Aequs Safran A320 Wheels Deal: 15-Year Growth Plan FY27

A long-tenure contract that signals supply-chain shift

Aequs Limited, a precision manufacturing company based in Belagavi, Karnataka, has secured a 15-year agreement with Safran Landing Systems to manufacture fully integrated Airbus A320 wheels in India. The work will be carried out at Aequs’ Belagavi Aerospace Special Economic Zone (SEZ) facility. Company filings describe the agreement as a single-source contract and the longest contract in Aequs’ history. The deal is positioned as a step-up in capability because it covers end-to-end wheel production rather than only parts or sub-assemblies. Management also indicated a higher margin profile for this contract, with the order expected to be added to the order book in the next quarter. The development matters for investors tracking India’s growing role in aerospace manufacturing, where long-duration programmes typically translate into steadier visibility.

What the Safran agreement covers

The contract covers the complete manufacturing lifecycle for Airbus A320 wheels, with operations planned entirely within the Belagavi Aerospace ecosystem. Aequs will source aerospace-qualified aluminium within India and then execute forging, machining, surface treatment, and final assembly. In its earnings presentation, management described the programme as “100% make in India” for a flight-critical product. According to company disclosures, this is the first time Safran Landing Systems has outsourced this specific flight-critical manufacturing process outside its internal facilities. That makes the agreement notable not only for duration but also for the scope of outsourced responsibility. For Aequs, the programme strengthens its positioning within landing systems, an area where the company said it is already expanding its presence.

Timeline: from Farnborough to production start

The partnership was initially announced at the Farnborough International Airshow in July 2026. It was then detailed in Aequs’ first-quarter FY27 earnings presentation dated July 29, 2026. Production under the new Safran Landing Systems contract is scheduled to commence in fiscal year 2028, according to reporting referenced by the company. This production timeline also aligns with broader industry coverage of the Farnborough announcement that cited calendar year 2029 delivery targets. The long lead time is typical for aerospace programmes, where qualification, tooling, and supply-chain readiness precede volume ramp-up.

Order book momentum in aerospace

Aequs reported that its aerospace order book has crossed USD 1 billion. More specifically, the Safran wheels contract, along with long-term agreements signed with two new aerostructures Tier-1 customers at Farnborough, pushed the aerospace order book to USD 1.004 billion. In another company update, Aequs also cited that its aerospace order book has crossed Rs 9,500 crore. While the article does not reconcile the two representations, both figures are presented as indicators of strong demand for its precision manufacturing capabilities. The company highlighted that its aerospace segment benefits from long-term programmes and expanding customer relationships.

Q1 FY27 revenue and growth targets

In Q1 FY27, Aequs reported revenue of Rs 395.5 crore, reflecting a 55% year-on-year increase. The company has also set aggressive medium-term targets. It is targeting 45% to 50% consolidated revenue growth in FY27, supported by 25% to 30% growth in aerospace and 125% to 150% growth in the consumer business. Aequs has framed the Safran wheel programme as a long-term opportunity that adds to its existing aerospace pipeline. Management also said the new wheels contract carries a larger margin profile, with the order expected to be added to the order book next quarter.

Capacity and capex: Hosur and Karnataka expansion plan

Aequs plans to invest Rs 1,900 crore over 10 years in a Hosur facility focused on expanding manufacturing capabilities, including aero-engine and complex landing-gear components. The company had signed an MoU with the Tamil Nadu government to set up this facility. Separately, Aequs also plans an additional Rs 2,800 crore investment across its consumer and aerospace businesses in Karnataka. Together, these capex plans indicate the company is building for larger programme participation and potential recurring aftermarket revenues, particularly in segments like landing systems and engines where qualification and scale matter.

Where Aequs fits in the aerospace ecosystem

Aequs positions itself as an end-to-end supply chain partner to leading aerospace OEMs and Tier-1 suppliers. The company’s capabilities span design validation, engineering, machining, forging, sheet metal fabrication, surface treatment, and assembly. It supplies to Airbus, Boeing, Safran, Collins Aerospace and SAAB, and holds a D2P (Detailed Parts Award) partnership with Airbus, which it says provides preferential access to a pool of contracts over non-D2P rivals. Aequs also disclosed a portfolio of 5,740 qualified parts across engine systems, structures, actuation systems, landing systems and assemblies for global aerospace OEMs and system integrators.

Consumer and toys: managing customer transitions

Beyond aerospace, Aequs has also highlighted changes in its toys business. When Hasbro changed its sourcing strategy and informed Aequs it would stop raising purchase orders, Aequs said it had already signed a long-term agreement with Mattel. Shipments under the Mattel arrangement started in Q3, and both sides are described as committed to scaling volumes. The company presented this as a pivot that retained utilisation of an existing manufacturing cluster and equipment, albeit with a different customer. These details matter because Aequs’ FY27 growth targets include a sharp expansion in the consumer business.

Market context: India’s aerospace participation

The global aerospace supply chain is estimated at USD 90 billion, with India accounting for around 2% of the market, according to the cited coverage. The same source also states that the country is a 10% share in the global aviation supply chain. While the figures are presented without further breakdown, the broader point is that India’s participation remains meaningful but still has headroom. Contracts that move flight-critical manufacturing into India, such as fully assembled A320 wheels, are often read as evidence of capability deepening within the ecosystem.

Key facts at a glance

Why investors are tracking this development

The Safran A320 wheels programme stands out because it combines duration, scope, and manufacturing criticality. A single-source, 15-year contract can improve planning visibility for capacity, supplier development, and workforce skill-building, especially when the production process covers forging through assembly. The company’s commentary on a higher margin profile also signals that this is not positioned as commodity work, although the article provides no margin numbers. Alongside order book disclosures and large capex plans in Hosur and Karnataka, the agreement strengthens the narrative of Aequs moving into higher-value manufacturing within aerospace. Near-term attention is likely to remain on how the contract gets reflected in the order book next quarter and the stated timeline for production commencement in FY2028.

Conclusion

Aequs’ 15-year Safran Landing Systems contract for fully assembled Airbus A320 wheels adds a significant long-term programme at its Belagavi Aerospace SEZ facility, with end-to-end manufacturing using India-sourced aerospace-qualified aluminium. The company is pairing this with multi-year investments of Rs 1,900 crore in Hosur and an additional Rs 2,800 crore in Karnataka, while targeting 45% to 50% consolidated revenue growth in FY27. With production scheduled to start in FY2028, the next set of official updates is expected around order book additions and ramp-up preparations disclosed in future quarters.