KERNEX MICROSYS(I) LTD

Builds and installs railway safety and automation systems, primarily the KAVACH train collision avoidance system for Indian Railways. Revenue comes from contracts with government railway entities such as Integral Coach Factory (ICF) and Chittaranjan Locomotive Works (CLW), covering supply, installation, testing, commissioning and warranty of on-board and track-side KAVACH equipment. The company has an order book of Rs 4,150 crores with around 30% execution completed, and FY26 revenue from operations was Rs 430.22 crore. Earnings calls and filings have flagged a new Rs 15.90 crore order from Jindal Steel for a Yard Safety Management and Automation System (Torpedo & Loco Tracking System), signalling a move into industrial yard automation using the same sensor and AI-based tracking technology. Major cost lines are materials at 91.8% of revenue, other operating expenses at 17.9% and employees at 7.5%, with depreciation at 1.4% and capex at 3.4% of revenue. The company's filings also note sharply negative operating cash flow in FY26 due to a large build-up of trade receivables (Rs 31,626 lakhs) and inventories (Rs 37,132 lakhs).