Investors are increasingly eyeing high-precision engineering companies that are tapping into the booming EV, defense, and renewable sectors. With demand across automotive and non-automotive segments showing strong momentum, select microcap players are emerging as key beneficiaries, posting record order books and expanding their global footprint. One such company has successfully diversified its offerings, capturing attention with robust growth and strategic expansion plans.
About the Company
OBSC Perfection Ltd is a precision metal component manufacturer serving marquee clients across Automotive, Defense, Marine, Renewable, and Telecom industries. Starting as a domestic supplier, the company has scaled to become a critical vendor to the global facilities of its clients. Part of a 56-year-old group, the company provides backward-integrated solutions with a vision to forward-integrate its offerings in the future. The company operates five manufacturing facilities across Maharashtra and Tamil Nadu, offering machining, turning, investment casting, fabrication, and forging capabilities. The stock currently trades at Rs. 343.30 with a market capitalization of Rs. 833.83 crore and is part of the Nifty SME Emerge index. The stock has delivered investors returns of over 131.97 percent in the last one year.
What They Do
OBSC Perfection is a manufacturer of precision metal components, offering a wide range of high-quality engineered parts across industries and geographies. The company primarily serves leading OEMs supplying components to India’s top automotive manufacturers. Beyond automotive, OBSCP caters to Defense, Marine, Telecom, and Renewable sectors, producing components such as shafts, torsion rods, piston rods, drive shafts, gear shifters, housings, fasteners, and connectors.
In Automotive, products support EVs, exhaust systems, and suspension systems. In Defense, offerings include ammunition and fuses. Marine applications cover mechanical cables and steering systems, while Telecom solutions include antennas and towers. In Renewables, components are used in solar trackers and windmills.
Revenue Mix: Shifting Focus Beyond Automotive
The company has been gradually diversifying its revenue streams beyond automotive. In FY25, automotive contributed 91.1 percent of revenues, defense 3.9 percent, marine 4.2 percent, telecom 0.1 percent, and renewables 0.7 percent. By H1 FY26, automotive contribution reduced to 82.4 percent, while defense and marine increased to 6.2 percent and 6.5 percent respectively, with renewables rising to 4.9 percent. On the geographic front, 20.2 percent of revenues come from exports spanning 13 countries and Domestic revenues contribute 79.8 percent.
Manufacturing Capabilities: Scaling for Growth
The company’s five facilities span 154,173 sq. ft., combining owned and rented units. Machining capacity utilization reached 47.3 percent in H1 FY26, while investment casting stood at 47.5 percent. OBSC Perfection Ltd has also begun hot forging production and is in the final stages of securing land for a giga-factory. This upcoming facility aims to consolidate precision parts manufacturing under one roof, enhancing operational efficiency, integration, and scale.
Order Book: Record Levels Across Segments
The company reported its highest-ever order book of Rs. 1,200 crore in H1 FY26, with Rs. 986 crore from automotive and Rs. 256 crore from non-automotive sectors. Domestic orders stand at Rs. 562 crore while exports contribute Rs. 681 crore, representing 55 percent of total order inflows. Recent wins include small purchase orders from the defense segment, with more expected, and the company has entered new sectors like infrastructure and railways. Notably, forged products account for 54 percent of new orders received over the last six months.
Client Profile
OBSC Perfection Ltd serves a high-quality client base including TATA Autocomp, Tenneco Automotive, Kongsberg Automotive, Bharat Electronics, Faurecia, CommScope, IMISystems, WABCO, COROB, Teconnex, Sharda Motor, and JTEKT, highlighting its credibility and global reach.
Financial Snapshot – H1 FY26
On a sequential basis, sales rose from Rs. 75 crore in March 2025 to Rs. 89 crore in September 2025, a 18.7 percent increase. Operating profit grew from Rs. 13 crore to Rs. 16 crore, up 23.1 percent. PBT rose 18.2 percent from Rs. 11 crore to Rs. 13 crore, while net profit increased 22.2 percent from Rs. 9 crore to Rs. 11 crore.
On a YoY basis, sales jumped 30.9 percent from Rs. 68 crore in September 2024 to Rs. 89 crore, operating profit surged 33.3 percent from Rs. 12 crore to Rs. 16 crore, PBT rose 30 percent from Rs. 10 crore to Rs. 13 crore, and net profit expanded 57.1 percent from Rs. 7 crore to Rs. 11 crore.
Other key metrics include a gross block of Rs. 88 crore, a workforce of over 125 employees, and a strong financial trajectory with revenue CAGR of 36.8 percent, operating EBITDA CAGR of 53 percent, and PAT CAGR of 67 percent over FY22-FY25. The company also recorded a revenue CAGR of 80 percent from FY20 to FY25.
Written by Manan Gangwar
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
