Centum Electronics Limited — PPTs, 06-08-2025: Investor Presentation

**1. Financial Highlights:**

Centum Electronics reported strong Q1-FY26 consolidated operational income of INR 273.4 Cr, an 11.4% YoY increase, driven by a 35.0% YoY growth in standalone performance. Consolidated EBITDA improved to INR 22.9 Cr (8.38% margin), up from 6.35% YoY, primarily due to higher-margin Build-to-Spec (BTS) business. Net Profit reached INR 4.5 Cr.

**2. Strategic Initiatives & Growth Drivers:**

The company holds a healthy order book of ~INR 1,769.1 Cr as of June 30, 2025. Growth is fueled by EMS customers entering serial production and new development orders from DRDO for Radar [Virupaksha], which is expected to unlock significant long-term opportunities in major airborne platform programs.

**3. Business Developments:**

Centum continues to be a key player in Electronics System Design and Manufacturing (ESDM), serving mission-critical sectors like Defence, Space, and Medical. While subsidiary revenue saw a decline due to softer ER&D demand, strategic actions are underway to reposition the business, with strong pipeline opportunities remaining in Defence & Aerospace.

**4. Market Position & Competitive Advantage:**

With over 30 years of expertise and global operations, Centum is one of India's largest ESDM firms. Its world-class design and manufacturing facilities, strong client relationships, and role as a single-source supplier for ~80% of products highlight its established market position and high entry barriers.

**5. Investor Implications:**

The consolidated revenue growth and margin expansion are encouraging. The robust order book offers future revenue visibility, particularly with new defense contracts. Investors will be monitoring the strategic turnaround in subsidiaries for improved performance in H2, signaling the company’s ability to navigate short-term headwinds.