Emmforce Autotech targets ₹195 cr revenue in FY27 after flat profit year
The company expects a major US export order to add ₹60 cr annually, helping to lift net margins to 10% despite heavy upfront costs.
What's new
- FY26 revenue rose 27% to ₹113 cr, but net profit remained flat at ₹8 cr.
- A US export order reached full run-rate in February 2026, targeting ₹60 cr in annual sales.
- Management projects FY27 revenue of ₹195 cr and FY28 revenue of ₹240 cr.
Why this matters
Profitability stalled in FY26 as the company absorbed front-loaded manpower and depreciation expenses. The shift to a 10% PAT margin target for FY27 hinges on whether the new US export volume can scale without similar cost spikes.
What we're watching
- Whether the agri segment can hit its ₹30 cr revenue target for FY27.
- Actual EBITDA margin performance against the 20-22% guidance range.
- The impact of depreciation on bottom-line growth in the coming quarters.
The full read
Emmforce Autotech closed FY26 with ₹113 crore in revenue, a 27% increase over the previous year. Profitability, however, did not keep pace. Net profit held flat at ₹8 crore because the company absorbed heavy, front-loaded manpower and depreciation costs to scale its operations.
Management is now looking ahead to a much more productive cycle, projecting revenue of ₹195 crore in FY27 and ₹240 crore in FY28. A key driver is a large US export order that hit full production in February 2026, which is expected to bring in ₹60 crore annually. With those expansion costs already baked into the FY26 base, management expects net margins to expand to 10% for the next two years. The real test for the company is whether it can maintain its 20-22% EBITDA margin while scaling its agri segment to the targeted ₹30 crore contribution. It won't be easy.
Questions answered
- Why did net profit remain flat in FY26 despite 27% revenue growth?
- Management attributes the flat profit to front-loaded manpower and depreciation costs. These expenses were necessary to support the company's expansion and the ramp-up of the new US export order.
- How much revenue is the new US export order expected to generate?
- The US export order, which reached full production run-rate in February 2026, is projected to contribute ₹60 crore annually starting in FY27.
- What are the company's revenue targets for the next two years?
- Emmforce targets total revenue of ₹195 crore for FY27, split between ₹165 crore from automotive and ₹30 crore from the agri segment. It forecasts further growth to ₹240 crore in FY28.
- What EBITDA margins is management targeting?
- Management expects to maintain EBITDA margins between 20% and 22% for both FY27 and FY28.