Cyient LimitedQ2 FY27 Results & Financial Update
Cyient Limited: Q2 FY27 consolidated results and company financials – revenue ₹1,664.00 Cr, PAT ₹153.00 Cr. Explore reported YoY/QoQ movements, margins, business drivers and management commentary. This page does not provide a rating, target price or investment recommendation.
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Quarter overview
Quarterly earnings analysis
Cyient posted consolidated revenue from contracts with customers of INR 22,350 million for Q2 FY27, compared to INR 20,757 million in Q1 FY27 and INR 17,810 million in Q2 FY25, reflecting solid sequential and year-on-year top-line expansion.
Net profit (PAT) for the consolidated group stood at INR 1,325 million for the quarter, compared to INR 1,087 million in the previous quarter and INR 1,429 million in the corresponding quarter of the previous year.
For the core Cyient DET segment, revenue reached INR 1,664 crores, marking an 8.1% quarter-on-quarter and 15.7% year-on-year increase on a reported basis, while organic constant currency revenue grew by 1.6% sequentially.
Cyient DET segment EBIT expanded to INR 237 crores with an EBIT margin of 14.2%, representing a 107 basis points improvement quarter-on-quarter and reaching its highest level in ten quarters, supported by disciplined execution and operating leverage.
Free cash flow (FCF) for the DET segment reached INR 214 crores with an exceptional FCF-to-normalised PAT conversion rate of 139.2%, underpinning robust cash generation during the quarter.
The company's board declared an interim dividend of INR 12 per equity share (240% on a face value of INR 5) for the quarter ended September 30, 2026, reflecting strong cash flows and disciplined capital allocation.
Strategic acquisitions during the period, including Kinetic Technologies and TAO Digital Solutions Inc., expanded the company's footprint into advanced semiconductor power products and enterprise AI data engineering capabilities, though integration and product R&D investments exerted near-term margin pressure on the broader group.
01 · Business model
What does Cyient do?
Cyient Limited is a global lifecycle engineering services and technology solutions company powering mission-critical industries from design to aftermarket across products, plants, and networks.
The company operates primarily through key segments including Digital, Engineering, and Technology (DET), Design Led Manufacturing (DLM), and Semiconductors, serving over 300 active clients globally across diverse sectors.
Its domain expertise spans Aerospace and Rail, Automotive and Mobility, Connectivity, Energy, Healthcare, Mining, Utilities, and custom ASIC semiconductor design and manufacturing services.
Cyient combines domain knowledge with advanced digital capabilities, including its Agentic AI-enabled lifecycle engineering intelligence platform CYiNGINE, to deliver end-to-end engineering, manufacturing, and aftermarket support.
02 · Historical context
What shaped the business before this quarter
On April 8, 2026, the company acquired an 82.9% majority stake in Kinetic Technologies through Cyient Cayman Limited for INR 7,910 million to bolster its semiconductor segment offerings.
Effective September 3, 2026, Cyient completed the 100% acquisition of TAO Digital Solutions Inc. for INR 21,563 million to scale up its digital, engineering, and technology capabilities.
In July 2026, the company completed a tender-offer share buyback of 6,400,000 equity shares at INR 1,125 per share, disbursing up to INR 7,200 million excluding transaction costs.
03 · Financial snapshot
Current quarter vs the two useful baselines
| Metric | Q2 FY27 | Year-ago | Previous quarter |
|---|---|---|---|
| Revenue from operations | ₹1,664.00 Cr | ₹1,438.20 Cr | ₹20,757.00 Cr |
| Profit after tax | ₹153.00 Cr | ₹126.66 Cr | ₹1,087.00 Cr |
04 · Why it moved
Why the quarter looked the way it did
What drove revenue
Transportation and mobility led segment expansion, registering constant currency growth of 4.5% QoQ and 16.5% YoY, marking its sixth consecutive quarter of sequential growth.
Design Led Manufacturing (DLM) delivered strong revenue growth of 26.5% YoY and over 30% for H1 in INR terms, driven by Aerospace and Industrial sectors with expanding contributions from Defense and Medical.
Cyient Semiconductors recorded its sixth consecutive quarter of sequential revenue growth, up 8% QoQ, driven by higher wafer volumes and turnkey program execution.
What drove margins
Cyient DET EBIT margin improved by 107 bps QoQ and 206 bps YoY to reach 14.2%, driven by higher operating leverage and productivity improvements.
Semiconductor segment profitability was impacted by ongoing investments in high-voltage power products for AI data centers and wafer costs, resulting in an EBIT loss while the core business remained self-sustaining.
Ongoing investments in sales and strategic capabilities within the DLM business affected near-term margins as the company scales its manufacturing infrastructure.
05 · Demand, customers & order book
Where demand is coming from
Cyient DLM maintained a book-to-bill ratio above 1.6x, driven by record order book inflows from large OEMs for the sixth consecutive quarter.
The custom ASIC pipeline exceeded $100 million, backed by a 50% QoQ growth in order intake and a major new global semiconductor engagement.
Cyient DET (excluding TAO Digital) recorded its highest-ever Q2 order intake of $158 million, representing a 20.8% YoY increase in dollar terms.
Revenue concentration from the top 5 clients in DET stood at 32.8%, while the top 10 clients accounted for 45.5% of DET revenue.
06 · Segments, products & geography
Which parts of the business are doing the work
Segments and products
Reported quarterly revenue of INR 16,642 million and segment results of INR 2,319 million, benefiting from strong demand in Transportation and Mobility.
Generated quarterly revenue of INR 3,931 million with segment results of INR 422 million, supported by robust inflows from large OEMs.
Recorded revenue of INR 1,847 million with a segment result of negative INR 300 million, reflecting integration costs and R&D expenditure for AI data-center power solutions.
Geography and market mix
The Americas accounted for 53.9% of DET revenue in Q2 FY27, up from 52.6% in Q1 FY27 and 49.7% in Q2 FY26.
Europe, Middle East, and Africa (EMEA) contributed 22.7% of DET revenue during the quarter.
Asia Pacific including India accounted for 23.5% of DET revenue, increasing from 22.5% in the previous quarter.
07 · Capacity, projects & execution
What is being built, commissioned or delivered
Capacity, production and utilisation
DLM production capacity continued to absorb increased order volumes from industrial and aerospace sectors, supported by facility readiness.
Projects, capex and execution
DET capital expenditure for Q2 FY27 stood at INR 188 crores, compared to INR 250 crores in Q1 FY27.
08 · Strategy & new businesses
How the company is trying to change its growth mix
The company advanced its strategy centered on intelligent engineering, deploying its Agentic AI-enabled platform CYiNGINE across customer engineering playbooks.
Investments in high-voltage power products for AI data centers remain on track, with commercial revenue translation expected in the next fiscal year.
09 · Reported developments
What changed operationally
Achieved record order books in DLM with a book-to-bill of over 1.6x and the highest-ever Q2 order intake in DET.
Delivered the highest DET EBIT in ten quarters at 14.2%, alongside robust FCF conversion.
10 · Pressure points & risks
What is not going smoothly
Management noted that memory shortages and near-term supply constraints may impact short-term growth and margins in the semiconductor segment.
11 · Items worth noticing
The line items that can distort a quick read
Consolidated other income included a net foreign exchange loss of INR 238 million for Q2 FY27.
12 · Cash flow & balance sheet
Profit is one thing. Cash and funding tell another part of the story.
Cyient DET generated free cash flow of INR 2,137 million in Q2 FY27, up from INR 1,137 million in Q1 FY27.
Consolidated cash and cash equivalents stood at INR 12,454 million as of September 30, 2026.
Capital allocation & funding
Consolidated non-current borrowings increased to INR 22,506 million as of September 30, 2026, reflecting financing related to recent business acquisitions and foreign currency borrowings.
Cyient Semiconductors Singapore Private Limited issued Non-Convertible Debentures aggregating INR 2,000 million and Compulsorily Convertible Preference Shares aggregating INR 1,000 million during the period.
13 · Beyond the numbers
What changed beyond the numbers
Interim Dividend Declaration
The Board of Directors declared an interim dividend of INR 12 per equity share of face value INR 5, aggregating to INR 1,257 million.
Executive Leadership
The presentation highlighted leadership commentary from Krishna Bodanapu (Executive Vice-Chairman & Managing Director) and Sukamal Banerjee (Executive Director & CEO).
14 · Previous-quarter changes
What changed since the previous quarter
Consolidated revenue expanded from INR 20,757 million in Q1 FY27 to INR 22,350 million in Q2 FY27.
15 · Key Q&A
The quarter, answered directly
What does Cyient do?
Cyient Limited is a global lifecycle engineering services and technology solutions company powering mission-critical industries from design to aftermarket across products, plants, and networks.
What is the clearest takeaway from Q2 FY27?
Cyient posted consolidated revenue from contracts with customers of INR 22,350 million for Q2 FY27, compared to INR 20,757 million in Q1 FY27 and INR 17,810 million in Q2 FY25, reflecting solid sequential and year-on-year top-line expansion.
What drove revenue or demand?
Transportation and mobility led segment expansion, registering constant currency growth of 4.5% QoQ and 16.5% YoY, marking its sixth consecutive quarter of sequential growth.
What mattered most for margins or profitability?
Cyient DET EBIT margin improved by 107 bps QoQ and 206 bps YoY to reach 14.2%, driven by higher operating leverage and productivity improvements.
What changed operationally beyond the headline numbers?
DLM production capacity continued to absorb increased order volumes from industrial and aerospace sectors, supported by facility readiness.
What are the main pressure points disclosed for the quarter?
Management noted that memory shortages and near-term supply constraints may impact short-term growth and margins in the semiconductor segment.
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