Avalon Technologies Ltd. share price target

Q4FY26 financial performance: Revenues grew by 40.0% YoY at Rs 4.8bn (PLe: Rs ~76%/35%/60%/9% YoY, whereas Communication segment declined by ~1% in Q4FY26. Gross margins contracted by ~140 bps to 33.7% (PLe: 35.0%). EBITDA grew by 37.5% YoY to Rs 569mn (PLe: Rs 478mn). EBITDA margins remained flat at 11.8% (PLe: 11.5%). PBT stood at Rs 563mn (PLe: Rs 432mn). PAT stood at Rs 412mn (PLe: Rs 323mn). India:...

Avalon Technologies (AVALON) reported a robust 4QFY26, with revenue growing 40% YoY, fueled by a strong performance US businesses (up 64%) and healthy performance in Indian business (up 13% YoY).

Avalon Technologies (AVALON) reported a robust quarter, with revenue growing 49% YoY in 3QFY26, fueled by a strong performance in both the Indian (up 23% YoY) and US businesses (up 69%); broad-based growth
across segments (Clean Energy/Mobility and transportation/Industrials/Communication).

Avalon Technologies (AVALON) reported a robust quarter, with revenue growing 39% YoY in 2QFY26, fueled by a strong performance in both the India (up 31% YoY) and US businesses (up 44%).

Avalon Technologies (AVALON IN) has reported strong revenue growth of Change in Estimates | Target | Reco 62.1% YoY mainly driven from Mobility/Industrial segments (grew by ~92%/85% YoY). EBITDA margin expanded by healthy ~710bps YoY to 9.2%,...

Avalon Technologies (AVALON IN) has reported strong earnings growth of Change in Estimates | Target | Reco EBITDA margin expanded by healthy ~410bps YoY to 12.1%, attributed to a...

Avalon is uniquely placed in the Indian electronics manufacturing services (EMS) sector with its well-established manufacturing presence in the US.

Avalon Technologies (AVALON) reported a strong quarter, with revenue growing 37% YoY in 2QFY25, led by a healthy recovery in US operations (up 57% YoY).

Avalon Technologies (AVALON) stands out in the EMS landscape as the only player with a significant manufacturing presence in the US.

Issue Snapshot: Issue Open: Apr 03 Apr 06, 2023 Price Band: Rs. 415 436 *Issue Size: 865.0 cr (Fresh Issue of Rs 320.0 cr + Offer for sale of 545.0 cr) Reservation for: QIB atleast 75% eq sh Non-Institutional upto 15% eq sh ((including 1/3rd for applications between Rs.2 lakhs to Rs.10 lakhs)) Retail upto 10% eq sh Face Value: Rs 2 Book value: Rs 26.37 (November 30, 2022) Bid size: - 34 equity shares and in multiples thereof 100% Book built Issue IPO Note-Avalon Technologies Limited

The company’s capabilities include PCB design and assembly, cable assembly and wire harnesses, sheet metal fabrication and machining, magnetics, injection molded plastics and end-to-end box build of electronic systems.

Avalon Technologies Limited is a leading fully integrated Electronic Manufacturing Services ("EMS") company. The company is one of the leaders in the segment in India in terms of revenue in Fiscal 2022.

We believe Avalon technology is well placed as a EMS company providing a “One Shop Stop” integrated solution for electronics, electro mechanical design and manufacturing services. We consider company’s strength in collective cross industry experience and strong product portfolio with flexible volume product manufacturing which helps them to have strong relationship with their clients, on an average relation with customers which accounts for 80% revenue in 2022 is more than 7 years.

IPO NOTE

ATL is engaged in the global supply of critical and specialized components to industries across the board with a major focus on clean energy and new product developments used in Automotive (EV’s), Aerospace, Defence and Hydrogen space. Favourable policy initiatives such as ‘Make in India’ program of GOI, leading to high customer retention and cost-efficient manufacturing.

Avalon Technologies is one of the leading fully integrated Electronic Manufacturing Services with a wide range of product portfolio. The company largely generates its revenues from the United States (~63% of revenues), catering to the sunrise industries such as clean tech, power automation, mobility. The company has an order book of INR 1190 crores as on November 2022 with a customer base of 80.