Digilogic Systems H1FY27 Results (BSE: 544684)

26 Oct 2026 · Analysis by Alpha Inflection

Signal: Margin expansion

The read

The key inflection is operating acceleration: H1FY27 total income rose 91.25% to ₹34.96 Cr and EBITDA grew 126.38% to ₹7.81 Cr, lifting margin 347bps to 22.34%; however, the company says EBITDA growth also benefited from FD interest income, while the ₹20 Cr order book and ₹54 Cr tender pipeline support the stated FY27 growth outlook.

P&L walk

Consolidated H1FY27 total income increased 91.25% to ₹34.96 Cr, while EBITDA grew faster at 126.38% to ₹7.81 Cr and margin expanded 347bps to 22.34%; PAT rose 150.53% to ₹4.76 Cr, with the company attributing growth to faster order execution, product mix, software value addition and FD interest income.

Key positives

• Total income reached ₹34.96 Cr in H1FY27, up 91.25% YoY, supported by better execution of orders on hand and faster order turnaround.
• EBITDA rose 126.38% to ₹7.81 Cr, 34.13 percentage points faster than total-income growth, while EBITDA margin expanded 347bps to 22.34%.
• The order book stood at ₹20 Cr and tenders awaiting finalization were close to ₹54 Cr, providing disclosed near-term revenue visibility.
• Management attributed margin expansion to product-mix change and software value addition, with core EBITDA still rising 80.54% to ₹6.03 Cr despite the reported contribution from FD interest income.

Key concerns

• PAT growth of 150.53% materially exceeded the approximately 94.1% increase in EPS from ₹0.85 to ₹1.65, requiring monitoring for dilution or minority-interest effects.
• The company attributes part of EBITDA and PAT growth to interest income from FDs, so reported profit growth is not entirely operating in nature.
• The stated FY27 target of 25%–30% top-line growth and 30%–35% EBITDA/PAT growth is ahead of the 3-year sales CAGR of 7.45% cited in company context and depends on order execution.

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