Mishra Dhatu Nigam Ltd

Financial Performance

• Turnover: Rs. 239.49 crore in Q1; up 40.46% YoY.
• Value of production: Rs. 260.36 crore; up 7.9%.
• PBT: Rs. 23.92 crore; up 25.89%.
• PAT: Rs. 16.31 crore; up 27.42%.
• EBITDA: Rs. 46.6 crore; up 12.89%.
• Order book on 1 Jul 2026: Rs. 2,329 crore.

Operational Highlights

• S400 GE certification enables in-house testing of mechanical, chemical, metallography.
• NAS410/Nadcap testing qualification targeted by end of this financial year.
• ISO 27001 and ISO 50001 certifications planned this year.
• AI in metallurgy seminar on 17 July; exploring implementations.
• Isothermal forging for fighter aircraft; orders for 4 super alloys and 3 titanium grades; 6,000-ton press.
• Rolled 7000-series aluminum for a PSU; first commercial rolling order.
• ABHED bulletproof jackets fabricated; testing underway; certificates due next quarter.
• Preliminary BAFA license for metal powder obtained; equipment expected next year.
• Spring plant underway; sample order from BEML; more orders anticipated.
• Metal bank advanced in raw-material procurement; expected clarity by end of Q2.

Capex and Capacity

• Capex plan: Rs 1,000 crore over the next 3 years; not immediate top-line turn; benefits after 4–5 years.
• FY27 maintenance Capex around Rs 50–60 crore.
• Aluminum plant Nellore JV closed; indigenization via wide plate mill for rolled aluminum plates.
• Titanium: new melting facility; orders worth about Rs 600 crore.
• Capex realization may lag; existing plus new assets; full impact after stabilization.

Exports and International

• Exports ~10% of turnover; current-year sales Rs. 33 crores; open export orders Rs. 25 crores.
• Exports to grow 15–20% over 3–4 years; potential Rs. 100–120 crore incremental export revenue.

Q&A Highlights

• Margin normalization expected from Q3; target EBITDA margin around 20–21%.
• Raw-material variance: Rs 13 crore adverse; metal bank in progress; target by Q2.
• Q1 EBITDA margin around 20%; improvement anticipated in Q2/Q3.
• Titanium/super-alloy margins higher than other steels; titanium orders worth Rs 600 crore.
• Aluminum-indigenization via wide plate mill rather than Nellore plant; timelines under discussion.
• Onboarding global OEMs (Boeing/Rolls-Royce) possible within 1 year; few years for decisive orders.

Risks and Watchpoints

• Raw-material availability and cost volatility; LPG price sensitivity remains near-term risk.
• Project lead times and certifications impacting order execution and timing.

A. Pugazhenthi – Independent Director Appointment

• Appointed as non-official Independent Director for three years from DIN allotment.
• MoD letter dated August 21, 2026 conveyed appointment; effective from DIN allotment.
• Profile: M.Sc and LL.B; practicing lawyer and agriculturist; expertise in law and management.
• Not debarred by SEBI; not disqualified under Companies Act 2013.

Sameer Mundra – Independent Director Appointment

• Appointed as part-time non-official Independent Director for three years from DIN allotment.
• MoD letter dated August 21, 2026 conveyed appointment; effective from DIN allotment.
• Profile: B.E. in Production Engineering; entrepreneur with Hytech Engineers and Precision Engineering.
• Director at MP JFC Industries since 2020 and LUBE E-Mart Advanced Platform Foundation since 2025.
• Not debarred by SEBI; not disqualified under Companies Act 2013.

Meeting Details

• Date and time: August 17, 2026, 1100–1200 hrs.
• Type/Mode: group analysts/investors meet; virtual conference call.
• Event/organiser: Q1 FY27 results analysts/investors meet by MIDHANI.

Participants

• Key company participants: Company Secretary & Compliance Officer.

Purpose

• Purpose: Inform about audio recording availability of Q1 FY27 conference call.

Additional Notes

• Audio recording available on the company website under Investors > Investor Meet > 2026-27 > Quarter 1.

S400 approval from GE Aerospace

• MIDHANI secures S400 approval from GE Aerospace for chemical, mechanical, metallurgical testing.
• First Indian firm to secure S400 approval from GE Aerospace.

Meeting Details

• Q1FY27 results and business update conference call.
• Date and time: Aug 17, 2026 at 11:00 IST.
• Mode: virtual group call.

Participants

• Chairman & Managing Director; Director (Finance); Director (P&M) to participate.

Purpose

• Earnings results discussion and business update.

Additional Notes

• Recording availability not specified.

Financial results approved

• Unaudited standalone and consolidated results for quarter ended 30 June 2026 approved.
• Regulation 33 SEBI LODR compliance; Limited Review Reports noted.

Other disclosures

• Limited Review Reports by Anjaneyulu & Co noted; no material misstatements.
• Press release on quarterly results issued.
• Consolidated results include Utkarsha Aluminium Dhatu Nigam Limited under equity method.
• Auditors issued unmodified limited review reports on standalone and consolidated results.
• Board meeting date: 12 August 2026; SEBI LODR Regulation 30 intimation.

Certificate details from RTA

• Certificate received from Alankit Assignments Limited, RTA, for quarter ended 30 June 2026.

Q4 FY26 results

• Highest quarterly turnover was ₹552.7 crore, up 34.63% year-on-year.
• Q4 value of production was ₹392.19 crore, up 19.15% year-on-year.
• Q4 PBT was ₹107 crore, up 38.67% year-on-year.
• Q4 PAT was ₹77.75 crore, up 38.49% year-on-year.
• FY26 turnover was ₹1,208.63 crore, up 12.52% year-on-year.
• FY26 PAT was ₹130.79 crore, up 18.82% year-on-year.
• Order book stood at ₹2,290 crore on April 1, 2026.

Operations and projects

• Titanium production reached 700 tons, almost doubling from previous years.
• MIDHANI signed an MOU for a metal bank to secure critical raw materials.
• Ten aerospace-grade superalloys and steels received airworthiness certificates from CEMILAC.
• A ₹40 crore aerospace fastener facility was inaugurated and is already working.
• Management expects ₹20-30 crore annual order book from the fastener sector.
• Investment casting business is about ₹10 crore currently.
• ABHED jackets are being manufactured; one order worth about ₹1 crore was executed.
• Spring plant for Vande Bharat is expected to become fully operational in one to two months.

Guidance and capex

• Management targets 15% annual top-line growth.
• EBITDA margins are expected around 23% to 25%.
• Capex of around ₹1,000 crore is planned over the next three years.
• Capex will mainly replace aging downstream equipment with automated facilities.
• Management expects the metal bank to be established in about four months.
• Open order book is about ₹2,249-2,250 crore.
• Management expects to book about ₹1,500 crore of orders in FY27.
• Export turnover was ₹78 crore in FY26, and management expects at least ₹100 crore in FY27.

Q&A Highlights

• Analysts asked about supply-chain shocks; management said a perpetual metal bank will buffer disruptions.
• Analysts asked about funding capex; management said it will use internal accruals and term loans.
• Analysts asked about revenue growth; management said 15% is the target, with 20% possible if constraints ease.
• Analysts asked about margins; management said EBITDA margins could be 23% to 25%.
• Analysts asked about Titanium growth; management said capacity exists and orders exceed ₹660 crore.
• Analysts asked about NADCAP impact; management said OEMs can directly procure materials after certification.
• Analysts asked about long-term revenue potential; management said imported materials worth about ₹8,000 crore create scope.
• Analysts asked about AMCA; management said MIDHANI is already developing Superalloy and Titanium alloys for it.