Kernex Microsys.

NSE: KERNEX · Transport Related Services

52W Range₹850 ₹2,445

Snapshot

Unlock Kernex Microsys.'s vital signs

Growth · Profitability · Valuation · Strength · Conviction

Company Overview

Business

Kernex Microsystems (India) Limited specialises in the design, development, and maintenance of safety systems for the railway sector, including anti-collision and level crossing protection technologies. The company also provides comprehensive electronic product design, embedded software development, and manufacturing services.

Business Model

The company generates revenue through the sale of proprietary railway safety hardware and software solutions, alongside the provision of technical services such as installation, maintenance, and electronic product development.

  • Incorporation Year:1991

Growth Outlook

Growth is primarily driven by the increasing emphasis on railway safety infrastructure and the modernisation of signalling systems within the Indian railway network. The company continues to leverage its expertise in embedded systems to expand its product portfolio for the transport sector.

Key Risks

  • Customer Concentration. The company's revenue is heavily dependent on the Indian Railways, making it vulnerable to changes in government procurement policies and budgetary allocations.
  • Technological Obsolescence. Rapid advancements in railway safety technology require continuous R&D investment to remain competitive and compliant with evolving safety standards.
  • Project Execution Risk. Delays in the installation and commissioning of large-scale railway safety projects can adversely impact the company's financial performance.
  • Regulatory Compliance. Strict adherence to safety certifications and regulatory requirements is mandatory, and any failure to meet these standards could lead to contract cancellations.

Price

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Key Metrics

REVENUE

₹430 Cr

TTM · consolidated

+126.7%YoY

NET PROFIT

₹88 Cr

TTM · consolidated

+76.3%YoY

EPS

₹52.62

TTM · consolidated

+75.5%YoY

RETURN ON EQUITY

48.9%

TTM · consolidated

+7.0 ppYoY

RETURN ON CAPITAL EMPLOYED

77.1%

TTM · consolidated

+44.6 ppYoY

P/E

40.0x

Q4 FY26 · consolidated

40.0 vs -181.3x5Y avg

EV/EBITDA

24.5x

Q4 FY26 · consolidated

24.5 vs -205.3x5Y avg

EBITDA MARGIN

35.1%

TTM · consolidated

+12.8 ppYoY

NET PROFIT MARGIN

26.8%

Q4 FY26 · consolidated

-12.4 ppYoY

DEBT TO EQUITY

0.7x

Q4 FY26 · consolidated

+0.39xYoY

Peers · Transport Related Services

CompanyMkt Cap (Cr)P/EEV/EBITDARev Gr YoYEBITDA MgnROEROCE1Y Return
Kernex Microsys.KERNEX
1,57240.0024.49126.7%35.1%48.9%77.1%+83.1%
Blackbuck Ltd.BLACKBUCK
10,55865.3145.3035.2%12.5%13.1%+26.7%

As of Q4 FY26

Financials