Syrma SGS rises after Q2 PAT jumps 77% YoY to Rs 64 cr

Syrma SGS Technology rose 3.20% to Rs 834.45 after the company reported strong financial performance for the September quarter (Q2 FY26), driven by broad-based demand recovery and operational efficiency across its key business verticals.

On a consolidated basis, the companys net profit soared 76.8% year-on-year to Rs 64.06 crore in Q2 FY26, as against Rs 36.24 crore recorded in the corresponding quarter last year. Revenue from operations jumped 37.6% YoY to Rs 1,145.89 crore during the quarter. Profit before tax was Rs 89.50 crore, up 76.6% compared to Rs 50.68 crore reported in the same quarter last year.

EBITDA rose 53.1% to Rs 124 crore in Q2 FY26 compared with Rs 81 crore in the same period last year, while EBITDA margin improved to 10.7% from 9.6% a year ago, reflecting improved product mix and operating leverage.

Total expenses increased 34.47% YoY to Rs 1,065.13 crore in Q2 FY26. The cost of materials consumed rose 34.49% to Rs 872.95 crore, while employee benefits expense grew 11.67% to Rs 51.47 crore during the quarter under review.

Exports contributed 23% to the companys total revenue from operations in Q2 FY26, underscoring its growing global presence. As of 30 September 2025, the companys cash and cash equivalents stood at Rs 758.4 crore, indicating a strong liquidity position.

Meanwhile, the company is acquiring Elcome Integrated Systems and Navicom Technology International to strengthen its presence in the defence and maritime sectors. It will acquire 60% stake in Elcome for about Rs 235 crore in the first tranche, with further payouts linked to performance milestones. Elcome will also acquire 100% stake in Navicom.

Syrma SGS Technology is a technology-focused engineering and design company specializing in precision manufacturing for diverse end-use industries. It is engaged in the business of manufacturing various electronic sub-assemblies, assemblies and box builds, disk drives, memory modules, power supplies/adapters, fiber optic assemblies, magnetic induction coils and RFID products, and other electronic products.

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