Raymond's Defence and Aerospace Push Positions It as a High-Conviction Engineering Platform

Mumbai: Raymond Limited is emerging as a focused precision-manufacturing platform, with accelerating core earnings, strong aerospace order visibility and growing defence optionality, according to an investment case prepared on the company. The thesis describes a shift from legacy conglomerate to an engineering-led business operating across global aerospace outsourcing, Indian defence indigenisation and next-generation mobility.

As of September 3, 2026, Raymond's market capitalisation stood at approximately ₹5,012 crore. FY26 total income rose 10% to ₹2,312 crore, EBITDA was ₹335 crore at a 14.5% margin, and PAT rose 3% to ₹53 crore. The company remained debt-free with about ₹68 crore in net cash.

Aerospace is the clearest growth driver. FY26 revenue grew 26% to ₹392 crore with EBITDA up 25% to ₹88 crore at a 22.3% margin. Q1 FY27 aerospace revenue jumped 40% to ₹123 crore. The investment case highlights a ₹5,960+ crore ten-year order book — more than 15 times FY26 aerospace revenue — plus a ₹1,632 crore active RFQ pipeline. Credentials include preferred-supplier status with the top three global aircraft-engine makers, 25+ customers and an engineering library of over 1,300 parts, including 350+ for LEAP platforms.


Precision Technology & Auto Components reported FY26 revenue of ₹1,667 crore, up 10%, with EBITDA rising 34% to ₹223 crore and margins expanding to 13.4% from 11%. Q1 FY27 EBITDA grew 46% as group PAT rose 50%, signalling improving operating leverage.

Roughly ₹1,000 crore of five-year capacity investment is planned, including ₹510 crore for aerospace and a new Andhra Pradesh facility ramping up by late 2027. At an enterprise value of about ₹4,944 crore, the stock trades at 14.8x FY26 EBITDA — the highest multiple among the three Raymond entities.

Risks flagged include customer and programme concentration, capex delays, margin dilution, export cyclicality and multiple compression. The report clarifies this is an analytical view, not investment advice.