Syrma SGS Technology Ltd — Q1 FY27 earnings call
Summary generated by AI from the official transcript Syrma SGS Technology Ltd filed with BSE on 04 Aug 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Syrma SGS reported consolidated revenue of Rs 1,604 crore for Q1 FY27, up 67% year-on-year, with EBITDA and PAT both more than doubling. Management attributed the growth to strong exports, up 61% in the quarter, and ODM sales nearly doubling, while flagging supply chain constraints from geopolitical issues in West Asia as a concern. The company also discussed a new joint venture with Japanese firm Kaga, progress on its PCB manufacturing project, and higher inventory and working capital levels adopted as a strategic buffer.
Numbers mentioned
Consolidated total revenue: Rs. 1,604 crores (Q1 FY27)
p. 5
“our consolidated total revenue for the quarter stood at Rs. 1,604 crores, registering a 67% year-on year growth”
Bijay Agrawal, page 5 of the filed PDF · View the filing
Operating EBITDA: Rs. 162 crores (Q1 FY27)
p. 5
“Our operating EBITDA increased by 69% year-on-year to Rs. 162 crores, while total EBITDA including other income grew by 72% to Rs. 177 crores for the quarter”
Bijay Agrawal, page 5 of the filed PDF · View the filing
PBT: Rs. 141 crores (Q1 FY27)
p. 5
“PBT increased approximately 110% reaching to Rs. 141 crores for the quarter”
Bijay Agrawal, page 5 of the filed PDF · View the filing
PAT: Rs. 106 crores (Q1 FY27)
p. 5
“PAT for the quarter is Rs. 106 crores with a 112% growth for the quarter”
Bijay Agrawal, page 5 of the filed PDF · View the filing
Export revenue: Rs. 387 crores (Q1 FY27)
p. 6
“Overall export number for the quarter is around Rs. 387 crores”
Bijay Agrawal, page 6 of the filed PDF · View the filing
ODM revenue: Rs. 270 crores (Q1 FY27)
p. 6
“the ODM number for the quarter is approximately 17% with Rs. 270 crores of ODM business for the quarter”
Bijay Agrawal, page 6 of the filed PDF · View the filing
Order book: Rs. 6,770 crores (as on June end)
p. 6
“we have approximately Rs. 6,770 crores of overall total order book visibility”
Bijay Agrawal, page 6 of the filed PDF · View the filing
Net working capital days: 71 days (Q1 FY27)
p. 7
“our net working capital days increased from 63 to 71 days, and mainly due to higher inventory days”
Bijay Agrawal, page 7 of the filed PDF · View the filing
Net cash position: Rs. 122 crores (as on June end)
p. 7
“we continue to maintain a net cash position of Rs. 122 crores, supported by a healthy treasury balance, cash and investment balance of Rs. 800 crores plus as on June end”
Bijay Agrawal, page 7 of the filed PDF · View the filing
Adjusted annualized ROCE: 20.1% (Q1 FY27)
p. 7
“Our adjusted annualized ROCE for the quarter is 20.1%, reflecting improving capital productivity”
Bijay Agrawal, page 7 of the filed PDF · View the filing
Total CAPEX: Rs. 90 crores (Q1 FY27)
p. 7
“overall CAPEX investment during the quarter is about Rs. 90 crores”
Bijay Agrawal, page 7 of the filed PDF · View the filing
Operating EBITDA margin: 10.1% (Q1 FY27)
p. 12
“this quarter, it is 10.1%. That is primarily because there is a higher consumer mixed into this business”
Bijay Agrawal, page 12 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Revenue growth — 35% plus · FY27
stated firmly by Bijay Agrawal
p. 11
“considering order book and the visibility here, that is how we are guiding that 35% plus kind of a revenue growth for the full year is what we are guiding”
Bijay Agrawal, page 11 of the filed PDF · View the filing
EBITDA margin — 10.5% to 11% · FY27
stated firmly by J.S. Gujral
p. 11
“On the margin front, I think what we have guided 10.5% to 11%, we maintain that we will be delivering that margin profile for the full year”
J.S. Gujral, page 11 of the filed PDF · View the filing
Revenue and EBITDA guidance vs actuals — FY27
stated conditionally by J.S. Gujral
p. 12
“we should exceed that guidance based on the 1st Quarter performance”
J.S. Gujral, page 12 of the filed PDF · View the filing
PCB project commercial production — April 2027 · April 2027
stated firmly by Bijay Agrawal
p. 7
“We expect this PCB project to start at least commercial production by April of 2027”
Bijay Agrawal, page 7 of the filed PDF · View the filing
Export revenue growth — 30% to 40% · FY27
stated conditionally by J.S. Gujral
p. 17
“I expect that this year, we should grow our export by around 30% to 40%”
J.S. Gujral, page 17 of the filed PDF · View the filing
Export revenue absolute — Rs 1500 crore to Rs. 1,600 crores · FY27
stated conditionally by J.S. Gujral
p. 17
“we should be able to grow the business to Rs. 1500 crore to Rs. 1,600 crores for the current year”
J.S. Gujral, page 17 of the filed PDF · View the filing
ODM share of revenue — a quarter (25%) · next several years
stated as an aspiration by J.S. Gujral
p. 18
“The long-term target is to take it up to a quarter”
J.S. Gujral, page 18 of the filed PDF · View the filing
ODM share of revenue — 17% to 18% to 19% · short term
stated as an aspiration by J.S. Gujral
p. 18
“Short term, 17% to 18% to 19% will be the target”
J.S. Gujral, page 18 of the filed PDF · View the filing
Company growth rate — 30% to 35% · FY27-28, FY28-29
stated conditionally by J.S. Gujral
p. 24
“we are on track to achieve 30% to 35% growth rate”
J.S. Gujral, page 24 of the filed PDF · View the filing
MedTech business growth — almost 50% · FY27
stated conditionally by Bijay Agrawal
p. 12
“this year we are expecting the business should be growing almost 50% because the base is lower here”
Bijay Agrawal, page 12 of the filed PDF · View the filing
MedTech share of total business — approximately 7%-8% · FY27
stated conditionally by Bijay Agrawal
p. 12
“that is how we have been guiding that there should be approximately 7%-8% of our total overall business for this year”
Bijay Agrawal, page 12 of the filed PDF · View the filing
Defense portfolio growth — 30%, 35%
stated as an aspiration by J.S. Gujral
p. 25
“We are very confident that going forward, this sector, defense portfolio, would continue to give 30%, 35%, growth rate”
J.S. Gujral, page 25 of the filed PDF · View the filing
CAPEX ex-PCB — Rs. 100 crore to Rs. 150 crore · FY27
stated firmly by Bijay Agrawal
p. 15
“ex of PCB, CAPEX is what we are seeing around Rs. 100 crore to Rs. 150 crore for the full year”
Bijay Agrawal, page 15 of the filed PDF · View the filing
PCB first phase investment — Rs. 400 crores
stated firmly by Bijay Agrawal
p. 10
“the first initial phase, we are incurring around Rs. 400 crores, of which is about Rs. 130 crores already funded so far”
Bijay Agrawal, page 10 of the filed PDF · View the filing
Kaga JV long-term revenue potential — Rs. 300 crore to Rs. 500 crore · three, four, five years
stated as an aspiration by Bijay Agrawal
p. 14
“over the three, four, five years, we can see somewhere around Rs. 300 crore to Rs. 500 crore kind of a business on long-term basis”
Bijay Agrawal, page 14 of the filed PDF · View the filing
New customer additions potential revenue — Rs. 1,000 crore plus · full ramp-up
stated as an aspiration by Bijay Agrawal
p. 17
“this new customer additions may have a potential to give me additionally Rs. 1,000 crore plus kind of a revenue on a full ramp-up basis”
Bijay Agrawal, page 17 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management said there was no one-time transaction and the strong performance came from higher-margin exports and ODM business.
Answered by J.S. Gujral
Asked by Aniruddha Joshi: Was there any one-time revenue booking in Q1 explaining the strong numbers?
p. 8
“I will answer the first question in an affirmative that there has been no one-time transaction which has been booked into the quarter”
J.S. Gujral, page 8 of the filed PDF · View the filing
Management explained that while absolute margins are unaffected, percentage margins can decline because no markup is earned on the increased cost.
Answered by J.S. Gujral
Asked by Aniruddha Joshi: Will pass-through of memory/chip price increases affect margins?
p. 9
“while the absolute figures will remain intact, broadly, the percentage margin would undergo a change because you don’t get a markup, you don’t get a value add on the increased cost of a chip or a memory”
J.S. Gujral, page 9 of the filed PDF · View the filing
Management said the project is well funded through internal accruals, government CAPEX incentives, and existing treasury/debt.
Answered by Bijay Agrawal
Asked by Mayank Pandey: Will PCB project Phase 1/2 need external fund raising?
p. 10
“we will be funding through internal accruals, CAPEX subsidies from the government, and from the debt, we already have a Rs. 800 crore plus kind of a treasury balance, which would be sufficient for all these phases of this particular project”
Bijay Agrawal, page 10 of the filed PDF · View the filing
Management indicated lower capacity utilization and margins initially, ramping up over time.
Answered by Bijay Agrawal
Asked by Bhavik Mehta: What asset turns and EBITDA margins are expected in year one of the PCB plant?
p. 11
“the capacity utilization can be lower around 40% to 50%. So, it can be lower in year one and thereafter, it can gradually move towards maybe 80% plus kind of a capacity utilization”
Bijay Agrawal, page 11 of the filed PDF · View the filing
Management confirmed order intake is rising quarter on quarter and guided to 35%+ full year revenue growth.
Answered by J.S. Gujral
Asked by Keyur Pandya: Should current revenue run rate continue or accelerate given order book growth?
p. 11
“it obviously means that quarterly intake of orders is increasing”
J.S. Gujral, page 11 of the filed PDF · View the filing
Management said the segment has about Rs 500 crore of order book and is expected to grow significantly this year.
Answered by Bijay Agrawal
Asked by Sumant Kumar: What is the outlook for the healthcare/MedTech segment order book?
p. 12
“the current order book is giving almost Rs. 500 crores of order from this healthcare segment, which includes healthcare RFID solutions also in the MedTech business”
Bijay Agrawal, page 12 of the filed PDF · View the filing
Management said they are interested but require a credible partner before committing.
Answered by J.S. Gujral
Asked by Sumant Kumar: What is the company's approach to PLI 2.0/ISM 2.0 semiconductor incentives?
p. 13
“one of the key qualifying criteria is to have a credible partner. And that is a stand we have been maintaining right from ISM 1.0”
J.S. Gujral, page 13 of the filed PDF · View the filing
Management gave the execution timeline and a long-term revenue estimate for the Kaga JV.
Answered by Bijay Agrawal
Asked by Bhavya Gandhi: What is the average order execution period and Kaga JV opportunity size?
p. 13
“If we calculate the overall average period, it comes around 10-10.5 months there on the order book side”
Bijay Agrawal, page 13 of the filed PDF · View the filing
Management clarified it is a sequential decline but a year-on-year increase, driven by rear-ended businesses like maritime and defense.
Answered by J.S. Gujral
Asked by Vishal Goel: Is the ODM number a decline given it was 17% versus prior quarter?
p. 14
“No, it is not a decline on the ODM number. My Q1 FY '26 ODM number was about 125. It has gone up to 269”
J.S. Gujral, page 14 of the filed PDF · View the filing
Management gave a range for full-year CAPEX and current capacity utilization levels.
Answered by Bijay Agrawal
Asked by Achal Lohade: What CAPEX is planned excluding the PCB project?
p. 15
“Capacity utilizations, current capacity utilizations are in the range of 65% to 70% as of now”
Bijay Agrawal, page 15 of the filed PDF · View the filing
Management said new customers will not have significant near-term revenue impact, with contribution building over coming years.
Answered by J.S. Gujral
Asked by Neel Mehta: When will the 18 newly onboarded customers contribute to revenue?
p. 16
“whatever we are onboarding the new customers in this quarter, in this year, it will not have a significant impact on our revenue”
J.S. Gujral, page 16 of the filed PDF · View the filing
Management outlined export growth targets and a long-term ODM share ambition.
Answered by J.S. Gujral
Asked by Praveen Sahay: How are ODM and export contributions expected to trend?
p. 18
“My ODM has to grow at 50%-60% level to be able to reach that 25% target in the next several years”
J.S. Gujral, page 18 of the filed PDF · View the filing
Management said JVs are entered only to fill gaps in technology, regulatory approval, or market access.
Answered by J.S. Gujral
Asked by Rahul Maheshwary: What criteria are used for entering JVs or partnerships?
p. 20
“a joint venture will be entered if the partner brings in something which I don’t have, which could be technology, which could be access to a particular ecosystem”
J.S. Gujral, page 20 of the filed PDF · View the filing
Management said on a micro/demand level there is no risk, with the only imponderable being the geopolitical situation in West Asia.
Answered by J.S. Gujral
Asked by Tanay Shah: Is there risk to FY27 guidance from the bare PCB shortage in the industry?
p. 22
“On a micro level basis, on my demand side and my execution strategy, I don’t see any risk”
J.S. Gujral, page 22 of the filed PDF · View the filing
Management explained the sequential decline was due to seasonal defense/maritime business, with other industrial areas growing.
Answered by Bijay Agrawal
Asked by Tanay Shah: How is the core industrial portfolio expected to grow excluding defense?
p. 23
“in totality, industrial business is growing at a very decent pace”
Bijay Agrawal, page 23 of the filed PDF · View the filing
Management reiterated 30-35% growth targets for the next few years, with global clients ramping contribution in later years.
Answered by J.S. Gujral
Asked by Santhosh Seshadri: How are different business segments expected to grow and could growth moderate on a high base?
p. 24
“for FY27-28, FY28-29, and maybe thereafter, we are on track to achieve 30% to 35% growth rate”
J.S. Gujral, page 24 of the filed PDF · View the filing
Management said it is early days, six months since the Elcome acquisition, with growth plans over three to five years.
Answered by J.S. Gujral
Asked by Archit Shah: Where does the defense segment stand and what is its future ramp-up?
p. 25
“it is early days. It’s just been six months since we have acquired that company majority stake”
J.S. Gujral, page 25 of the filed PDF · View the filing
Risks flagged
Supply chain constraints from geopolitical situation in the Middle East affecting component and specialty chemical availability
p. 4
“What is worrying not from a micro-level Syrma SGS perspective, but from an industrial level, is the supply chain constraint”
J.S. Gujral, page 4 of the filed PDF · View the filing
Rising inventory levels across the industry due to supply chain uncertainty
p. 5
“I personally believe across the industry, we will see a tad increase in the inventory levels in terms of number of days till the situation normalizes”
J.S. Gujral, page 5 of the filed PDF · View the filing
Potential further escalation of the geopolitical situation in West Asia damaging supply chain capacities
p. 22
“The only imponderable is the geopolitical situation in West Asia, and which is beyond my control or beyond control of anyone”
J.S. Gujral, page 22 of the filed PDF · View the filing
Sequential moderation in industrial segment due to seasonal maritime and smart metering business
p. 6
“the industrial segment specifically witnessed some moderation on a sequential basis, primarily due to a rear ended schedules of our maritime business”
Bijay Agrawal, page 6 of the filed PDF · View the filing
Uncertainty over semiconductor supply chain due to AI-driven demand and potential slowdown
p. 16
“all the demand of semiconductors is being consumed by the AI center. Of late, there has been a sort of a slowdown, sort of a general perception that the AI may not be that good at that”
J.S. Gujral, page 16 of the filed PDF · View the filing
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