Aion-Tech September loss narrows as mobility remains loss-making

AION-TECH SOLUTIONS LIMITED reported a consolidated loss after tax of Rs 98.4 lakh for the quarter ended 30 September 2026, narrowing from Rs 2.603 crore in the June quarter, while its e-vehicle mobility segment recorded a Rs 1.066 crore loss on revenue of Rs 8.958 crore.

How did Aion-Tech’s consolidated loss change in September 2026?

Aion-Tech’s consolidated loss after tax narrowed to Rs 98.4 lakh in the September 2026 quarter from Rs 2.603 crore in the June 2026 quarter. The latest loss was nevertheless above the Rs 47.8 lakh loss reported in the quarter ended 30 September 2025, showing that the sequential improvement did not restore the prior-year quarterly result.

Revenue from operations rose to Rs 33.392 crore from Rs 27.022 crore in the June quarter, an increase of Rs 6.37 crore. Revenue was marginally lower than Rs 33.483 crore in the September 2025 quarter, while other income increased to Rs 4.10 crore from Rs 1.071 crore sequentially and Rs 60 lakh a year earlier.

Total revenue, including other income, reached Rs 34.492 crore in the September quarter, compared with Rs 28.093 crore in June and Rs 34.063 crore a year earlier. Total expenses were Rs 35.463 crore, up from Rs 30.693 crore in the preceding quarter and Rs 34.557 crore in the September 2025 quarter, resulting in a pre-tax loss of Rs 97.4 lakh.

Which Aion-Tech businesses generated revenue and losses?

Aion-Tech’s software licences resale business was its largest revenue contributor in the September quarter, generating Rs 22.829 crore. That was higher than Rs 12.840 crore in June 2026 and Rs 18.057 crore in the September 2025 quarter, while the company’s total revenue from operations increased by Rs 6.37 crore sequentially.

E-vehicle mobility generated Rs 8.958 crore of revenue, down from Rs 12.139 crore in the June quarter and Rs 13.056 crore a year earlier. Information technology service and software services generated Rs 1.668 crore, compared with Rs 2.176 crore in June and Rs 2.395 crore in the prior-year quarter, while inter-company sales were Rs 6.3 lakh.

The combined information technology service, software services and software licences resale businesses reported segment profit of Rs 9.5 lakh after finance costs and depreciation. Their result before finance costs and depreciation was Rs 98.8 lakh, against Rs 34.8 lakh in June, with Rs 24.4 lakh of finance costs and Rs 64.9 lakh of depreciation and amortisation deducted in the September quarter.

Why did e-vehicle mobility remain loss-making?

Aion-Tech’s e-vehicle mobility segment remained loss-making because its Rs 5.146 crore result before finance costs and depreciation was exceeded by Rs 2.1568 crore of finance costs and Rs 4.054 crore of depreciation and amortisation. The segment therefore reported a loss of Rs 1.066 crore in the September 2026 quarter.

The segment loss narrowed from Rs 2.10 crore in the June quarter, when its result before finance costs and depreciation was Rs 2.065 crore. It also improved from a Rs 76.5 lakh loss in the September 2025 quarter, although quarterly segment revenue fell by Rs 4.098 crore from the June level and by Rs 4.098 crore from a year earlier.

For the six months ended 30 September 2026, e-vehicle mobility revenue was Rs 21.097 crore, above Rs 16.467 crore in the prior-year half. Its six-month segment loss was Rs 3.166 crore, narrower than Rs 5.355 crore a year earlier, after finance costs of Rs 3.968 crore and depreciation and amortisation of Rs 6.409 crore.

Which costs affected Aion-Tech’s September-quarter result?

Aion-Tech’s operating expenses rose to Rs 18.775 crore in the September quarter from Rs 10.273 crore in June and Rs 15.787 crore a year earlier. The sequential increase of Rs 8.502 crore was larger than the Rs 6.37 crore increase in revenue from operations during the same comparison.

Finance costs increased to Rs 2.402 crore from Rs 2.009 crore in June and Rs 1.094 crore in the September 2025 quarter. Depreciation and amortisation rose to Rs 4.703 crore from Rs 3.004 crore sequentially, while employee benefit expenses were Rs 5.379 crore, compared with Rs 4.965 crore in June.

Other expenses declined to Rs 4.204 crore from Rs 10.442 crore in the June quarter, a reduction of Rs 6.238 crore. For the six months ended 30 September 2026, total expenses of Rs 66.156 crore exceeded total revenue of Rs 62.585 crore, producing a consolidated loss after tax of Rs 3.584 crore versus profit after tax of Rs 5.461 crore in the prior-year half.

What do Aion-Tech’s cash flow and borrowings show?

Aion-Tech used Rs 42.210 crore in operating activities during the six months ended 30 September 2026, compared with Rs 39.308 crore used in the prior-year period. The outflow included a Rs 47.492 crore increase in other current assets and a Rs 5.046 crore increase in loans, partly offset by a Rs 5.749 crore increase in trade payables.

Financing activities provided Rs 41.842 crore in the six-month period, compared with Rs 16.860 crore a year earlier. Net long-term borrowings supplied Rs 42.749 crore and net short-term borrowings supplied Rs 21.519 crore, while lease-liability payments were Rs 19.679 crore and interest paid on borrowings was Rs 2.679 crore.

Cash and cash equivalents stood at Rs 16.933 crore on 30 September 2026, compared with Rs 10.531 crore at 31 March 2026 and Rs 96.5 lakh a year earlier. Current borrowings were Rs 76.993 crore, up from Rs 55.475 crore at 31 March 2026, while non-current borrowings increased to Rs 60.478 crore from Rs 17.729 crore.

What disclosed matters should Aion-Tech readers monitor?

Aion-Tech said its Dubai subsidiary, GTL Aion IT Solutions L.L.C., had not commenced operations because of prevailing geopolitical uncertainties in the region. The subsidiary was incorporated in the previous year, and the September 2026 results did not disclose a target date for the start of operations or an expected financial contribution.

Aion-Tech invoked arbitration on 16 July 2025 under the share purchase agreement for Wowtruck Technologies Private Limited. The dispute concerns a reimbursement claim of Rs 27.025 lakh relating to financial year 2021-22 costs, comprising a goods and services tax liability of Rs 21.125 lakh and professional fees of Rs 5 lakh; Aion-Tech made a Rs 27.1 lakh provision for advances considered not recoverable.

Aion-Tech also disclosed a Rs 10 crore overdraft facility from ICICI Bank at 9% per annum, comprising a 5.25% repo rate and a 3.75% spread. It closed a Rs 50 lakh overdraft facility with Union Bank of India, while consolidated finance cost for the September quarter was Rs 2.402 crore.

Conclusion

Aion-Tech’s September-quarter result shows that a rise in revenue from operations to Rs 33.392 crore and a reduction in other expenses to Rs 4.204 crore coincided with a smaller consolidated loss of Rs 98.4 lakh. The e-vehicle mobility segment also reduced its loss from Rs 2.10 crore in June to Rs 1.066 crore, but its depreciation and finance costs remained higher than its pre-finance-cost and pre-depreciation result.

The next reported period can show whether e-vehicle mobility sustains its narrower loss while finance costs and depreciation remain material charges. Investors can also monitor the use of the Rs 10 crore ICICI Bank overdraft, the unresolved Rs 27.025 lakh Wowtruck arbitration claim, and any update on the Dubai subsidiary’s commencement of operations.