AVALON TECHNOLOGIES LATEST UPDATES

Financial Performance (Q2 FY2025-26) For the quarter ending September 30, 2025, Avalon reported a 39.1% year-on-year (YoY) increase in revenue, reaching ₹382.5 crore. Profit After Tax (PAT) surged by 42.9% to ₹25 crore compared to the same period last year. This growth was broad-based, with the India-based business growing 31% and the US-based operations growing 44%. The company also saw a significant sequential jump in profitability, with PAT rising nearly 76% from Q1 to Q2 of the current fiscal year. Strategic Expansions & Certifications In late 2025, Avalon secured the AS9100D aerospace quality certification for Printed Circuit Board Assembly (PCBA) and chemical processing, strengthening its position to bid for high-value aerospace contracts. The company has also entered the semiconductor equipment manufacturing space through a partnership with a global OEM to produce power boxes. Furthermore, management has collaborated with Zepco Private Limited to enhance its design capabilities in the power and clean energy segments. Operational Efficiency A key highlight for 2025 has been the improvement in working capital management. Net working capital days were reduced to 131 days in September 2025, down from 142 days in June 2025 and much higher levels in 2024. The company has utilized its recent equity fundraises and internal accruals to keep net debt low (approximately ₹60.56 crore) while maintaining a Return on Capital Employed (ROCE) of 18.4%, a significant jump from 8.2% just a year ago.