The technological landscape is evolving at an unprecedented pace, and companies of all sizes need to be able to adapt quickly in order to stay competitive. New technologies and innovations are emerging all the time, and those who are able to adopt and implement these technologies effectively will be well-positioned for success in the years to come. One of the companies that is helping global OEMs recognize and calibrate to this fast-paced world of engineering is AXISCADES Technologies Ltd., a leading end-to-end engineering and technology solutions provider. AXISCADES is actively incorporating principles and technologies of Industry 4.0 into its capabilities. Leveraging IoT, AI, and advanced analytics, they are developing smart and connected products that enhance functionality, performance, and efficiency.
During recent quarters, AXISCADES has garnered technology partners like Singapore-based Cantier and acquired Germany-based add Solutions GmBH to stay ahead of the curve and embrace emerging trends to provide top-notch engineering and electrical solutions to their clients. The company has been quick to recognize the burgeoning demand for high-performance and reliable products and is investing in advanced engineering analysis techniques, including simulations and computational modeling, to optimize product design, improve performance, and ensure reliability. Promising futuristic technologies that transcend mere dreams or sci-fi ideals to become a tangible and attainable reality.
Currently working with some of the biggest names in the semiconductor industry AXISCADES together with its subsidiary Mistral is engaged in the verification, validation, and testing of chips helping to expedite the release of new or upcoming silicon technology as swiftly and cost-effectively as possible. As India hurtles into building a vibrant semiconductor ecosystem within the country aided by several government endeavours, the company sees it as a ripe time to increase its footprint within the sector.
The company's strategy of deepening its expertise within sectors, and aiming to offer custom solutions that effectively address the unique challenges of its clients have facilitated its growth across its target industries. Notably, FY23 saw an impressive year-on-year growth of 44.3% within the aerospace vertical, over 50% in the defense vertical, and a remarkable growth of 65.2% in the automotive vertical. From a demographic standpoint, the company experienced double-digit growth across all its geographical regions, with the exception of Canada. This performance not only enhanced the market presence of this Bengaluru-based company but also resulted in it achieving its highest-ever revenue in its history, reaching Rs. 8,136 million.
“We achieved major milestones during the year, with several transformative engagements going live. Through our strategic partnerships, we have enhanced our capabilities, built a strong presence in new markets, and continued our expansion in key geographies. Our focus on de-risking the business by diversifying our verticals, reducing customer concentration risk, and increasing our investments in digital capabilities has stimulated incremental value. We are proactively building differentiating capabilities and remain confident in the long-term demand for our solutions, driven by the emergence of newer technologies,” said Mr Shashidhar SK, CFO of AXISCADES Technologies Ltd. remarking on the milestone performance of the company.
As companies strategically shift their approach by outsourcing a broader range of activities, including full programs, rather than augmenting their staff, they will seek partners with domain expertise and a comprehensive suite of solutions. AXISCADES, which aims to increase its wallet share in the coming years, expects to become that preferred partner, as the utilization of ER&D services increases across sectors such as automotive and mobility, medical devices, energy & and natural resources, and aerospace & and defence among others.
“Our order book has been driven by both our established mainstay verticals such as aerospace, product engineering services, and defense, as well as the mounting traction we've achieved in our emerging verticals like automotive and energy. We’ve renewed long-term contracts with Airbus and are also seeing a strong influx of new strategic logos driven by the demand of ER&D. As we move forward, we will be harnessing our cross-competencies to cater to the evolving needs of our customer base across various segments, industries, and geographies,” remarks Mr Shashidhar.
Looking ahead, AXISCADES is embarking on a journey to not only achieve the industry's best margins of profitability but also harness the power of digital. While traditional engineering has long been the company's forte, the integration of digital capabilities is poised to unlock significant value for existing clients and extend its reach to prospective customers. This transformation will hinge on internal optimization, data-driven approaches, and the expansion of the digital business portfolio. Committed to addressing the entire product lifecycle and cultivating its own digital engineering platform capabilities to elevate its competitive edge in the market it is well-positioned to capitalize on the widespread adoption of digitalization across various industries. The organization's substantial investment in building a digital team is expected to yield margin accretion in the years to come.