Cyient DLM shares fall 8% as Q1 profit drops; revenue and margins up.

Wednesday, Jul 23, 2025 2:51 am ET1min read

Cyient DLM shares fell 8% after reporting a 29.6% decline in Q1 net profit to ₹7.5 crore. Revenue grew 8% YoY to ₹278.4 crore, while Ebitda rose 25% to ₹25 crore. The order backlog increased, driven by a record order intake of ₹515 crore during the quarter.

Cyient DLM Ltd., the demerged entity of Cyient Ltd., reported a 29.6% year-on-year (YoY) decline in net profit for the first quarter of FY26, falling to ₹7.5 crore from ₹10.6 crore in the same period last year. Despite this, the company's revenue grew by 8% YoY to ₹278.4 crore, and earnings before interest, taxes, depreciation, and amortisation (EBITDA) rose by 25% to ₹25 crore [1][2][3][4].

The decline in net profit was primarily attributed to a reduction in other income, due to the deployment of initial public offering (IPO) proceeds, and non-cash amortisation of intangibles arising from acquisitions. The revenue growth was partially offset by the completion of a large order in FY25, but was also boosted by contributions from recent mergers and acquisitions concluded in the second half of last year [1][3][4].

The order backlog increased significantly during the quarter, driven by a record order intake of ₹515 crore, the highest in the past 10 quarters. Nearly 50% of this new intake is executable in FY26, indicating a strong pipeline of opportunities for the company [4].

The market reaction was swift, with Cyient DLM shares declining by as much as 8% on Wednesday, July 23. The stock was trading 3.1% lower at ₹466.05 by the end of the day, down over 30% year-to-date [1][2][3][4].

References:
- [1] https://www.cnbctv18.com/market/cyient-dlm-share-price-falls-after-q1-results-despite-strong-order-intake-19641814.htm
- [2] https://www.business-standard.com/markets/capital-market-news/cyient-dlm-consolidated-net-profit-declines-29-62-in-the-june-2025-quarter-125072201081_1.html
- [3] https://www.ndtvprofit.com/markets/cyient-dlm-shares-slide-over-8-after-q1-profit-declines
- [4] https://www.business-standard.com/markets/news/cyient-dlm-shares-tumble-8-per-cent-as-q1-profit-falls-results-breakdown-here-125072300395_1.html

Cyient DLM shares fall 8% as Q1 profit drops; revenue and margins up.

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