Q2 FY27 Financial Performance (Consolidated)

  • Operating Revenue: ₹98,317 lakhs (₹983.17 crore), a 135% increase Year-on-Year (YoY) and 11% increase Quarter-on-Quarter (QoQ).
  • EBITDA: ₹4,014 lakhs (₹40.14 crore), a 19% increase YoY and 32% increase QoQ.
  • EBITDA Margin: 4.08%, a decrease of 400 basis points (bps) YoY but an increase of 64 bps QoQ.
  • Profit After Tax (PAT): ₹2,101 lakhs (₹21.01 crore), a 25% increase YoY but a 1% decrease QoQ.
  • PAT Margin: 2.14%, a decrease of 188 bps YoY and 26 bps QoQ.
  • Half-Year (H1 FY27) Performance: Revenue stood at ₹1,86,616 lakhs (₹1,866.16 crore), a 119% increase YoY. PAT was ₹4,219 lakhs (₹42.19 crore), a 35% increase YoY.
  • Incubation Expenses: Losses from Drones and Cover Glass businesses impacted Q2 EBITDA by ₹357 lakhs and PAT by ₹411 lakhs. Adjusted for these, core operating EBITDA was ₹4,371 lakhs and PAT was ₹2,512 lakhs, with an adjusted EBITDA margin of 4.45%.

Strategic Updates and Guidance

  • FY27 Revenue Guidance: Maintained at ~₹3,600 crore, aiming to double FY26 revenue.
  • FY28 Revenue Guidance: Revised upwards to ~₹6,500 crore (from earlier 30% growth guidance), implying 80% growth, driven by screen protector commercial rollout and EMS scale-up.
  • FY29 Revenue Guidance: Revised upwards to ~₹8,500 crore (from ₹6,000 crore earlier), implying 30%+ growth.
  • Screen Protector Business: A major import substitution opportunity triggered by mandatory BIS certification effective April 1, 2027. Targeting total capacity of 2.5 crore units per month.
  • Capex: ₹200-250 crore (₹2.5-3 billion).
  • Brownfield Expansion: Scaling Noida facility from 2 million to 5 million units per month by Jan/Feb 2027.
  • Greenfield Plant: A 20 million unit/month capacity in a leased, pre-constructed facility in Noida.
  • Funding: ₹200 crore (₹2 billion) to be raised through a further issue of securities, with the balance from debt and internal accruals. This will increase promoter stake.
  • Brands: SCREENlife, OPTIGUARD, RHINOTECH, KAVACH.
  • Product Innovation: Launched a product with built-in screen insurance offering 2 screen protectors and 1 display replacement with 365 days coverage.
  • Distribution: Ready for online channels, offline/mainline shops, and organized retail.
  • JV with CMF (Nothing): A ~51:49 JV to transition CMF into a standalone Indian consumer electronics brand with end-to-end R&D capabilities. A definitive agreement is in progress, subject to government guidelines and regulatory approvals. The move is designed to maximize benefits under the PLI 2.0 scheme, which offers a 5% baseline incentive for Indian brands, plus additional incentives for in-house R&D (3%) and domestic component sourcing (1.5%). Entire manufacturing will be undertaken by Optiemus' EMS division.
  • New B2C Category: A second consumer category launch is planned for Q4 FY27, aligned with the company's vision to build a proprietary B2C product portfolio.
  • Cover Glass JV: A 70:30 JV with Corning International Corp. India's first finished cover-glass plant in Tamil Nadu is ready. OEM audits by leading global brands are underway, with customer onboarding expected over the next 3-4 quarters. The MPMS scheme is expected to fast-track customer acquisition.
  • Drones Business: Operated by wholly-owned subsidiary Optiemus Unmanned Systems. Focus on high-altitude defense systems and precision-agriculture platforms. Pitching for long-term rental/service contracts with state governments and defense bodies. Considered a medium-term option value not factored into current guidance.

EMS Business Performance

  • Q2 Growth: Revenue grew 401% YoY.
  • Mobile Manufacturing: Generated over ₹500 crore revenue for the second successive quarter.
  • Diversification: Non-mobile partnerships are gaining traction, contributing to growth and margin improvement.
  • Unit 3: Production ramp-up in the newly commissioned Noida unit.
  • Customers: Includes premium global brands like Vivo, Oppo, Realme, One Plus, Xiaomi, Nothing.
  • Product Categories: Smartphones, Hearables & Wearables, Fintech, Telecom, IoT modules, Automotive.
  • Recent Partnerships/Wins: Smartphones [AI+], IoT Modules [Quectel], IoT Products [Vivo], Power Banks [Realfit], POS Devices [Pinelabs].

Disclaimer

The presentation is for informational purposes only and contains forward-looking statements based on management's beliefs, involving known and unknown risks and uncertainties.