Syrma SGS shares rally 6% after Q2 results; forays into defence business

Syrma SGS Technology shares rose 6 per cent after it reported positive September quarter earnings and signed an agreement to acquire a 60 per cent majority stake in Elcome Integrated Systems

Shares of Syrma SGS Technology Ltd. rose nearly 6 per cent on Tuesday after it reported positive September quarter earnings and signed an agreement to acquire a 60 per cent majority stake in Elcome Integrated Systems. 

 

The industrial products company's stock rose as much as 5.98 per cent during the day to ₹856.4 per share, the biggest intraday rise since October 28 this year. The Syrma SGS Technology stock pared gains to trade 4.9 per cent higher at ₹847.8 apiece, compared to a 0.44 per cent decline in Nifty 50 as of 10:48 AM. 

 

Shares of the company rose for the fourth straight session and currently trade at 12 times the average 30-day trading volume, according to Bloomberg. The counter has risen 44.2 per cent this year, compared to a 7.7 per cent advance in the benchmark Nifty 50. Syrma SGS has a total market capitalisation of ₹16,396.98 crore. 

Syrma SGS Q2 results 

Syrma SGS Technology reported a 76.77 per cent rise in net profit to ₹64.06 crore for the quarter ended September 2025, compared with ₹36.24 crore in the corresponding quarter of the previous year. Revenue from operations increased 37.60 per cent to ₹1,145.89 crore, up from ₹832.74 crore in the same period last year.  ALSO READ | Swan Defence hits record high on LoI win for $220 million shipbuilding deal

Syrma SGS to acquire 60% stake in Elcome Integrated Systems

The electronics system design and manufacturing (ESDM) company signed a definitive agreement to acquire a 60 per cent majority stake in Elcome Integrated Systems Private Ltd. Elcome is a defence and maritime electronics company specialising in advanced electronic systems, integrated command solutions, and indigenous mission-critical technologies.

 

The acquisition marks a strategic step for Syrma SGS as it strengthens its presence in the defence electronics space, a sector of growing national importance, the company said in its statement. 

 

In September, Syrma SGS signed a joint venture agreement with Italy-based Elemaster S.p.A Tecnologie Elettroniche, a global electronics design and manufacturing leader. The joint venture, to be operated through Syrma SGS Design and Manufacturing Pvt. Ltd. (to be renamed Syrma SGS Elemaster Pvt. Ltd.), will create a dedicated India-focused platform to serve high-reliability customers in the railway, industrial and medical electronics sectors.

 

Syrma SGS manufactures various electronic sub-assemblies, assemblies, and box builds, disk drives, memory modules, power supplies/adapters, fibre optic assemblies, magnetic induction coils and RFID products, and other electronic products.