Action Construction Equipment (ACE) expects to double the contribution of exports to its revenue over the next two to three years, as the Palwal-based construction equipment maker steps up its push into overseas markets. According to reports from Business Standard, exports currently account for around 7-8% of revenue and could rise to 15% as ACE expands beyond its traditional markets in Africa and Latin America. Executive Director Sorab Agarwal noted that the company feels this target can be achieved within 2-3 years, with potential for even bigger growth thereafter. The expansion comes as ACE looks beyond markets where Indian construction equipment makers have traditionally sold their products, with Agarwal saying exports earlier largely meant Africa, Latin America and SAARC markets, but Indian manufacturers are now increasingly looking at North America, Australia and Europe.
ACE reported consolidated revenue of ₹3,280 crore in FY26, down 1.4% year-on-year, while profit after tax rose 1.4% year-on-year to ₹415 crore. As reported by Business Standard, last financial year, exports accounted for 5% of the company's total revenue, with their share reaching 7-8% in the first half of 2026-27. Agarwal explained that if the Middle East disruption had not happened, the company could have added another 2-3 percentage points, potentially reaching 8-10% in exports this year instead of the current 7-8%. The company had been developing markets in Saudi Arabia and the UAE, but shipping disruptions linked to the ongoing West Asian conflict have delayed some consignments, with some initial stock orders for Saudi distributors ready since March unable to be shipped due to disrupted shipping routes.
ACE is currently seeing export growth from Africa and South America, while it is also working on entering Mexico. The company had been developing markets in Saudi Arabia and the UAE, but shipping disruptions linked to the ongoing West Asian conflict have delayed some consignments. ACE has therefore been diverting its export efforts towards other markets while continuing to build its international presence. The expansion strategy allows the company to add products while remaining within application areas and customer segments that it already understands, with Agarwal noting that potential acquisition targets would be connected to the company's existing areas of expertise and could involve backward integration or forward integration.
ACE's export strategy is part of a broader plan to combine organic growth with inorganic expansion, with inorganic growth identified as one of the company's two biggest growth drivers over the next one to two years. As reported by Business Standard, potential acquisition targets would be connected to the company's existing areas of expertise and could involve backward integration or forward integration. The areas being considered include infrastructure, manufacturing, metal handling and defence, with Agarwal elaborating that the strategy would allow ACE to add products while remaining within application areas and customer segments that it already understands. The company is already evaluating prospects, with the final decision dependent on the potential for synergies and future growth, while avoiding completely unrelated sectors.
ACE sold around 7,200 pick-and-carry cranes in FY26, while sales of other products added another 2,000-3,000 machines. According to reports from Business Standard, the company expects domestic volumes to grow 10-12% in FY27, potentially more, while revenue growth is expected to benefit from higher sales of larger machines and price increases implemented during the year. Infrastructure and manufacturing are ACE's two biggest customer sectors and together account for around 80-85% of the company's revenue. The domestic business is showing improvement after a subdued first quarter, with both sectors performing well despite inflation and uncertainty around commodity prices preventing the market from reaching its full potential.
