Cyient DLM Shares Plunge Due To Margin Pressure Even Though Net Profit Rose 43% And Revenue Grew 25%

Cyient DLM Q2 results showed a 43% year-on-year rise in standalone net profit to ₹19.4 crore, compared with ₹13.5 crore a year earlier. Revenue from operations increased 25% to ₹294.8 crore. Despite the growth, the company faced pressure on its operating margins.

The Cyient DLM share price fell nearly 16% to ₹871.5 on the National Stock Exchange (NSE) at 12:42 pm on 16 October 2026.

What Were The Key Cyient DLM Q2 FY27 Business Updates?

Order momentum remained strong in the quarter. Order intake increased 11% sequentially and 15.4% year-on-year (YoY), while the order book rose 23% YoY and reached a record ₹2,810 crore. The company also added three new customer accounts across its core businesses and emerging growth areas.

Box-build manufacturing contributed 37% of revenue in Q2 FY27, compared with 25% in the corresponding quarter last year. Growth was led by the aerospace and industrial segments. Medical and defence sectors also contributed.

Why Did Cyient DLM Face Margin Pressure?

Despite higher revenue and profit, the company faced several operational and execution-related challenges that affected its margins during the quarter.

The company also completed the integration of Altek Electronics, its acquired business in Connecticut, the United States. The business has been renamed Cyient DLM Electronics Inc. The acquisition has expanded the company's international operating footprint.

Cyient DLM shares have declined 9% over the past week but gained 47% over three months, 158% over six months and 96% over the past year. The stock touched a 52-week high of ₹1,061 on 14 October 2026 before retreating sharply. Despite the recent fall, it remains around 214% above its 52-week low of ₹265, which was recorded in March 2026.

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