Sugs Lloyd Limited H1 revenue rises 73% as Q2 billing doubles

Sugs Lloyd Limited reported record revenue from operations of Rs 213.31 crore for H1 FY27, up 73% from H1 FY26, while profit after tax rose 69% to Rs 20.01 crore. Sugs Lloyd said Q2 FY27 revenue of Rs 134.91 crore included both current-quarter billing and June billing deferred from Q1.

How did Sugs Lloyd perform in H1 FY27?

Sugs Lloyd reported revenue from operations of Rs 213.31 crore for the half year ended 30 September 2026, compared with Rs 123.03 crore in H1 FY26. Earnings before interest, tax, depreciation and amortisation, or EBITDA, increased 64% to Rs 31.00 crore from Rs 18.88 crore, while profit after tax, or PAT, rose 69% to Rs 20.01 crore from Rs 11.82 crore.

The H1 FY27 revenue was 71% of Sugs Lloyd's Rs 300.73 crore revenue for full-year FY26. Basic and diluted earnings per share were Rs 8.62, compared with Rs 6.86 in H1 FY26; Sugs Lloyd said the earlier period reflected a lower share count because initial public offering shares were allotted in September 2025, and the earnings-per-share figures are not annualised.

Profitability margins declined despite the higher absolute earnings. EBITDA margin was 14.54% in H1 FY27, down 81 basis points from 15.34% a year earlier, while PAT margin fell 23 basis points to 9.38%; finance costs rose 51% to Rs 5.89 crore as working-capital borrowings increased.

Why did Sugs Lloyd's Q2 FY27 revenue more than double?

Sugs Lloyd's Q2 FY27 revenue was Rs 134.91 crore, up 112% from Rs 63.62 crore in Q2 FY26 and 72% from Rs 78.40 crore in Q1 FY27. The company said the result included billing for work completed during Q2 and June billing that moved from Q1 into Q2, as indicated on its Q1 earnings call.

Q2 FY27 EBITDA was Rs 19.01 crore, up 91% year on year from Rs 9.97 crore and 59% quarter on quarter from Rs 11.99 crore. PAT reached Rs 12.51 crore, up 107% from Rs 6.03 crore in Q2 FY26 and 67% from Rs 7.50 crore in Q1 FY27; Sugs Lloyd derives quarterly figures by subtracting published Q1 figures from half-year results.

Margins were lower than in both comparison periods. Q2 FY27 EBITDA margin was 14.09%, against 15.68% in Q2 FY26 and 15.30% in Q1 FY27, while PAT margin was 9.27%, against 9.48% and 9.57%, respectively. The Q2 increase therefore reflected a larger billing base and higher profit, but lower reported margins.

Which businesses and orders are supporting Sugs Lloyd's execution?

Sugs Lloyd said its Power Transmission and Distribution and Smart Grid vertical contributed 80% of H1 FY27 revenue, compared with 46% in FY26, while the solar business contributed 20%. It attributed the half-year revenue increase to faster execution of its Revamped Distribution Sector Scheme smart-grid project.

The order book stood at Rs 1,068 crore on 30 September 2026, comprising Rs 929 crore in Power Transmission and Distribution and Rs 139 crore in solar. Sugs Lloyd won seven orders in Q2 FY27 worth Rs 466.43 crore including tax, or Rs 395.28 crore excluding tax, making Q2 order inflow excluding tax 2.9 times Q2 revenue.

Management said the Q2 awards included a Revamped Distribution Sector Scheme contract from Punjab State Power Corporation for Faridkot and Gurdashpur Circle, expanding its distribution-reform work beyond Bihar. The wins also included three-year network operations and maintenance mandates from Tata Power's Odisha distribution companies, while Sugs Lloyd acquired the shareholding of Sugs Renewables Private Limited on 21 August 2026, making it a wholly owned subsidiary.

Sugs Lloyd operated across 11 states as of 30 September 2026 and disclosed Rs 1,207 crore under evaluation within a Rs 2,500 crore qualified bid pipeline. Management has guided to a 15% to 20% strike rate on qualified bids, which is an expectation rather than confirmed order conversion.

What changed in Sugs Lloyd's funding and cash flow?

Sugs Lloyd's total borrowings increased to Rs 163.07 crore on 30 September 2026 from Rs 68.94 crore on 31 March 2026. Net worth rose to Rs 157.22 crore from Rs 137.21 crore, while debt to equity increased to 1.04 times from 0.50 times as working-capital facilities funded the scale-up of the Patna project.

Trade receivables rose to Rs 150 crore from Rs 139 crore over the same period, and trade payables increased to Rs 75 crore from Rs 61 crore. Inventories were Rs 12 crore against Rs 11 crore, while standalone cash flow from operations was Rs (12.31) crore in H1 FY27, compared with Rs (37.39) crore for full-year FY26.

Capital work in progress was Rs 37.05 crore at 30 September 2026, compared with no reported balance at 31 March 2026. Sugs Lloyd said this primarily related to assets under development for a rooftop solar project under a CAPEX-plus-RESCO model.

What does Sugs Lloyd expect after H1 FY27?

Management has set revenue guidance of Rs 1,000 crore for FY 2027-28 and said battery storage and transmission opportunities being pursued are additional to that target. Sugs Lloyd cited approximately Rs 3.04 lakh crore of Revamped Distribution Sector Scheme commitments for smart metering and grid strengthening as part of its addressable market.

For the remainder of FY27, management said the business is weighted towards the March quarter and identified execution discipline, collections and qualified-pipeline conversion as priorities. In the Products business, supplies of compact fault passage indicators are expected to begin in Q3 FY27, while development of vacuum circuit breakers and ring main units is under way.

Conclusion

Sugs Lloyd's H1 FY27 performance was driven by a pronounced Q2 execution pickup, with revenue rising 73% to Rs 213.31 crore and PAT increasing 69% to Rs 20.01 crore. The Power Transmission and Distribution and Smart Grid vertical accounted for 80% of half-year revenue, while the Rs 1,068 crore order book provides the disclosed workload for future execution.

The next disclosed milestones are execution and collections during the March-weighted part of FY27, conversion of the Rs 1,207 crore under evaluation, and expected Q3 FY27 compact fault passage indicator supplies. Management's Rs 1,000 crore revenue target for FY 2027-28 remains dependent on these operational priorities and future order conversion.