27-Oct-2026 08:43:43
DIGILOGIC SYSTEMS Q2 CONCALL: H1 REVENUE UP 91% YOY, EBITDA UP 126% & MANAGEMENT MAINTAINS 25–30% FY27 REVENUE GROWTH GUIDANCE
• MANAGEMENT MAINTAINS FY27 REVENUE GROWTH GUIDANCE OF 25–30%, IMPLYING APPROXIMATELY ₹97.5–101.4 CR REVENUE AGAINST ₹78 CR IN FY26 • MANAGEMENT EXPECTS FY27 EBITDA & NET PROFIT GROWTH OF APPROXIMATELY 30–35%, SUPPORTED BY DEFENCE PROJECT EXECUTION • H1 REVENUE UP 91% YOY TO ₹34.96 CR, WHILE EBITDA SURGED 126% TO ₹7.81 CR • H1 NET PROFIT JUMPED 151% YOY TO ₹4.76 CR, COMPARED WITH ₹1.90 CR LAST YEAR • H1 EBITDA MARGIN IMPROVED TO APPROXIMATELY 22.3% FROM 18.9% YOY, SUPPORTED BY HIGHER REVENUE & OPERATING LEVERAGE • COMPANY EXECUTED 36 PROJECTS WORTH APPROXIMATELY ₹33.18 CR DURING H1, SUPPORTED BY DEFENCE & DRDO CUSTOMER DEMAND • CONFIRMED ORDER BOOK STANDS AT APPROXIMATELY ₹20 CR, WITH AN ADDITIONAL ₹54 CR TENDER PIPELINE AT VARIOUS STAGES OF EVALUATION & NEGOTIATION • MANAGEMENT TARGETS CONVERSION & BILLING OF THE ₹54 CR TENDER PIPELINE AROUND FEBRUARY 2027, WITH APPROXIMATELY 60% RELATED TO REPEAT ORDERS • MANAGEMENT EXPECTS CORE TEST & MEASUREMENT SYSTEMS BUSINESS TO SUSTAIN APPROXIMATELY 25–30% GROWTH, DRIVEN BY DEFENCE ELECTRONICS DEMAND • COMPANY PARTICIPATES IN AT LEAST 10 DEFENCE PROGRAMS, INCLUDING MRSAM & ANTI-DRONE SYSTEMS, WITH APPROXIMATELY 3–4 PROGRAMS ALREADY IN PRODUCTION • PROJECT UDAAN CONSTRUCTION IS UNDERWAY, WITH CIVIL WORK TARGETED FOR COMPLETION AROUND MARCH 2027, FOLLOWED BY EQUIPMENT INSTALLATION & CERTIFICATION • PROJECT UDAAN WILL EXPAND THE COMPANY INTO ELECTRONICS MANUFACTURING & SYSTEM DESIGN, WITH BUILD-TO-PRINT SERVICES EXPECTED TO COMMERCIALIZE FIRST • ABHEDHYA SYSTEMS TARGETS COMMERCIAL PRODUCTION DURING H2 FY29, WHILE NEW GIMBAL & SINGLE-BOARD COMPUTER PRODUCTS OFFER INITIAL ANNUAL REVENUE POTENTIAL OF ₹3–4 CR • MANAGEMENT EXPECTS CURRENT PROFITABILITY LEVELS TO REMAIN SUSTAINABLE, WHILE ELEVATED INVENTORY IS EXPECTED TO BE LARGELY CONSUMED BY MARCH 2027 • MANAGEMENT REMAINS POSITIVE ON DEFENCE ELECTRONICS OPPORTUNITIES, BUT ₹54 CR TENDER CONVERSION, H2 REVENUE EXECUTION, PROJECT UDAAN CERTIFICATION & WORKING-CAPITAL REQUIREMENTS REMAIN KEY RISKS
DIGILOGIC SYSTEMS LIMITED