Aeroflex Industries expects 30-35% FY27 growth as liquid cooling business gains traction

Aeroflex Industries expects 30-35% growth in both revenue and profit in the financial year 2026-27 (FY27), supported by increasing demand for liquid cooling solutions used in data centers and continued expansion of its core flexible hose business, Managing Director Asad Daud said.

The manufacturer of stainless steel flexible hoses, assemblies and fittings headquartered in Navi Mumbai expects the liquid cooling segment to contribute a larger share of revenue this year while seeing sustained demand from India, Europe and the US.

Daud said the strong start to 2026-27 was aided by newly commissioned capacities. While the April-June 2026 quarter posted revenue growth of more than 70% and profit more than doubled, he said the full-year growth rate would normalise because the year-ago base was weak.

The liquid cooling business contributed 23% of total revenue in the June quarter and is expected to account for 25-27% by the end of 2026-27. Daud said the company supplies hose assemblies and cooling skid assemblies for data center cooling systems through a partnership with a large US company. "We expect that this particular business vertical to see extremely high growth in the foreseeable future," he said.

He added that while competition may increase over time, Aeroflex plans to protect margins through cost optimisation. The company also expects exports to remain the larger business, although the domestic share is likely to rise as the liquid cooling segment expands.

Aeroflex Industries has a market capitalisation of ₹5,906.58 crore.

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