Syrma SGS Technology Limited announced strong financial results for the second quarter and first half of fiscal year 2027. Revenue for Q2 FY27 grew by 73% year-on-year to approximately INR2,000 crore, with H1 FY27 revenue reaching INR3,603 crore (71% growth). The company highlighted robust performance across diversified end markets, an expanding export business, and progress on key projects like the PCB facility. Management also reaffirmed guidance and expressed confidence in achieving approximately 40-45% growth for the full year FY27, targeting revenues around INR7,000 crore.
Syrma SGS Technology Reports Strong Q2 FY27 Performance
Syrma SGS Technology Limited announced robust financial results for the second quarter and the first half of the fiscal year 2027. The company reported a consolidated total revenue of approximately INR2,000 crore for Q2 FY27, marking a significant year-on-year growth of 73% and a sequential growth of 25%. For the first half of FY27 (H1 FY27), consolidated revenue stood at INR3,603 crore, representing a substantial growth of 71% year-on-year.
Financial Highlights
Operating EBITDA for Q2 FY27 increased by 68% to INR193 crore, while H1 FY27 EBITDA reached INR355 crore, also a 68% growth on a year-on-year basis. Profit Before Tax (PBT) for the quarter was INR165 crore, and for H1, it was INR306 crore (a 95% year-on-year growth). Profit After Tax (PAT) for the quarter grew by 87% to INR124 crore, and for H1, it saw a 98% increase to INR230 crore.
Diversified Growth and Strategic Initiatives
The company highlighted broad-based revenue growth across various verticals, including automotive (91% YoY growth), consumer business (29% of revenue), healthcare (61% YoY growth), and industrial business (86% YoY growth). The IT and railways segment also performed strongly, with revenue growing by 69% YoY and contributing approximately 14% of operating revenue.
Exports continue to be a cornerstone of Syrma SGS’s strategy, with export revenue increasing by 91% YoY for the quarter to approximately INR514 crore and reaching INR901 crore for H1 FY27 (80% YoY growth). The Original Design Manufacturer (ODM) revenue also saw significant growth, up 117% YoY for H1 FY27 to INR591 crore.
The company is progressing with its strategic initiatives, including the PCB project, which is expected to power on by March and start trial production. Volume production for the PCB project is anticipated by September 2027, contributing to margin accretion in FY28-29. Investments are also being made in other diversification projects like camera modules and magnetics.
Outlook and Guidance
Syrma SGS Technology reaffirmed its confidence in its growth trajectory, revising its guidance upwards to deliver 40% to 45% growth on an annualized basis for FY27, translating to around INR7,000 crore in revenue. The company aims to cross the $1 billion revenue mark in FY28. EBITDA margins are projected to be between 10% to 10.5% for FY27, with further improvement expected in subsequent years from margin-accretive projects. The working capital cycle has improved to 63 days, and the company maintains a healthy net cash position.
Order Book and Future Plans
The open order book visibility stood at INR7,420 crore as of September end. The company is focused on expanding its presence across industries and building capabilities in higher value manufacturing. The PCB project is a significant investment, with a total investment expected between INR800 crore to INR900 crore by March 2028, targeting substantial revenue generation from FY29 onwards with expected EBITDA margins of 15% to 18%.
Source: BSE
