Syrma: acquired units add Rs 275 crore to H1 consolidated revenue

In the first half (H1), Syrma added Rs 275 crore of consolidated revenue from Elcome and Syrma Johari, while management expects the Elemaster joint venture to generate Rs 150 crore to Rs 200 crore in financial year 2028 (FY28) after required certifications. Elcome supplied Rs 135 crore and Syrma Johari supplied Rs 140 crore.

How much H1 revenue did Syrma’s acquired businesses contribute?

Syrma’s two acquired businesses contributed a combined Rs 275 crore of consolidated H1 revenue: Elcome supplied about Rs 135 crore and Syrma Johari supplied about Rs 140 crore. Syrma Johari was ahead of Elcome by Rs 5 crore during the period discussed on the call.

Management did not disclose separate profits, margins or prior-year H1 revenue for either business. It did disclose minority profit of about Rs 14 crore for the six-month period, mainly related to Elcome and Syrma Johari, linking the two units to both consolidated revenue and minority-interest accounting.

The separate full-year expectations imply that Elcome and Syrma Johari together would need to add about Rs 325 crore to Rs 375 crore after H1. This is a calculation from management’s individual targets, rather than a combined revenue target issued by Syrma.

What is Syrma targeting for Elcome after H1?

Syrma expects Elcome to record Rs 300 crore to Rs 350 crore of revenue for the year, compared with its Rs 135 crore H1 contribution. Management described Elcome as currently delivering growth of 20% to 25% and said it is pursuing new customer additions and market expansion to seek a steeper growth rate.

Elcome would need to generate Rs 165 crore to Rs 215 crore after H1 to reach management’s stated range. Management did not disclose the timing of prospective customer additions, the markets being evaluated, or the revenue expected from those initiatives.

Elcome’s stated growth of 20% to 25% differs from management’s 45% to 50% growth expectation for Syrma Johari. The call did not provide a comparable prior-year revenue base for Elcome, so it supports a growth-rate comparison but not a calculation of each unit’s absolute revenue increase.

How is Syrma Johari expanding its medical capability?

Syrma Johari is targeting about Rs 300 crore of full-year revenue after generating Rs 140 crore in H1, versus Rs 210 crore to Rs 220 crore in the previous year. Management expects growth of 45% to 50%, citing newly onboarded clients and a high-grade medical plastics facility commissioned in Jodhpur.

The Jodhpur facility adds medical-grade plastics production through moulding, extrusion and blow processes. Management said it will serve internal requirements and third-party customers, creating a new capability for Syrma Johari in medical-grade plastics.

Management expects the facility to contribute revenue and margins in coming quarters but did not disclose its investment, capacity or expected sales contribution. The disclosed full-year target of about Rs 300 crore is Rs 80 crore to Rs 90 crore above the Rs 210 crore to Rs 220 crore reported in the previous year.

When will Elemaster begin generating meaningful revenue for Syrma?

Elemaster is not expected to generate sizable revenue in the current year, but management expects Rs 150 crore to Rs 200 crore in FY28 once approvals and certifications are in place. The factory was commissioned around September 2 or September 3, 2026, about 60 days before the call.

Management said the new factory must complete regulatory approvals and obtain certifications including International Organization for Standardization (ISO), International Railway Industry Standard (IRIS) and Research Designs and Standards Organisation (RDSO) certification. It expects those activities to be completed in the current year before the facility advances into its FY28 revenue phase.

The timing places Elemaster at an earlier stage than Elcome and Syrma Johari, which already contributed Rs 275 crore together in H1. Management also indicated initial capital expenditure of around Rs 40 crore to Rs 50 crore for Elemaster, separate from the printed circuit board investment programme.

What could determine whether Syrma’s acquired units meet their targets?

For Elemaster, the main determinant is completion of approvals and certifications during the current year, because management tied its Rs 150 crore to Rs 200 crore FY28 revenue expectation to that milestone. The transcript does not disclose a customer-level order book or capacity-utilisation target for the joint venture.

For Elcome, management identified new customer additions and market expansion as the mechanisms intended to lift growth beyond the current 20% to 25% range. For Syrma Johari, the relevant mechanisms are conversion of new clients and ramp-up of the Jodhpur medical plastics facility for internal and third-party demand.

The post-H1 revenue requirement also differs between the businesses. Elcome needs Rs 165 crore to Rs 215 crore to reach its Rs 300 crore to Rs 350 crore range, while Syrma Johari needs about Rs 160 crore to reach Rs 300 crore after its Rs 140 crore H1 contribution.

Conclusion

Syrma’s H1 figures show that Elcome and Syrma Johari have already become meaningful consolidated revenue contributors, adding Rs 275 crore together. Elcome’s Rs 300 crore to Rs 350 crore expectation and Syrma Johari’s target of about Rs 300 crore indicate further second-half execution is required, while the Jodhpur facility adds a medical-plastics production capability.

The next disclosed milestone is Elemaster’s completion of required certifications in the current year, which underpins management’s Rs 150 crore to Rs 200 crore FY28 revenue expectation. Progress toward Elcome’s Rs 300 crore to Rs 350 crore range, Syrma Johari’s roughly Rs 300 crore target and initial revenue from the Jodhpur facility are the other stated items to watch.