Aequs Q2 results: Loss widens to ₹52 crore despite 45% revenue growth

What happened

Aequs reported a consolidated loss of ₹52.3 crore for the second quarter of FY27, compared with a ₹21 crore loss a year earlier, even though revenue rose 45% year-on-year to ₹409 crore. EBITDA fell 51.7% to ₹14 crore and EBITDA margin narrowed to 3.37% from 10%.

Confirmed

Global impact / market context

Revenue growth did not translate into profit: EBITDA, which means earnings before interest, tax, depreciation and amortisation, fell sharply, so higher sales came with weaker profit per sale. The wider loss shows rising revenue alone does not guarantee earnings, which matters to investors judging whether expansion is paying off.

Analyst inference

The aerospace business drove growth, with revenue up 44% to ₹351.4 crore and a $1.1 billion order book, helped by a Safran A320 wheels contract lasting over 15 years. An order book means confirmed future orders, so this supports revenue visibility while current profitability remains weak.

Analyst inference

What to watch

1. Watch whether aerospace EBITDA, which rose 24% year-on-year to ₹78.3 crore in the quarter, keeps growing while group EBITDA margin recovers from 3.37%, since the gap shows costs elsewhere are absorbing gains. Confirmed
2. Watch how revenue from the Safran A320 wheels contract, described as the first serial-production deal exceeding 15 years, converts into sales and profit, because long tenure supports future revenue visibility. Proposed
3. Watch the $1.1 billion aerospace order book, up 9% quarter-on-quarter, since converting orders into revenue could improve profit per sale if costs are controlled, but weak margins suggest that is not yet happening. Analyst inference

Evidence

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