General information and education, not investment advice. The author is not a SEBI-registered adviser or research analyst. No recommendation, no promised returns. Markets carry risk including loss of capital. Figures may not be current. Always consult a SEBI-registered adviser.
1 — At a Glance
Three years ago this was a ₹220 crore engineering services company with an operating margin of 9%. In the June 2026 quarter alone it booked ₹199 Cr of revenue — nearly the whole of FY24 — at an operating margin of 23%.
The quarterly line reads: revenue ₹198.82 Cr against ₹122.92 Cr a year earlier, operating profit ₹46.0 Cr against ₹25.67 Cr, net profit ₹26.82 Cr against ₹15.57 Cr. EPS of ₹18.39 for three months, when the entire FY25 year produced ₹22.08.
The shape of the company changed underneath those numbers. Design-Led Manufacturing was 8.06% of consolidated revenue in FY22. It was 53.8% in FY26, and the Q1 FY27 presentation puts the DLM/ER&D split at 73.6% / 26.4%. Export revenue share, meanwhile, went from 95.47% in FY17 to 20.00% in FY26; the same presentation shows domestic at 87.2% of the June quarter. A company that used to bill American clients from Bengaluru now mostly makes machinery in Bengaluru for Indian buyers.
Crisil upgraded the long-term rating to BBB+/Stable in April 2026 and enhanced the rated bank facilities to ₹99.5 Cr from ₹32 Cr. The auditors signed an unmodified review opinion and attached two emphasis-of-matter notes — one on a new ERP system still stabilising, one on two investments awaiting valuation reports.
The market currently applies 97.9x to all of it. What the arithmetic underneath looks like takes a while to lay out.
2 — Introduction
ASM Technologies was incorporated in 1992 by Rabindra Srikantan and is listed on the BSE. For most of its life it did one thing: consulting and product development services in engineering and product R&D, run out of offshore development and support centres in India, serving customers abroad. Presence spans the USA, Singapore, the UK, Canada, Mexico, Japan, Thailand and Vietnam.
The clientele sits across semiconductor equipment, hi-tech, medical equipment, automotive and aerospace, enterprise storage and networking, and consumer electronics.
The last four years have added a manufacturing business on top of the services business. A JV with the HHV Group, ASM-HHV Engineering Pvt Ltd, focuses on semiconductor and solar equipment systems and sub-systems, and has established India’s first semiconductor-focused equipment manufacturing facility. Facility count went from 2 to 7 between FY22 and FY26 — three in Bangalore, three in Chennai, one in Vietnam. In FY23 a new unit opened at the Guindy Industrial Estate in Chennai with Japanese machining centres and CNC wire EDM equipment. Semcon Engineering UK Ltd was acquired outright in Q3 FY23. In November 2024 the NCLT approved the amalgamation of ASM Digital Engineering Pvt Ltd with the parent, and in October 2024 the board approved buying the remaining 30% of RV Forms and Gears LLP.
Funding followed. February 2024 brought a ~₹170 Cr preferential raise — ~₹38 Cr fresh equity, ~₹132 Cr of warrants, priced at ₹470.70 per warrant. Of the ₹1,701.30 million received, ₹252.80 million went to general corporate purposes and ₹892.80 million to organic and inorganic growth, with the balance parked in fixed deposits and mutual funds. In September 2025 the company allotted a further 15,56,984 equity shares. Share count moved from 1.03 crore in FY23 to 1.46 crore in FY26.
Two MoUs sit on the table: ₹510 Cr with the Government of Karnataka and ₹250 Cr with Tamil Nadu, for facilities at Dabaspet and Sriperumbudur. Ten acres in Karnataka have been secured, with the agreement in its final stage before construction begins.
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3 — Business Model: WTF Do They Even Do?
There are two businesses stapled together, and the staple is holding better than it used to.
Business one is ER&D — engineers, billed out, doing consulting and product development for companies that make semiconductors, networking gear, medical devices, cars and aircraft parts. This is the original ASM. It scales with headcount, which went from 543 employees in FY17 to 2,000 in FY26, and its economics are the economics of any body shop: mostly fixed costs, per Crisil, in the form of employee salaries and rentals.
Business two is Design-Led Manufacturing, and this is where the company has spent its capital. DLM means: build the machines that make electronic parts. Crisil describes the FY26 growth as led by manufacturing machinery used to make electronic components. Fixture-building sits here too — RV Forms & Gears launched Smartfix 4.0 with ASM, a precision work-holding device that collects and transmits data back to the user, because in 2026 even the thing that clamps down the metal has opinions.
The migration between the two is the whole story of the last four years. DLM was 8.06% of consolidated revenue in FY22, 12.91% in FY23, 9.55% in FY24, 27.00% in FY25, 53.80% in FY26. In the June 2026 quarter the segment split was 73.6% DLM to 26.4% ER&D.
There is a third thing, less a business than a habit: ASM Ventures, the investment arm, which has taken positions in Lavelle Networks, Polylogyx, BARO Vehicles and Kogence,
