Syrma SGS Technology (SYRMA) Q1 25/26 earnings summary

Executive summary

• Q1 FY26 consolidated revenue reached ₹9,600 million, a 1.4% sequential increase but an 18.3% year-over-year decline, with PAT rising 145% year-over-year to ₹499 million and a PAT margin of 5.2%.

• Achieved strong Q1 FY26 performance with significant improvements in EBITDA margin and gross material margin year-over-year.

• Strategic recalibration initiated in Q2 last year is yielding results, with a solid growth platform established.

• Export revenue contributed 25% of total revenue from operations.

• Unaudited standalone and consolidated financial results for the quarter ended 30 June 2025 were approved and reviewed by the Board and auditors.

Financial highlights

• Operating EBITDA was ₹957 million, up 75% year-over-year, with a margin of 10.0%.

• Gross profit margin improved to 25.4% from 15.5% year-over-year.

• Consolidated revenue from operations for Q1 FY26 was ₹9,439.80 million, compared to ₹11,599.73 million in Q1 FY25.

• Consolidated profit after tax for Q1 FY26 was ₹499.20 million, compared to ₹203.46 million in Q1 FY25.

• Net working capital at 69 days, with ongoing focus to reduce below 65 days.

Outlook and guidance

• Full-year revenue growth expected at 30%-35% over previous year.

• Operating EBITDA margin guidance raised to 8.5%-9% for FY26, up from earlier 8%.

• Consumer segment to be capped at 30% of total revenue, with focus on high-margin verticals.

• Export revenue expected to cross ₹1,000 crore, with primary growth from Western Europe and North America.

• A final dividend of 15% (₹1.5 per equity share) for FY25 was recommended, subject to shareholder approval.