This small-cap stock engaged in manufacturing advanced CNC machines, with a strong focus on innovation, including 5-axis machines and AI-driven solutions for global markets, in focus after plans to expand its capacity by 3,000-4,000 machines by FY26
Stock Price Movement:
With a market capitalization of Rs. 22,967.46 crore, the shares of Jyoti CNC Automation Limited were currently trading at Rs. 1009.90 per equity share, rising nearly around 0.87 percent from its previous day’s close price of Rs. 1001.20.
Company Overview:
Jyoti CNC Automation was established in 1989 and operates with manufacturing facilities in Rajkot, India, and Strasbourg, France. The company offers a wide range of over 200 product variants and has installed more than 130,000 machines globally. It is a leader in the CNC automation industry, providing advanced solutions worldwide.
Management Guidance:
For FY25, Jyoti CNC Automation expects a strong topline growth of 40-50 percent. They aim to maintain profit margins between 25-27 percent. The company anticipates that EMS will contribute 20-25 percent of sales in FY26. The company expects an order inflow of Rs. 1,600-1,700 crore in FY25.
Jyoti CNC plans to expand its capacity by 3,000-4,000 machines by Q3 FY26, focusing on the aerospace, defense, and EMS sectors. The company’s order book as of December 2024 stands at Rs. 4,360 crore, with an expected execution time of 2.5 years.
The company invested 6.36 percent of its revenue in research and development (R&D), driving innovations such as 5-axis machines and AI-powered solutions. The company is focusing on expanding its exports to markets in the USA, China, and Southeast Asia/Africa, with the goal of capturing a 5 percent market share in these regions.
Segment Revenue Breakdown (Q3 FY25):
In Q3 of FY25, the company’s revenue was mainly driven by the Aerospace segment, which contributed 49 percent. The Auto and Auto Components segment followed with 16 percent, while General Engineering brought in 21 percent. EMS accounted for 10 percent, and other segments contributed 4 percent to the overall revenue.
New Product Launches:
In January 2025, the company launched 7 new models, showcasing its commitment to innovation. These include the GU8, a 5-axis Gantry type machining center, the AWT for alloy wheel turning, and the BTM with twin spindles and gantry automation.
Capacity Expansion:
As of December 2024, the company currently has an installed capacity of 6,000 machines per year in India and 120 machines per year in France. Looking ahead, the company plans to expand its capacity by an additional 10,000 machines over the next two years.
Order Book:
In Q3 FY25, the company received an order inflow of Rs. 492.8 crores. This includes Aerospace (34 percent), Auto and Auto Components (25 percent), General Engineering (36 percent), Die and Mould (1 percent), and Others (4 percent). As of December 31, 2024, the total consolidated order book stood at Rs. 4,359.7 crores.
Recent quarter results:
Jyoti CNC Automation Limited’s revenue has increased from Rs. 378V crore in Q3 FY24 to Rs. 450 crore in Q3 FY25, which has grown by 19.05 percent. The net profit has also grown by 66.67 percent from Rs. 48 crore in Q3 FY24 to Rs. 80 crore in Q3 FY25.
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