Syrma SGS Q1 FY27: Growth stays strong as profits scale

For Q1 FY27, consolidated total revenue was INR 1,604 crore (INR 16,037 million), EBITDA was INR 177 crore (INR 1,766 million), and PAT was INR 106 crore (INR 1,057 million).

In Q1 FY27 revenue from operations by industry was: Consumer INR 533 crore (34% mix), Auto INR 395 crore (25%), Industrials INR 377 crore (24%), IT and Railways INR 150 crore (9%), and Healthcare INR 135 crore (8%).

Exports were 24% of operating revenue in Q1 FY27 (about INR 387 crore as stated on the call). Management stated export geography mix by share of exports was about 22% US, 40% Europe, and the balance other countries.

Management stated the PCB project building was about 65% to 70% complete, equipment receipt is expected from October 2026, power-on is planned in the January to March 2027 quarter, and commercial production is expected by April 2027.

Management reiterated FY27 revenue growth guidance of 35% plus and operating EBITDA margin guidance of 10.5% to 11%, stating it expects to exceed the guidance based on Q1 performance, subject to supply-side constraints.

Management attributed higher net working capital days (71 vs 63) primarily to higher inventory held as a strategic buffer due to supply-chain constraints and to support faster ramp-ups, which also increased short-term borrowings.

Syrma SGS announced a JV with Kaga Electronics where Syrma holds 60%. Management stated initial combined investment is about INR 24 to 25 crore and indicated the opportunity could be about INR 300 crore to INR 500 crore over 3 to 5 years.