Announces Rs 202 crore proposed capex by March 2028 to expand hose and liquid cooling skid capacity
Proposed capex of Rs 202 crore, completion targeted by March 2028.
By ScoutQuest · · 2 min read
- Proposed Capex
- Rs 202 crore
- Completion Target
- March 2028
- SS Hose & Braiding Capacity
- 20 million metres p.a. to 30 million metres p.a.
Aeroflex Industries has announced a capacity expansion programme with a proposed total capital expenditure outlay of Rs 202 crore, targeted for completion by March 2028.
Where the capacity is going
- SS Hose & Braiding: manufacturing capacity to increase from 20 million metres p.a. to 30 million metres p.a.
- Hose Assemblies: increased hose manufacturing capacity is expected to support an expansion in the production capacity of associated hose assemblies
- Liquid Cooling Skid Assemblies: capacity to expand to 30,000 pieces p.a.
How it is funded and built
- The proposed capital expenditure will be funded through a combination of equity, bridge loan and internal accruals
- The programme comprises a mix of brownfield expansion at the existing Taloja facility and a new manufacturing facility for Hose Assemblies
- The investment will be undertaken in a phased manner
What the company expects
- At peak capacity utilisation, the expanded capacities are expected to generate incremental revenue of Rs 500 - 550 crore
- The stated focus is on high-growth, new-age industries, particularly data centre infrastructure and liquid cooling
Management view
Mr. Asad Daud, Managing Director, said the proposed investment reflects the company's strategic focus on strengthening its core manufacturing capabilities while building capacity in high-growth and emerging industries. He added that while newer industrial applications are driving demand for SS Hoses & Braiding and Assemblies, the rapid expansion of AI workloads, data centre infrastructure and high-density computing is creating significant opportunities in liquid cooling solutions.
What a retail reader can take away
The announcement sets out a planned investment and the capacity additions it is meant to create. The revenue figure is described as an expectation at peak capacity utilisation, not a current or assured number. The press release states that certain statements in it are forward-looking, are subject to risks and uncertainties such as significant changes in the economic environment in India and overseas, tax laws, inflation and litigation, and that actual results might differ substantially from those expressed or implied.
Also from Aeroflex Industries
Aeroflex Industries to hold earnings call on 29 October 2026 for Q2 & H1FY27 performance
19 Oct 2026
Board meeting on October 28, 2026 to consider and approve Q2 and H1 FY27 results
19 Oct 2026
Gets patent for automated 3D model generation of braided hose assemblies
19 Oct 2026
More numbers
- Total proposed capital expenditureRs 202 crore
- Expected incremental revenue at peak capacity utilisationRs 500 - 550 crore
- SS Hose & Braiding capacity (current)20 million metres p.a.
- SS Hose & Braiding capacity (to increase to)30 million metres p.a.
- Liquid Cooling Skid Assemblies capacity (to expand to)30,000 pieces p.a.
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