Sigma Advanced Systems begins aerospace production at Sri City facility
Sigma Advanced Systems has begun aerospace production at its new 75,000 sq ft facility in Sri City, Andhra Pradesh. The facility is operational with 100,000 annual machining hours and plans to scale to 300,000 hours. This expansion is expected to drive double-digit EBITA growth and create over 500 jobs in the next 2-3 years.
The commencement of production at a new facility, expansion plans, and job creation are positive developments, but the direct financial impact is not yet quantified, making the impact medium.
The announcement details the successful commencement of production at a new, significant manufacturing facility, which is a positive development for the company's growth and expansion strategy.
Sigma Advanced Systems Limited has announced the commencement of production at its dedicated aerospace manufacturing facility in Sri City, Andhra Pradesh. This marks a significant milestone, transitioning from groundbreaking to active production in just eight months.
The facility has successfully manufactured and shipped its first batch of precision-machined aerospace components to Sigma UK for final verification. The Sri City operation has also completed initial stages of the source-change approval process with Rolls-Royce Aerospace.
The 75,000 sq ft facility is now operational, offering 100,000 annual machining hours of production capacity, with plans to expand to 300,000 annual machining hours. The entire campus, spanning 500,000 sq ft, is expected to be operational within the next 12 months, further increasing manufacturing capacity and incorporating critical aerospace processes. Eventually, approximately 70% of the manufacturing process is anticipated to be carried out in India.
Sunil Kalidindi, CEO and Executive Director, stated that the Sri City facility is crucial for Sigma's evolution as a global aerospace manufacturing partner and is expected to drive double-digit EBITA expansion. The company aims to replicate its UK manufacturing capabilities in India and bring a larger portion of the aerospace manufacturing value chain to the country.
Sri City was chosen for its rapid capability development, long-term manufacturing scale, and access to major international logistics gateways, including four major ports. Sigma also plans to develop specialized aerospace manufacturing skills through on-campus training.
Over the next two to three years, Sigma expects the Sri City operation to employ over 500 people, creating specialized roles in precision manufacturing, complex fabrications, specialized welding, engineering, and aerospace processes. This facility is part of Sigma's strategy to establish a multi-site aerospace manufacturing footprint across India and the UK, complementing its existing operations through UK subsidiaries Nasmyth and Bromford. The company plans to further expand the Sri City facility, commission additional processes, progress NADCAP accreditation, and increase the proportion of manufacturing undertaken in India.
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SIGMA ADVANCED SYSTEMS LIMITED filed this with the NSE as a statutory disclosure, categorised under new orders. It is a primary document, not a recommendation, and the desk marks it medium impact: worth reading, rarely worth acting on by itself.
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