MosChip Technologies Limited submitted its unaudited consolidated financial results for Q2 FY 2026-27 ended 30 September 2026 to BSE Limited and National Stock Exchange of India Limited.
The company reported significant financial deterioration in Q2FY27 compared to Q1FY27. Revenue from operations increased marginally from ₹116.21 crore to ₹119.08 crore. However, EBITDA turned negative, declining from a profit of ₹11.79 crore (10.15% margin) to a loss of ₹18.82 crore (15.70% margin). Profit before tax decreased dramatically from ₹3.66 crore (3.1% margin) to a loss of ₹28.88 crore (24.10% margin).
For H1FY27 compared to H1FY26, revenue from operations decreased from ₹282.53 crore to ₹235.29 crore. EBITDA turned from a profit of ₹35.30 crore (12.40% margin) to a loss of ₹7.03 crore (2.90% margin). Profit before tax declined from ₹23.95 crore (8.4% margin) to a loss of ₹25.22 crore (10.60% margin).
The financial deterioration was primarily attributed to additional costs incurred on a high complex turnkey ASIC project at an advanced stage of execution. These costs include escalations beyond the company's control and costs related to scope upgrades requested by the customer. The company is in active discussions with the customer for reimbursement of costs related to scope upgrades. The accounting treatment of these additional costs follows relevant Ind AS (Accounting Standards).
The document includes an industry outlook section discussing emerging resilience in the semiconductor supply chain, noting that the United States is projected to triple its domestic semiconductor manufacturing capacity from 2022 to 2032, with a 203% growth representing the largest projected percent increase globally. The U.S. is also projected to grow its share of advanced logic manufacturing to 28% of global capacity by 2032 from 0% in 2022.
Global semiconductor sales reached US$159.7 billion in August 2026, representing 8% growth over July 2026, with cumulative global semiconductor sales exceeding US$1 trillion through August 2026. The fabless semiconductor model continues to gain importance driven by demand from AI accelerators, automotive and industrial electronics, edge computing, communications, defence and custom SoC programmes.
India's semiconductor ecosystem is expanding across chip design, fabrication, assembly, testing, packaging, equipment and materials, though near-term execution continues to depend substantially on overseas foundries, global EDA and IP suppliers, advanced-packaging capacity and foreign-currency-denominated procurement.
The document includes a safe harbor statement noting that the release contains forward-looking statements involving risks and uncertainties including ability to compete in the semiconductor industry, ability to develop and sell new products, dependency on subcontractors for supply and quality, market cyclicality, and ability to attract and retain technical manpower.