Kranti Industrie

- Currently, Kranti Industries is not planning any new fundraising through debt or equity in the next 2-3 quarters. - Only marginal additional working capital funds may be raised via existing bankers, if required. - The company has adopted a CAPEX-light model by leasing 45 machines to reduce capital costs. - Future fundraising or borrowing decisions beyond 6 months will depend on board approvals and business needs. - The company aims to balance its debt and equity structure and targets being virtually or net debt free by around 2030. - Focus remains on improving balance sheet ratios over the next 6-8 quarters without immediate large-scale fundraising.

- Kranti Industries recently commissioned Plant 4 in Jaipur (a Brownfield project), taking over an existing machining business from Universal Autofoundry. Operations commenced January 1, 2026, with initial CAPEX mainly for installation, commissioning, and preliminary expenses. - The company added 45 machines on lease at the Jaipur plant to reduce capital costs and leverage balance sheet. - No immediate plans for additional borrowing or fundraising for CAPEX in the next 2-3 quarters; any future investments depend on board decisions. - Target to become virtually/net debt free by around 2030 by balancing debt-equity and improving capital structure over the next 6-8 quarters. - Expansion focuses on scaling defence and tractor-related segments with an eye on increasing capacity utilization and diversification into agri-implements like harvesters and balers. - Continuous efforts on process optimization, automation, and smart manufacturing to enhance productivity and cost efficiencies.

- Tractor industry expected to grow domestically and in exports over next 2-3 years due to basic food necessity and increased farming automation in India. - Industry growth forecasted at double digits (~10%+) next year and around 8-9% in the following year. - Kranti Industries diversifying tractor business across low, medium, and high HP segments to benefit from varied market demand. - Expansion into agri-implements like harvesters and balers, a growing market segment. - Defence segment targeting ₹12-15 crores revenue by FY 2027, growing at ~20% annually, expected to continue for next 2-3 years. - New Plant 4 (Jaipur) operational from Jan 2026 to support increased production capacity. - Overall, expect sustained revenue growth with expanding margins due to capacity utilization and operational efficiencies.

- Tractor industry expected to grow at double digits (~10%+) in FY27 and around 8-9% in FY28, driven by domestic and export markets and farming automation. - Kranti's diversified tractor product range (lower, medium, and higher HP tractors) and entry into agri-implements (harvesters, balers) support growth. - Defence segment is growing rapidly, with 20% growth in FY25-26 expected to continue over next 2-3 years. - New Plant 4 in Jaipur operational from Jan 2026 enhancing capacity and production efficiency. - EBITDA targeted to stabilize at 16% - 18% margin levels due to capacity utilization and cost optimization. - Expected revenue from defence segment targeted at ₹12-15 crores in FY27. - Debt reduction efforts ongoing, aiming for net debt-free status by 2030, improving financial ratios in 6-8 quarters. - Profit after tax turned positive in 9M FY26 at ₹2.7 crores, indicating structural turnaround and improved earnings sustainability.

- Current defence segment order values stand at approximately ₹2 crores, consisting mainly of small sample development orders to be executed over the next 3-4 months. - Recently received around 24 defence orders as small sample development contracts. - Expecting additional orders inflow from defence tenders within the next 3-4 months, with ongoing technical evaluations and plant visits. - Targeting a defence segment order and execution business of ₹12-15 crores in FY 2027. - No specific mention of total consolidated order book size, but multiple segments including tractor, automotive, defence, and industrial are contributing with diversified products. - The recently commissioned Plant 4 facility supports capacity expansion to cater to increasing demand. - Continuous participation in new defence tenders indicates pipeline for future orders beyond initial small contracts.