Azad Engineering Signs $73.47 Million Contract with Mitsubishi; Stock Gains Over 2%

Hyderabad, September 29, 2025 – The shares of Azad Engineering Limited (NSE: AZAD, BSE: 544061) gained over 2% in early trade today. The rally shifted right after the company announced receiving a significant new order from Japan’s Mitsubishi Heavy Industries Ltd. (MHI).

Azad Engineering Limited is a precision engineering company based in Hyderabad, serving the power generation, aerospace, and defense sectors. The company is listed on the NSE and BSE and is included in the Nifty Microcap 250 index, operating within the Heavy Electrical Equipment industry.

Azad Secures ₹651 Crore LTCPA with MHI

The company has informed the exchange that it has entered into a long-term contract & price agreement, valued at USD 73.47 million, or approximately ₹651 crore. This contract is for the provision of complex rotating and stationary airfoils for advanced gas and thermal power turbine engines.

The contract, which is in addition to the one the company announced on November 3, 2024, raises the total value of Azad’s contracts with MHI to USD 156.36 million (₹1,387 crore).

Market Reaction

As of 12:15 PM IST, the share of Azad Engineering is trading at ₹1,580.20, up ₹23.40 or 1.50% from its previous close of ₹1556.80. The stock opened at ₹1,615.00, hit a high of ₹1,626.00 and a low of ₹1,578.30 so far. The traded volume stood at 1.23 lakh shares worth ₹19.63 crore. The company’s market cap was ₹10,258.16 crore, with a free float cap of ₹4,051.18 crore. VWAP stood at ₹1,598.47, P/E ratio at 101.72, with a 52-week range of ₹1,159.45–₹1,929.80.

Contract Details

Azad Engineering secured a five-year contract valued at USD 73.47 million (₹651 crore) with Mitsubishi Heavy Industries, Japan, to supply high-precision airfoils for generating power globally. The non-related party transaction increases the cumulative contract value with MHI to USD 156.36 million (₹1,387 crore).

Strategic Outlook

This Phase 2 deal, as Azad referred to it, was a significant step toward solidifying our long-term strategic partnership with MHI. The company anticipates that the transaction will enable it to position itself as a leading supplier of turbine components on the world scene.

REF: https://nsearchives.nseindia.com/corporate/AZAD2356_26092025174355_Coveringletter.pdf

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