OBSC Perfection Ltd Q1FY26 concall decoded: Precision parts, defence dreams & a ₹1,200 cr order book flex

Opening Hook
When a company that started life machining auto parts in Pune suddenly talks missiles, marine cables and aerospace, you know the lathe machine has bigger ambitions than your uncle’s Maruti service centre. OBSC Perfection (ex-Private Ltd) is now waving a ₹1,200+ crore order book, bragging about a 67% PAT CAGR (FY22-25), and showing off a brand-new forging facility (Investor Presentation, Aug 24, 2025). Why now? Because “Make in India” meets “Buy from Bharat Electronics” is a recipe for supplier tailwinds. Whether the shift from shock absorber rods to missile parts is genius or jugad is what we decode below.

At a Glance
• Revenue ₹142.8 cr (FY25) – 25% YoY, machining + casting still the spine
• EBITDA ₹27.8 cr (19.1%) – cost curve polished smoother than their rods
• PAT ₹16.8 cr (11.5%) – fastest CAGR in the deck, 67% (FY22-25)
• Defence ₹5.5 cr FY25 vs ₹0.3 cr FY24 – the “Aatmanirbhar” line item
• Exports ₹28.7 cr (20% of sales) – 10 countries, 55% of order book
• Order book ₹1,200+ cr – future bragging rights, not yet invoiced
• Debt-equity 0.26x – IPO cash cleaned the balance sheet

Management’s Key Commentary
“In-house forging up-moves us in the value chain.”
— Translation: higher tonnage, higher ton-margin.

“Defence revenues jumped to ₹5.5 cr in FY25.”
— Translation: BEL finally picked up the phone.

“Exports grew 50% CAGR over FY23-25.”
— Translation: GST refunds are now worth the hassle.

“EBITDA margin steady at ~19%.”
— Translation: cost control manual still works, despite capex hangover.

“Order book at ₹1,200+ cr; 55% exports.”
— Translation: backlog brag mode: ON.

“Hired senior advisors in India & US.”
— Translation: someone has to cold-call Lockheed.

Numbers Decoded

Analyst Questions
• Q: “Defence orders look small, why highlight?”
Mgmt: “From 0.3 to 5.5 cr in a year.”
Translation: any missile part is sexier than mufflers.

• Q: “What’s the steady-state margin?”