1. At a Glance – Radar Lock On 🔥
₹8,497 Cr market cap. ₹895 stock price. 52.9 P/E. 18.7% ROCE. 14.4% ROE. Debt ₹278 Cr. Order book ₹2,226 Cr. Q3 FY26 revenue ₹260 Cr. PAT ₹47 Cr. EBITDA margin 31.7%.
This is not a boring defence PSU. This is Astra Microwave Products Ltd — a private sector RF & radar specialist supplying to ISRO, DRDO, IAF, BEL and even collaborating with Rafael of Israel.
Q3 FY26 consolidated revenue came at ₹260 Cr (up ~1% YoY). PAT stood at ₹47 Cr. Margins are improving. Order book is sitting at ₹2,226 Cr standalone. That’s roughly 2x FY25 revenue.
But wait.
Debtor days? 273 days.
Cash conversion cycle? 614 days.
Promoter holding? 6.54%.
So the real question is — are we looking at a future global defence electronics champion… or a company funding the Indian government’s working capital?
Let’s decode.
2. Introduction – India’s Silent Radar Factory
India is on a defence manufacturing mission. Atmanirbhar Bharat. Indigenous radars. SDRs. Electronic warfare systems.
And somewhere in Hyderabad, a bunch of RF engineers are quietly building the electronics that make fighter jets see.
Astra Microwave has been around since 1991. It went public in 1994. Over 30+ years in radar and microwave electronics. Developed 35 radars, worked on 25 satellites, and participated in 15 strategic programs.
They aren’t making missiles. They’re making the brains and eyes that guide them.
In Q3 FY26, standalone revenue was ₹258 Cr. Consolidated ₹260 Cr. EBITDA margin above 30%. That’s not PSU-level lethargy. That’s private sector efficiency.
But growth this quarter? Just 1%.
Is this a pause before a defence supercycle… or are execution cycles slowing?
Keep reading.
3. Business Model – WTF Do They Even Do? 🤯
Imagine a fighter jet.
It needs:
- Radar systems
- Software Defined Radios
- Electronic warfare equipment
- Telemetry
- Satellite RF components
Astra makes the sub-systems and systems that go inside these platforms.
Revenue mix in Q3 FY26:
- Defence: 81.8%
- Exports (incl. deemed): 11.5%
- Space: 2.6%
- Meteorological: 3.4%
So yes — this is heavily defence-driven.
They also have:
- 5 manufacturing units in Hyderabad
- R&D centers in Hyderabad and Bengaluru
- 1,843 total workforce
- 697 R&D professionals (37% of workforce)
That’s serious engineering muscle.
They are among the few Indian private companies capable of developing GaN & GaAs MMIC products up to 40 GHz.
Plus, they have a JV: Astra Rafael Comsys (ARC), which manufactures military-grade Software Defined Radios.
ARC alone contributed ~10% of total profit in FY24 and bagged multiple orders including:
- ₹275.27 Cr IAF order (Jan 2026)
- ₹285.56 Cr MoD order (Oct 2025)
- ₹124 Cr SDR modules order
- ₹171.38 Cr IMD radar order
So this is not a one-trick pony.
But heavy defence exposure also means:
Long receivable cycles. Government payments. Project-based revenue recognition.
Are you comfortable with that?
4. Financials Overview – The Numbers Don’t Lie (Mostly)
Q1 FY26 EPS = ₹1.71
Q2 FY26 EPS = ₹2.52
Q3 FY26 EPS = ₹4.93
Average = (1.71 + 2.52 +
