Kaynes Technology Q1 FY27 Results: Profit Falls To ₹56.4 Crore; Shares Fall 8%
Add Preferred News Source
Kaynes Technology reported mixed Q1 FY27 results, with revenue rising 40.5% YoY to ₹946 crore. However, net profit declined 24.4% to ₹56.4 crore, and EBITDA margin narrowed to 15.6% from 16.7%. Read more.
Kaynes Technology shares came under pressure on 10 August after the company reported its Q1 FY27 results. Net profit fell to ₹56.4 crore in the April-June quarter from ₹74.6 crore a year earlier, even as revenue increased 40.5% year-on-year (YoY) to ₹946 crore from ₹673.5 crore.
The earnings before interest, taxes, depreciation, and amortisation (EBITDA) rose 29.5% to ₹147.5 crore from ₹113 crore, but the EBITDA margin declined to 15.6% from 16.7%.
Gross margin also narrowed to 34.4% from 41.1% as the cost of goods increased to ₹620 crore from ₹396 crore a year earlier.
What Do Kaynes Technology Q1 Results Show?
The company’s quarterly performance showed a divergence between top-line growth and bottom-line performance:
-
Revenue: ₹946 crore, up 40.5% YoY.
-
Net profit: ₹56.4 crore, down 24.4% YoY.
-
Gross margin: 34.4%, compared with 41.1% a year earlier.
Kaynes Technology attributed the gross-margin pressure to higher supply-chain, energy, commodity and foreign exchange costs.
Order Book Remains Strong Despite Margin Pressure
Kaynes Technology’s order book stood at ₹8,900 crore at the end of the June quarter. It was up 20% from a year earlier and 6% from the previous quarter. The order book-to-trailing 12-month sales ratio stood at 2.3x.
The company expects its Outsourced Semiconductor Assembly and Test (OSAT) and Printed Circuit Board (PCB) businesses to start contributing from Q3 FY27.
Kaynes Technology is also expanding into space and defence electronics. The company sees OSAT and PCB as additional areas of growth.
How Did Kaynes Technology Share Price React?
Kaynes Technology is an electronics manufacturing services company that operates across multiple segments, including automotive, electric vehicles and industrial electronics.
Kaynes Technology shares came under pressure following the company’s Q1 FY27 results. The stock fell 8% to hit the day’s low of ₹3,531 on the Bombay Stock Exchange (BSE).
At 3:07 PM, the shares were trading at ₹3,747.70, down 2.82%.
Also Read - SEBI Changes Nomination Rules From 1 September: What Demat And Mutual Fund Investors Should Know
This article is for informational purposes only and should not be considered investment advice from Kotak Neo. For compliance T&C and disclaimers, visit www.kotakneo.com/disclaimer.
Vishwa is a content and SEO strategist with 10+ years of experience across fintech and FMCG. She has a knack for connecting dots others miss, spotting trends early, and finding angles on topics most miss to question.
At Kotak Neo, she drives content strategy for neoshorts, Kotak News Desk, and Investing Guide.
Outside work, she's drawn to art, painting and architecture, and enjoys travelling to explore them firsthand.
