Syrma SGS Technology Q2 FY27 results: net profit up 87.2% to ₹124.20 crore, revenue up 73.6%

How did Syrma SGS Technology perform in Q2 FY27?

Syrma SGS Technology reported consolidated revenue of ₹1,990 crore in Q2 FY27, up ₹843.79 crore or 73.6% from Q2 FY26. EBITDA rose ₹78.04 crore or 67.7% to ₹193.28 crore, but its margin was 9.7%, down 0.4 percentage points. Net profit increased ₹57.86 crore or 87.2% to ₹124.20 crore, and basic EPS was ₹6.08.

Against Q1 FY27, revenue rose ₹401.06 crore or 25.2% to ₹1,990 crore and EBITDA increased ₹31.70 crore or 19.6% to ₹193.28 crore. EBITDA margin fell 0.5 percentage points to 9.7%. Net profit rose ₹18.51 crore or 17.5% to ₹124.20 crore, while basic EPS increased ₹0.89 or 17.1% to ₹6.08.

The Board approved both standalone and consolidated unaudited results for the quarter and half year ended 30 September 2026, with a limited review. On the standalone basis, revenue was ₹1,802.96 crore and net profit was ₹108.43 crore, compared with consolidated revenue of ₹1,990 crore and net profit of ₹124.20 crore.

What changed in Syrma SGS Technology's costs and profit?

Total expenses rose ₹769.21 crore or 72.2% from Q2 FY26 to ₹1,834 crore. Cost of materials was ₹1,407 crore, up ₹534.04 crore or 61.2%, while employee cost increased ₹30.10 crore or 58.5% to ₹81.57 crore. Other expenses rose ₹38.37 crore or 36.2% to ₹144.51 crore, finance costs increased ₹2.63 crore or 20.8%, and depreciation increased ₹0.83 crore or 3.8%.

Other income rose ₹1.13 crore or 12.9% from Q2 FY26 to ₹9.87 crore. Tax expense increased ₹17.85 crore or 77.1% to ₹41.01 crore. There was no exceptional item in either Q2 FY27 or Q2 FY26. Management said component shortages and cost-push pressure diluted margins, while orders front-loaded in the first half were expected to slow second-half growth.

Against Q1 FY27, total expenses rose ₹371.48 crore or 25.4% to ₹1,834 crore. Cost of materials increased ₹6.12 crore or 0.4%, employee cost rose ₹6.28 crore or 8.3%, and other expenses fell ₹7.99 crore or 5.2%. Other income decreased ₹5.19 crore or 34.5%, while tax rose ₹5.88 crore or 16.7%. There was no exceptional item.

How did the first half of FY27 go?

In the first half of FY27, Syrma SGS reported consolidated revenue of ₹3,578.3 crore, up ₹1,488.43 crore or 71.2% from H1 FY26. Total income rose 70.9% to ₹3,603.23 crore, profit before tax increased 95.4% to ₹306.03 crore, and net profit rose 97.7% to ₹229.89 crore. Basic EPS increased ₹5.04 or 80.9% to ₹11.27.

The H1 FY27 EBITDA margin excluding other income was 9.9%, compared with 10.1% in H1 FY26. The investor presentation reported operating cash flow of ₹119.72 crore for H1 FY27 against an outflow of ₹114.87 crore in H1 FY26.

What do the balance sheet and cash flow show?

At 30 September 2026, total assets were ₹7,074.05 crore, up from ₹5,770.01 crore at 31 March 2026, while total equity rose to ₹3,292.97 crore from ₹3,065.47 crore. Borrowings increased to ₹745.77 crore from ₹353.12 crore, and cash declined to ₹145.01 crore from ₹192.28 crore. Inventories were ₹1,578.88 crore, trade receivables ₹2,123.22 crore, and trade payables ₹2,503.36 crore.

For H1 FY27, operating cash flow was ₹119.72 crore, compared with an outflow of ₹114.87 crore in H1 FY26. Investing cash flow was an outflow of ₹535.0 crore, compared with ₹265.66 crore a year earlier, while financing cash flow was ₹365.98 crore, compared with ₹605.13 crore. Capital expenditure was ₹320.01 crore, against ₹71.12 crore in H1 FY26.

How has Syrma SGS Technology done over the last 8 quarters?

Revenue increased in each of the last five quarters on a year-on-year basis, while profit rose year on year in each of the last eight quarters. Revenue reached its latest peak of ₹1,989.68 crore in Q2 FY27, compared with a low of ₹869.2 crore in Q3 FY25.

Profit after tax reached ₹124.20 crore in Q2 FY27, above ₹119.23 crore in Q4 FY26 but below the Q3 FY26 level of ₹110.31 crore only when read as a broader sequence. The EBITDA margin peaked at 12.6% in Q3 FY26, bottomed at 9.1% in Q3 FY25, and was 9.7% in Q2 FY27 after 10.2% in Q1 FY27.

What else did the company announce?

On 30 October 2026, the Board approved the unaudited standalone and consolidated results for the quarter and half year ended 30 September 2026 and recorded the limited review report. The same-day investor presentation reported Q2 FY27 revenue growth of 73% and profit after tax growth of 87%.

The company also filed that its Nomination and Remuneration Committee approved a grant of 442,486 options under the Syrma SGS Employee Stock Option Plan 2023 through the Syrma SGS Employee Welfare Trust. Each option carries one equity share of Rs. 10 each upon exercise, and the options were granted at market price as defined under the applicable regulations and plan. No dividend or fund-raising matter was stated in the same-day filings.

How did Syrma SGS Technology shares react?

The filing appeared after market hours. From the price when the filing appeared, the stock fell 3.4% after 5 minutes, 5.6% after 15 minutes and 3.3% after 30 minutes. It closed 6.4% below the previous close on the reaction day, and by the next day's close it was 8.2% below that pre-results close. No five-day move was provided.

The Industrial Products sector's other stocks recorded a median gain of 1.3% on the reaction day and 1.6% by the next day's close. Syrma SGS therefore underperformed the sector median by 7.7 percentage points on the reaction day and 9.8 percentage points by the next day's close. Earlier reaction-day moves were 3.3% on 29 July 2026, 2.9% on 4 May 2026, 4.4% on 29 January 2026, 3.3% on 10 November 2025, 1.8% lower on 23 July 2025, 7.1% lower on 13 May 2025, 20.5% higher on 28 January 2025 and 13.4% higher on 25 October 2024.

How did other Industrial Products companies do?

Thirty-six Industrial Products companies that had filed for the quarter were compared with Syrma SGS. Their median revenue growth was 31.6%, while 29 peers grew more slowly than Syrma SGS and seven grew faster. Of the 30 peers for which profit was compared, 22 reported higher profit.