/** blogpostTitle: Suyog Telematics Q1 FY27: Vodafone Idea rollout begins, margins steady, and a new battery bet blogpostSlug: suyog-q1fy27 blogpostCoverImageDescription: An ultra-realistic corporate financial scene showing a clean desk with a laptop displaying a dashboard of telecom infrastructure metrics: a map of India with highlighted circles, counters reading 6103 towers and 7468 tenancies, a small panel reading 4054 small cell tenancies, and a line chart titled revenue from operations rising slightly across three quarters. Next to it, a secondary chart shows EBITDA margin around 59 percent. In the background, a subtle silhouette of telecom towers and small cell poles connected by fiber lines, with a separate small inset chart showing lithium battery price rising and a contrasting flat line for zinc bromide battery cost. No logos or brand names, no text labels inside the image. blogpostShortTitle: Suyog Q1 FY27: Vi rollout starts */

Suyog Telematics Q1 FY27: Vodafone Idea rollout begins, margins steady, and a new battery bet

Suyog Telematics Limited entered FY27 with a quarter that was more about operational momentum than immediate financial acceleration. For Q1 FY27, ended June 30, 2026, the company reported consolidated revenue of INR 710 million, EBITDA of INR 421 million, and net profit of INR 145 million. Revenue grew 6.1 percent year on year, while profit declined 16.3 percent year on year.

The quarter’s narrative is clear in management commentary: Vodafone Idea orders started flowing only in mid-June, leaving limited time for the rollout to translate into meaningful revenue in Q1. The company expects the ramp to show up more visibly in later quarters, with full-year benefit expected in FY28.

A key accounting note also matters for comparability. Effective April 1, 2026, the company voluntarily changed its accounting policy for electricity and diesel reimbursements from net presentation to gross presentation. Reimbursements are now included in revenue from operations, and the corresponding costs are included under cost of materials consumed. Management stated this is a pure reclassification with no impact on profit before tax, net profit, net worth, EPS, or absolute EBITDA. However, it does mechanically lower the EBITDA margin on a higher revenue base.

Operational scale and where growth is coming from

Suyog operates as a passive telecom infrastructure provider, building and operating towers and related assets and leasing them to telecom operators under long-term Master Service Agreements (MSAs). As of June 30, 2026, the company reported 6,103 total towers and 7,468 total tenancies, spanning 26 States and Union Territories. The portfolio includes 4,054 small cell tenancies, 1,017 government site tenancies, and 6,709 km of fiber network.

The most tangible growth trigger in Q1 came from Vodafone Idea. The company highlighted that it received around 636 site orders around June 17, 2026 and executed 95 towers and 150 tenancies by June 30, 2026, within 13 to 15 days. Management also said it is working on 700 plus additional sites from Vodafone Idea.

Operator mix remains concentrated. The investor presentation shows Q1 FY27 operator revenue split of Airtel 48.1 percent, Vodafone Idea 27.0 percent, Jio 22.6 percent, and BSNL 2.3 percent.

Financial performance: steady revenue, margin normalisation, and higher costs

On the consolidated financial statement for Q1 FY27, revenue from operations was INR 709.5 million, up from INR 668.5 million in Q1 FY26. Total expenditure rose to INR 288.6 million from INR 257.1 million in Q1 FY26. EBITDA increased modestly to INR 420.9 million from INR 411.3 million, while EBITDA margin was reported at 59.3 percent.

Below the operating line, depreciation increased to INR 173.0 million from INR 151.4 million year on year, and interest rose to INR 74.9 million from INR 60.9 million. Profit before tax was INR 195.1 million, down from INR 217.4 million, and net profit was INR 145.0 million, down from INR 173.2 million.

The company also presented revenue per tower per month trends. Consolidated revenue per tower per month has hovered around INR 31,000 across multiple quarters. Management clarified on the call that revenue per tower is presented excluding electricity reimbursements, to avoid a misleading uplift due to the accounting classification change.

Financial summary (Consolidated)

Strategy and execution: Vi ramp, cautious BSNL stance, and the zinc bromide push

Management’s near-term focus is Vodafone Idea and BSNL, but the tone differs between the two.

For Vodafone Idea, management talked about the operator’s network expansion plans and reiterated that Suyog is receiving strong order flow. The company stated it is targeting 3,000 additional tenancies from Vodafone Idea in FY27. On the call, management also said this number is conservative and tied to Vodafone Idea’s funding visibility, and it expects the full-year revenue uplift from Vi sites to be visible in FY28.

For BSNL, the opportunity is large but execution is uncertain. Management referenced BSNL’s proposed capex plans and acknowledged that rollouts can be slow with billing issues. A specific operational point discussed was that BSNL billing for 186 sites remains pending, with expectations that billing could start once equipment issues are resolved.

A separate strategic lever is energy and power management. The company highlighted trials and commercialisation plans for Zinc Bromide batteries in association with GGB Battery India Pvt Ltd. The investor presentation states that the trial is successfully completed, technology validation is done, and commercial deliveries are expected from September 2026. On the concall, management linked this push to rising lithium battery prices and the risks of imported battery supply chains.

In parallel, the company described ongoing R&D initiatives such as wind turbine trials for electricity bill reduction, FTTH vertical wiring solutions, and exploration of low-orbit satellite technology and ground receiver systems.

Takeaways

Q1 FY27 does not yet reflect the full impact of the Vodafone Idea rollout because orders started only in mid-June. What it does show is execution speed and readiness, with 95 towers and 150 tenancies completed in a short window. Financially, revenue growth was modest and profits declined year on year, with higher depreciation and interest contributing to the pressure.

The next few quarters will be defined by two measurable items management discussed: how much of the targeted 3,000 Vodafone Idea tenancies get executed in FY27, and whether BSNL billing and rollout constraints ease. Alongside that, the company’s Zinc Bromide battery commercialisation timeline starting September 2026 is positioned as a practical step to manage capex volatility and improve site resilience.