Azad Engineering signs $73.47-million deal with Mitsubishi Heavy Industries

Azad Engineering Limited has entered into a new long-term contract and price agreement with Mitsubishi Heavy Industries Limited (MHI), Japan, valued at $73.47 million (₹651 crore), the company said in a filing to stock exchanges on Friday, September 26.The contract covers the supply of highly engineered and complex rotating and stationary airfoils for advanced gas and thermal power turbine engines to meet MHI’s global demand in the power generation sector. This deal is incremental to a previous contract signed on November 3, 2024, and brings the combined value of contracts between the two companies to $156.36 million (₹1,387 crore).

The agreement is structured as a long-term international contract with a five-year execution period. Azad Engineering has no shareholding in MHI, and the deal does not involve related party transactions, the company said.

The shares of Azad Engineering ended close to 4% in the red on Friday (September 26). The stock has fallen 15% in the year so far.In the first quarter of the financial year, Azad Engineering posted a 73.7% year-on-year rise in Q1 net profit to ₹29.7 crore, supported by robust revenue growth and improved operating margins. Revenue rose 39.2% to ₹137 crore, while EBITDA jumped 50% to ₹49.2 crore. Operating margin expanded to 35.9% from 33.2% a year earlier.

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Shares of Azad Engineering ended at ₹1594.75, down ₹24.40 (-1.51%) on the BSE today, September 26.