Syrma SGS Technology delivered a robust first‑quarter performance for FY27, with EBITDA climbing about 87% year‑on‑year. The earnings‑before‑interest‑taxes‑depreciation‑amortisation margin widened by 100 basis points, thanks to better operating leverage and a higher share of original design manufacturing (ODM). Revenue also grew 68%, reflecting strong demand across the company’s product lines.
Auto, which accounts for 25% of sales, was the biggest contributor, posting a 78% rise in revenue. Consumer products, representing 34% of sales, increased by 68%. The IT, railways, healthcare and industrial segments—which together make up 42% of sales—showed varied growth, with IT up three times, railways twice, and industrial up 31%.
Exports, which form 24% of total sales, jumped 62% year‑on‑year, underscoring the company’s expanding global footprint. This surge in overseas sales helped lift overall profitability and supported the margin expansion seen in the quarter.
Looking ahead, the company is projected to achieve a revenue CAGR of 38%, EBITDA CAGR of 41% and adjusted PAT CAGR of 46% through FY28. These growth rates are driven by continued revenue expansion and margin improvements across all business units.
Analysts maintain a BUY recommendation on the stock, setting a target price of ₹1,770. The valuation is based on a 50‑times multiple of the FY28 earnings per share, reflecting confidence in the company’s growth trajectory.