Sell

Cyient is moving up the value chain, from niche ER&D services to ‘Whole Asset Lifecycle Engineering’, expanding its TAM from $80-100bn to $2.4-3.2trn.

orderbook stood at 14,502 crore as 3x TTM book to bill. Although management targets new order inflows of 11,000-12,000 crore for FY27 (having won ~5,500 crore in Q1), clarity over execution visibility is missing. Moreover, over 6,000 crore more than 41% of the total orderbook-is currently not under execution due to persistent land acquisition delays, pending appointed dates, and right-of-way permissions across major projects. Furthermore, intense sector competition threatens project win profitability...

The order book stood at 21,096 crore as of Q4FY26 (4.6x book to bill). Ahluwalia enjoys a healthy balance sheet and is a net cash company Q1FY27 performance: The consolidated revenue at 1125.8 crore in Q1FY27, was up 12% YoY. EBITDA came in at 48.3 crore, with margins down 430 bps YoY to 4.29% mainly caused due to higher labour costs, and lower labour availability coupled with one-off impact of 29 crore bill value reduction on the completed...

Sales/EBITDA/PAT were 0.8%/5.9%/-0.3% above our estimates. EBITDA margin surpassed our estimate by 98 bps to 19.5%

Page Industries’ (PAGE) Q1FY27 revenue grew ~8% YoY, driven by a modest volume uptick (+5.7% YoY). However, a deeper look reveals persistent structural challenges.

DCX Systems reported a weak set of numbers in Q1FY27, with revenue declining 54% YoY and 50% QoQ to INR 1,031 Mn, significantly below our estimates, primarily due to execution delays as highlighted by management earlier.

Overall volume growth of ~24% YoY driven by tillers (~18% YoY), 11% revenue growth sustained despite average selling price slide of 11%

Tata Motors Passenger Vehicles (TMPV) adjusted PAT came in at INR11.4b in 1QFY27 compared to our estimated loss of INR1.2b, on the back of a betterthan-expected performance in JLR.

Relaxo Footwears (RLXF) sustained its recovery in 1QFY27, with revenue growing 8% YoY to INR7.1b, broadly driven by higher realizations. ASP rose 10% YoY to INR166, while volumes declined 2% YoY.

Gujarat Fluorochemicals Ltd. (GFCL) reported strong performance across all its business verticals in Q1FY27, with revenue of INR 15,880 Mn, up 16% QoQ and 24% YoY, exceeding our estimates. The company reported EBITDA of INR 4,280 Mn, up 24.4% YoY and 39% QoQ, with EBITDA margin at 27%, broadly in line with the previous year. EBITDA also exceeded our estimates.

MRF’s 1QFY27 adj. PAT at INR4.7b was largely in line. PAT was supported by higher-than-expected other income despite weak EBITDA margin at 11.4% vs. our est. of 12.6%.

Depositories remain a structural play on India’s capital markets, buoyed by higher retail participation and distinguished by a mix of annuity and transaction-based business.

The company reported revenue of INR 4,559 Mn, up 27.2% YoY and 15.5% QoQ, with
gross margin at 44.5%. EBITDA stood at INR 1,159 Mn, up ~112% YoY and 23% QoQ,
with EBITDA margin improving to 25.4%. The improvement in margins was driven by
higher plant utilisation, better fixed-cost absorption and lower overhead costs as a
percentage of sales.

Fine Organic Industries (FINEORG) posted a strong operating performance, with an EBITDA growth of 42% YoY, primarily due to gross margin expansion of 500bp YoY to 45.4%.

Dynamatic Technology’s (DYTC) Q1FY27 EBITDA, at INR 551mn, came in ahead of our estimate of INR 480mn (+15%), up 46%/13% YoY/QoQ, with margin expanding 280bps/180bps YoY/QoQ to 13.0%.

Lupin delivered a strong Q1FY27, led by exclusivities in the US (+29.8%) and robust growth in emerging (+51.7%) and other developed markets (+48.3%).

Deepak Nitrite (DN) reported a strong operating performance on a low base. Its EBITDA surged 2.8x YoY to INR5.4b, led by 3.5x YoY EBIT growth in the Phenolic segment and 89% EBIT growth in the Advanced Intermediates (AI) segment.

Cohance Lifesciences (Cohance)’s Q1FY27 performance was sub-par. Results was marred by the lumpy nature of the CDMO business and a high-cost base coupled with mounting losses of NJ Bio.

Whirlpool reported revenue growth of 12.1% YoY. Considering the price hikes, we believe the volume growth was likely in low single digits. EBITDA margin contracted 358bps due to multiple cost headwinds and we model the cost pressures to remain elevated in rest of FY27.

Management reiterated its confidence in sustaining EBITDA margins of 32–33% (±1%) over the next 1–2 years, supported by operating leverage from upcoming capacity additions, a higher contribution from CDMO and Advanced Materials, and continued productivity improvements.