MTAR Technologies has posted impressive numbers for Q1 FY26, showing a 144% surge in net profit year-on-year. However, a deeper look reveals a few weak spots too. Let’s break down the full picture.
₹10.81 Crore Net Profit
In Q1 FY26, MTAR reported a net profit of ₹10.81 crore, compared to ₹4.43 crore in the same quarter last year — a solid 144% YoY growth. But when compared to the previous quarter (Q4 FY25), profit actually fell by 21.2%, as Q4 profit stood at ₹13.72 crore.
Revenue Performance
| Data Point | Q1 FY26 | Q1 FY25 | Q4 FY25 |
|---|---|---|---|
| Revenue from Operations | ₹156.58 Cr | ₹128.26 Cr | ₹183.09 Cr |
| Total Income | ₹157.19 Cr | ₹128.79 Cr | ₹183.12 Cr |
| Net Profit | ₹10.81 Cr | ₹4.43 Cr | ₹13.72 Cr |
Revenue and total income grew 22.1% YoY, but on a sequential basis, both dropped by around 14.5% — showing a slight slowdown in the short term.
Stock Shows Strong Rally
On August 5, 2025, MTAR’s stock opened at ₹1,471.90 and hit a day high of ₹1,637.15, registering a 13.15% intraday jump.
By 3:22 PM, here’s how it looked:
- Trading Price: ₹1,579.15
- Day Gain: +9.13%
- Market Cap: ₹4,857.40 crore
This clearly indicates that investors have shown renewed confidence after the quarterly results.
10-Year Strategic Deal
On June 19, 2025, MTAR signed a 10-year strategic agreement with Weatherford. Under this deal, the company expects annual deliveries worth ₹90 crore from FY27 onward.
This partnership provides long-term revenue visibility and strengthens MTAR’s position in the clean energy and precision engineering segment.
One-Year Stock Performance
| Time Period | Return |
|---|---|
| 1 Week | -2.65% |
| 6 Months | -8.03% |
| 1 Year | -17.7% |
Despite strong business developments and new contracts, the stock performance over the last year has been weak, indicating market caution.
Shareholding Pattern (June 2025)
| Shareholder Type | Holding (%) |
|---|---|
| Promoter | 31.70% |
| FII | 7.60% |
| DII | 23.50% |
| Public | 37.30% |
There’s strong participation from domestic institutional investors (DIIs) and increasing interest from foreign investors (FIIs), which adds to the stock’s credibility.
What Does MTAR Do?
MTAR Technologies, based in Hyderabad, manufactures precision-engineered components for the defence, aerospace, nuclear, and clean energy sectors. The company operates seven production units and one export facility, all located within a 4 km radius, making operations highly efficient and integrated.
Conclusion
MTAR Technologies is showing strong profit growth, backed by new contracts and solid execution capabilities. However, the decline in quarterly profit and weak stock performance can’t be ignored.
The company seems to be in a transition phase, balancing short-term financial challenges with long-term growth potential. For investors, MTAR remains a high-quality defence and clean-energy play, but patience will be key as it navigates this critical growth stage.
