Unimech Aerospace and Manufacturing Limited is expanding beyond its core aero tooling operations into precision components, nuclear energy and semiconductors as part of a strategy to reduce sectoral and geographic concentration, while reporting a record order book of INR 2.1 billion as of 12 February 2026. The company expects its revenue mix to shift over the next three years, with aero tooling contribution declining from 77 percent to 60–65 percent and precision components rising to 35–40 percent.
Diversification was shaped by recent volatility, including tariff disruptions. “One thing that has taught us is that while we will basically push the throttle in the current industry, it has also taught us that diversification is the right strategy, whether it is industry, geography,” said Rajanikanth Balaraman, Whole Time Director.
In the semiconductor segment, the company said it has 52 weeks of order visibility, with firm orders of about three months and expected revenue of approximately USD 0.5 million next year from currently qualified parts. “We are looking at about $0.5 million in the next year,” Balaraman said, adding that the segment provides entry into high-volume manufacturing.
Export exposure, currently about 95 percent of revenue, is expected to moderate to around 80 percent over three years, with domestic contribution rising to 20 percent. “Going forward next year, you might see 80 percent to still be as export business for us and the balance 20 percent will be from the domestic,” said Anil Kumar Puttan, Chairman and Managing Director.
The order book of INR 2.1 billion includes INR 680 million from nuclear projects and approximately INR 1.3–1.35 billion from aero tooling, with the balance from precision components. Management described the order book as the highest in the company’s history.
In the nuclear segment, Unimech secured INR 680 million in orders and had earlier bid for about INR 8 billion worth of projects. “Wherever we quote we wanted to make decent profits. So, even if we are not able to win, that is okay,” said Ramakrishna Kamojhala, Whole Time Director and Chief Financial Officer.
The company is advancing a 51 percent-controlled joint venture in Dammam, Saudi Arabia, with Yusuf Bin Ahmed Kanoo Group. The venture plans phased investment of USD 30 million over three years and targets USD 30 million in revenue by year five, supported by 35 percent EBITDA margin and 20 percent PAT margin. Management said the investment would be funded through internal accruals.
Unimech has largely completed the setup of its Free Trade Warehousing Zone facility and is awaiting regulatory approvals. Management said the facility would allow customers to maintain duty-free inventory and support stable order flows following the reduction of U.S. tariffs to 18 percent from 50 percent earlier in February 2026.
Operationally, capacity utilisation in Q3 stood at about 60 percent, with annualised machine availability exceeding 700,000 hours. The fixed asset base stands at over INR 2.1 billion, with asset turnover at 1.4 times. The company targets increasing asset turnover to over three times, supported by additional capital expenditure of INR 400–500 million.
For Q4 FY 2026, Unimech expects revenue of INR 900 million to INR 1 billion and aims to surpass last year’s revenue of INR 2.4 billion. As of the end of February, INR 300 million worth of goods were ready for shipment and another INR 600–700 million were under production.
Unimech Aerospace and Manufacturing Limited manufactures aero tooling, precision components and electromechanical subsystems for aerospace, nuclear and energy applications, with a predominantly export-oriented business model.