MTAR Tech shares rally 3%, extend gains for second session. What’s triggering the surge?

Shares of MTAR Technologies rallied as much as 3% to their day’s high of Rs 7,120 on the BSE on Wednesday after the company won an order worth Rs 127 crore from Nuclear Power Corporation of India for the supply of coolant channel assemblies for reactor refurbishment. With today’s rise, the stock is up 5% in two sessions.

Commenting on the development, the management said it has secured significant orders in the civil nuclear sector over the past few months. “Our closing nuclear order book now stands at more than Rs 775 crore, the highest in MTAR Tech’s history. The sector’s long-term outlook remains promising, and we expect a steady inflow of orders over the coming years”.

MTAR Tech FY27 guidance

The company has guided for 80% revenue growth in the current financial year, with an EBITDA margin of 24% plus or minus 100 basis points. It said its focus extends beyond near-term financial performance, with efforts centered on building a more diversified and resilient business by expanding its product portfolio, increasing wallet share with existing customers and broadening its global customer base.


The company also reiterated its commitment to leveraging its engineering expertise and execution capabilities to strengthen its manufacturing platform and build a world-class manufacturing institution.

MTAR Technologies said it continues to strengthen its position in the civil nuclear power segment, where it supplies critical fuel handling assemblies for nuclear reactor cores. The company recently secured its largest-ever order in this business, worth Rs 504 crore, for the Kaiga 5 and 6 projects, improving order visibility.

It also expects to receive around Rs 150 crore worth of refurbishment orders in FY27 from existing reactors. Looking ahead, the company expects meaningful opportunities from the proposed construction of four reactors at Mahi Banswara, where NTPC is partnering with NPCIL.

It added that the government's target of achieving 100 GWe of civil nuclear capacity by 2047 presents significant long-term growth opportunities through new reactor construction, refurbishment projects and maintenance contracts.

MTAR Tech Q1 results

The company reported a 364.5% year-on-year jump in Q1 net profit to Rs 50.2 crore from Rs 10.8 crore.

The company’s revenue from operations surged 130.4% year-on-year to Rs 360.7 crore from Rs 156.6 crore. EBITDA nearly tripled to Rs 85.1 crore from Rs 28.4 crore, marking a 199.7% increase, while profit before tax jumped 355% to Rs 67.4 crore.

Commenting on the results, Managing Director Parvat Srinivas Reddy said the company delivered another strong quarter, with performance in line with the growth guidance for the current financial year. He added that, beyond the quarterly numbers, the company has reached an inflection point, with each of its key business verticals well positioned to enter the next phase of growth.

MTAR Tech share price performance

The stock is up almost 200% since the beginning of the year and about 95% in the last six months. In the last one year, the MTAR Tech stock is up over 385% and about 460% in the last 5 years.

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