Raymond Ltd shares ended the session in the green after the company said its subsidiary, JK Maini Global Aerospace Limited, succeeded in a tender process conducted by a leading Indian Aerospace and Defence OEM. Under this, the company is set to receive work to assemble wing structures and centre fuselage structures for a major indigenous fighter aircraft program. The stock ended at Rs 1,114.90, up 0.11 per cent or Rs 1.25 on the BSE, and on the NSE, it closed at Rs 1,125, up 0.72 per cent or Rs 8.05.
Foray into aircraft structures business
After successfully completing the tender process conducted by the OEM, the company said this is significant as it marks its proposed entry into the aircraft structures vertical. Until now, the company’s engineering capabilities have been limited primarily to precision manufacturing, but this program will expand them into complex, high-value aircraft assembly work.
Plan to increase capacity with low investment
This program proposes utilising the customer’s existing infrastructure. This will allow Raymond to develop aircraft structure manufacturing and assembly capabilities, while reducing the need for significant capital investment. This will allow the company to develop its execution capabilities and experience in this new business in a capital-efficient manner.
According to the company, this opportunity holds strategic significance beyond immediate business considerations, as it could help the subsidiary gain essential execution experience and credibility, which could help secure larger aerospace programs in India and global markets.
Raymond’s engineering business
Raymond Limited’s engineering vertical now consists of two major businesses: Aerospace and Defence & Tools and Auto Components. The company has entered rapidly growing sectors such as aerospace and defence. Its engineering business also includes EV components and serves both domestic and international markets.
Raymond’s engineering business has a strong position in manufacturing files and hand tools and has a significant presence in India and overseas markets.
Q1 FY27 performance key highlights:
- Total Income at Rs 628 core in Q1 FY27 vs Rs 555 crore in Q1 FY26, 13 per cent YoY growth
- EBITDA at Rs 100 crore in Q1 FY27 vs Rs 87 crore in Q1 FY26, 14 per cent YoY growth
- EBITDA Margin at 15.9 per cent in Q1 FY27 vs 15.7 per cent in Q1 FY26
- Continue to be net debt-free with a net cash surplus of Rs 129 crore
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(This article is for informational purposes only and should not be construed as investment, financial, or other advice.)
