Sugs Lloyd Q2 FY27 Earnings Call — Analysis (BSE: 544501)
Sugs Lloyd delivered record H1 revenue of ₹213.31 Cr (+73% YoY) with an order book of ₹1,067 Cr and reiterated its ₹1,000 Cr revenue target for FY28.
Result quality: stable — Results context unavailable. Management sentiment: optimistic.
The take
Q2FY27 Revenue from Operations ₹134.91 Cr ( +12% YoY ) , H1FY27 +73% .
Results
Q2 FY27 revenue rose 12% YoY to ₹134.91 Cr with EBITDA of ₹19.1 Cr (+91% YoY, 14.1% margin), bringing H1 FY27 revenue to ₹213.31 Cr (+73% YoY) and PAT to ₹20.01 Cr (+69% YoY).
Financial highlights
| Metric | Value | Change | Basis |
|---|---|---|---|
| Revenue from Operations | ₹134.91 Cr | +12% | yoy · Q2FY27 |
| Revenue from Operations | ₹134.91 Cr | +72% | qoq · Q2FY27 |
| EBITDA | ₹19.10 Cr | +91% | yoy · Q2FY27 |
| PAT | ₹12.51 Cr | +108% | yoy · Q2FY27 |
| Revenue from Operations | ₹213.31 Cr | +73% | yoy · H1FY27 |
| EBITDA | ₹31.00 Cr | +64% | yoy · H1FY27 |
| EBITDA Margin | 14.54% | -80bps | yoy · H1FY27 |
| PAT | ₹20.01 Cr | +69% | yoy · H1FY27 |
| Order Book | ₹1,067 Cr | point_in_time · Q2FY27 · Sep-26 | |
| Order Inflow | ₹395 Cr | none · Q2FY27 · ex-GST (₹466 Cr incl-GST) |
Guidance
Management reiterated FY27 revenue guidance of ₹600 Cr and FY28 target of ₹1,000 Cr with ~15% full-year EBITDA margins and 10% product revenue share by FY28.
Key themes
Order book diversification and scaling execution
Operational commentary
- Geographic concentration in Bihar reduced significantly: Bihar's share of order book fell from 82% in July 2026 to 55% at end of September 2026 across 11 operating states.
- Flagship Patna project (₹542 Cr pre-GST) is in full execution and scheduled for completion by March 2028; SCADA and ADMS capabilities built there are being leveraged to bid nationally.
- Won seven new contracts worth ₹395 Cr (ex-GST) in Q2 FY27, including an Odisha 3-year maintenance contract adding ~₹60 Cr annual recurring revenue and Punjab RDSS work over 15 months.
- Product portfolio expansion: completed testing of compact Fault Passage Indicators (FPI) with initial supplies slated for Q3 FY27; developing Vacuum Circuit Breakers (VCB) and Ring Main Units (RMU).
- Evaluating backward integration for key purchased inputs and in technical collaboration talks for indigenous SCADA systems expected to finalize between H2 FY27 and H1 FY28.
Analyst Q&A
Q. Reason for Q2 EBITDA margin moderation to 14.1% vs 15.3% in Q1 and margin outlook for FY27/FY28.
Margin variation across quarters depends on the specific execution mix and work front availability of higher- vs lower-margin items in long-term contracts; overall yearly EBITDA margins will stay around ~15%.
Q. Clarification on debt increase to ~₹160 Cr vs previous peak debt guidance of ₹130 Cr.
The ₹130 Cr figure referred to fund-based requirements; overall debt-to-equity ratio will be strictly maintained around 1.2x to 1.3x throughout the growth phase.
Q. Expectation of turning operating cash flow positive in FY27.
Management stated that growing at 70%+ necessitates remaining operating cash negative in the near term to fund working capital rather than slowing growth.
Q. Disqualification in Haryana DHBVN and UP tenders.
Management clarified that DHBVN disqualified the bid due to a procedural delay in submitting an amended bank certificate format, not due to lack of technical qualification or eligibility.
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