Kaynes Technology India Ltd.Strong Growth Amid Guidance Miss

Kaynes Technology India delivered FY26 revenue of ₹3,626 crore, registering 33.2% year-on-year growth, though significantly below initial guidance of ₹4,500 crore due to a 90% revenue drop from its largest EV customer and geopolitical disruptions.

EBITDA grew 39.8% to ₹574 crore with margins expanding to 15.8%, while PAT reached ₹364 crore at 10% margin. Core EMS business showed remarkable working capital improvement from 83 days to 53 days, generating ₹250 crore positive cash flow. However, smart meter receivables remain elevated at ₹1,365 crore requiring a three-quarter resolution timeline. Management is pivoting strategy from traditional EMS to a product-driven ESDM model, targeting 30% revenue contribution from NPD-led solutions.

For FY27, the company targets 30%+ growth by doubling the market rate, with OSAT contributing ₹250-300 crore and PCB ₹300-400 crore. The Mysore facility crossed the ₹1,000 crore revenue milestone, while the order book remains robust at over ₹9,000 crore with strong five-year visibility in OSAT and PCB segments.