 📊 Standalone total assets were ₹239.74 crore.
• 📊 Consolidated total assets were ₹238.79 crore.

Capital actions

• 📍 Board approved allotment of 38,513 shares on warrant conversion.
• 📍 Board also allotted 1,54,052 bonus shares in 4:1 ratio.
• 📍 Paid-up capital increased to ₹22.40 crore after allotment.
• 📍 Warrant conversion price was ₹680.25 per warrant.
• 📍 Preferential allotment proceeds of ₹63.96 crore were fully utilised.

Audit and accounting

• 🗒️ Auditors issued unmodified opinions on standalone and consolidated results.
• ⚠️ Auditors highlighted ₹13.21 crore intangible assets under development.
• ⚠️ Capitalised salary costs were based on management estimates and internal workings.

Business model

• CWD Limited operates as a single-business company.
• The group includes SDG Global, CWD Manufacturing, CWD Digital Platform, Meshmerise Networks and CWD Innovation HK.

Purchase Order Details

• Order awarded by a domestic Fintech Company (name undisclosed)
• Contract for supply of communication products
• Order value is Rs. 45.24 crores plus taxes
• Execution period is 3 months
• No promoter or promoter group interest in awarding entity
• Order is not a related party transaction

Management Changes

• Mrs. Pratima Bajaj resigned as Company Secretary and Compliance Officer effective March 1, 2026.
• Resignation due to personal reasons; no other material reasons disclosed.
• Vacancy created in Company Secretary and Compliance Officer position pending new appointment.