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Cyient DLM reported a strong Q1FY27 with revenue growing 34.3% YoY

ICICIdirect Research 22 Jul 2026 DISCLAIMER

News: Cyient DLM reported a strong Q1FY27 with revenue growing 34.3% YoY (+1.3% QoQ) to ₹373.8 crore, driven by aerospace (~40% YoY) and industrials (~90% YoY). EBITDA rose 56.2% YoY to ₹39.2 crore with a 10.5% margin (+149 bps YoY), and PAT surged ~119% YoY to ₹16.3 crore. The company achieved a record order book of ₹2,598.9 crore (1.5x book-to-bill) with ₹551.9 crore inflows, added two logos, completed NADCAP cable harness certification, and expects a Honeywell Aerospace ramp-up over 18 months

View: Cyient DLM has moved beyond its challenging phase with large defense program execution normalizing and growth visibility significantly improving. Entry into high-growth verticals like AI infrastructure, data centers, semiconductor capital equipment, and robotics will drive the next expansion phase. Furthermore, the built to specific (B2S) business is scaling to contribute double-digit revenues over 12–18 months, which is complex offering and earns 250-300 bps better operating margins. Management aspires to improve margin from 10%+ levels to ~11-13% in FY27E-FY29E and further to ~13-18%+ beyond FY30 as B2S offerings expands. Overall, the company is set for multi-year growth while operating leverage and high-end offerings shall support margin improvement

Impact: Positive

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