Suyog Telematics Q1 FY27 Earnings Call — Analysis (NSE: SUYOG)
Suyog Telematics resumed Vodafone Idea rollout from mid-June and guides to 3,000 additional VI tenancies in FY27, with Q1FY27 revenue ₹70.9 Cr (+6.1% YoY comparable) and EBITDA margin 59.3%.
Result quality: watch — Margin pressure. Management sentiment: neutral.
The take
Q1FY27 Consolidated revenue ₹70.9 Cr ( +6.1% YoY ) . New guidance — Q4FY27 quarterly revenue run-rate ₹100 Cr .
Results
Q1FY27 consolidated revenue was ₹70.9 Cr, up 6.1% YoY on comparable electricity-inclusive basis; EBITDA was ₹42 Cr at 59.3% margin; PBT was ₹19.5 Cr and net profit ₹14.5 Cr, with PAT margin around 20%.
Financial highlights
| Metric | Value | Change | Basis |
|---|---|---|---|
| Consolidated revenue | ₹70.9 Cr | +6.1% | yoy · Q1FY27 · Comparable including electricity reimbursement; prior year ₹66.8 Cr |
| EBITDA | ₹42 Cr | yoy · Q1FY27 · Management said maintained; Q1FY26 ₹41.1 Cr and Q4FY26 ₹41.8 Cr on comparable EV basis | |
| EBITDA margin | 59.3% | point_in_time · Q1FY27 · EV-inclusive revised EBITDA margin; old basis ~70% not comparable | |
| PBT | ₹19.5 Cr | none · Q1FY27 | |
| Net profit | ₹14.5 Cr | none · Q1FY27 | |
| PAT margin | 20% | point_in_time · Q1FY27 · With electricity cost in topline; management says maintained | |
| EPS | ₹12.37 | none · Q1FY27 | |
| Revenue per tower | ₹31,000 | point_in_time · Q1FY27 · Excluding EV; maintained at ₹31,000–₹31,500 for last four quarters | |
| Towers | 6,103 | point_in_time · Q1FY27 exit · As of 30-Jun-2026 | |
| Tenancies | 7,468 | point_in_time · Q1FY27 exit · As of 30-Jun-2026; Q1 added 150 tenancies |
Guidance
Management guided to FY27 exit of 10,000+ tenancies (3,000 additional Vodafone Idea tenancies), ₹100 Cr quarterly revenue by Q4FY27, maintained ~59% EBITDA margin, and FY28 target of 5,000 further VI tenancies.
What management committed to
- Suyog Telematics plans to add 3,000 additional tenancies from Vodafone Idea in FY27. — 3,000, FY27
- Suyog Telematics targets exiting FY27 at 10,000+ tenancies, adding 3,000 to the current 7,000+ base. — 10,000+, FY27
- Suyog Telematics targets adding a further 5,000 Vodafone Idea tenancies in FY28, with 8,000–10,000 VI tenancies over FY27–FY28. — 5,000, FY28
- Management expects Suyog Telematics to reach ₹100 Cr quarterly revenue by Q4FY27. — ₹100 Cr, Q4FY27
- Tushar Shah expects EBITDA margin including EV to remain around 59% for coming quarters. — 59%, FY27
- Tushar Shah expects PAT margin with EV to sustain around 20%. — 20%, FY27
- Management expects the first zinc battery batch to be deployed on 10–15 [Suyog Telematics telecom tower] sites by mid-September 2026. — 10–15 sites, Q2FY27
- Management expects zinc batteries to cost ₹33,000 per 100H and keep [Suyog Telematics'] capital expenditure within budget. — ₹33,000 per 100H, FY27
- Suyog Telematics will not execute BSNL rollout until BSNL confirms billing commencement and resolution of BSNL's Tejas equipment issues.
- Management expects 186 pending BSNL site billings to start contributing revenue in Q2FY27. — 186 sites, Q2FY27
Key themes
Vodafone Idea rollout ramp and zinc battery savings
Operational commentary
- Vodafone Idea orders resumed from mid-June; Suyog received 600+ orders and converted 95 towers / 150 tenancies in June alone; management described Suyog as among the fastest IP1 companies to deliver for Vodafone Idea.
- As of the call, another 700+ VI tenancies were in the ET and management expected maximum conversion in Q2, subject to rain impact.
- Portfolio stood at 6,103 towers and 7,468 tenancies as of Q1 exit, with Q1 additions mostly macro sites.
- Customer revenue mix: Airtel 48.1%, Vodafone Idea 27%, Jio 22.6%, BSNL 2.3%.
- Zinc battery tie-up with GBB Batteries; management expects to be the first IP1 company to deploy zinc batteries on telecom sites, cutting capex versus imported lithium.
- BSNL: 186 sites billing pending due to Tejas equipment issues; management will not guide or execute meaningful BSNL rollout until billing confirmation and equipment resolution.
- Tenancy ratio currently 1.2x; management targets 1.8x by FY28/early FY29 via macro-site sharing.
- Fibre remains marginal for FY27, expected at 5–8% of total revenue; rural macro sites are mostly microwave-fed.
Analyst Q&A
Q. Can you explain the zinc battery project — are you doing own capex or contract manufacturing, and what are the revenue and EBITDA projections?
Suyog tied up with GBB Batteries in Kerala and will buy zinc batteries rather than manufacture them; zinc battery costs about ₹33,000 per 100H versus lithium at ₹48,000, reducing capex; management declined formal financial projections.
Q. What is the confidence on getting and executing 3,000 VI tenancies?
Management said execution capacity, funds, daily loading, and Vodafone central team support make 3,000 not a challenge; the only condition is Vodafone securing additional funding.
Q. Why has BSNL commentary softened from earlier targeting? Are orders expected this year?
Management remains optimistic but will not commit public BSNL numbers until billing and Tejas equipment issues are resolved; some current-year numbers are expected only after confirmation.
Q. Last quarter you mentioned 12,000 tenancies by year-end; now it is around 10,500 — what changed?
Tushar Shah said 3,000 is conservative based on Vodafone's currently secured ₹6,400 Cr; targets may rise once additional funding and the 30,000-site rollout are confirmed.
Q. What is plan B or conservative outlook if BSNL and Vodafone issues do not play out positively?
MD and Tushar emphasised customer dependency, disciplined BSNL gating, focus on five states, and a Q4FY27 ₹100 Cr revenue target from the VI-driven rollout; no detailed alternative scenario was provided.
Q. Can you increase tenancy on existing assets without proportional capex? What EBITDA can existing towers generate?
Management targets 1.8x tenancy ratio by FY28/early FY29 and said ROI improves from 3.5–4 years payback for single tenancy to 18–24 months for shared sites; incremental EBITDA was not quantified.
Q. What is the current status of 189 BSNL pending billing sites and realistic annual tower additions beyond FY27?
186 sites billing is pending; management expects revenue from them in Q2. FY28 target is 5,000 VI tenancies; beyond FY28, no numbers were given due industry dynamism.
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