INVESTOR
PRESENTATION
ANNEXURE
Q3 FY25
Message from the Management
KRISHNA BODANAPU
Executive Vice-Chairman &
Managing Director
Commenting on the results, Mr. Krishna Bodanapu, Executive Vice Chairman and Managing Director, said
"Cyient Group witnessed positive Q3 FY25 results, with quarterly Group revenue at US$ 228 Mn, growth of 4.5% YoY in constant currency.
Cyient's Digital, Engineering and Technology (DET) business delivered revenue at US$ 175.2 Mn, a growth of 2.4% QoQ and degrowth of 1.9% YoY in constant currency. This was driven by growth in Aerospace, Connectivity and New Growth Areas. The EBIT margin for DET stood at 13.5%, a contraction of 72 bps QoQ, largely led by wage increases and currency headwinds. Our order book has witnessed a strong uptick. Order Intake for Q3 at $312.3 Mn, is the highest ever for Cyient DET, with a QoQ growth of close to 100% and YoY growth of 5%. We have also won 13 large deals in DET business with a total contract potential of $234.5 Mn in Q3 FY25. Our pipeline for the year has improved with large deals contributing significantly to a strong pipeline, positioning us for sustainable growth in the medium term.
Our Semiconductor business continues to witness good traction. We have expanded our partnership with Allegro Microsystems and established a Center of Excellence (CoE) in our Manikonda campus to develop next generation magnetic sensors and power semiconductor products for the automotive industry. The CoE will play a crucial role in accelerating the development of power integrated circuit (IC) product portfolios, which are essential components in electric vehicles, advanced driver-assistance systems (ADAS) and other automotive applications. This development strengthens Cyient's position as a leading partner for companies seeking to develop and manufacture cutting-edge semiconductor products. Further, I am delighted to announce that we have secured approval from our Board of Directors to explore additional capital raise options for our recently announced Semiconductor subsidiary. This is in line with our strategy for Semiconductor business towards capital readiness and to drive accelerated growth in the near-medium term."
2 | © CYIENT 2025 | Confidential |
Message from the Management
PRABHAKAR ATLA
President & CFO
Commenting on the results, Mr. Prabhakar Atla, President and Chief Financial Officer, said, "Q3 FY25
DET revenues stood at US$ 175.2 Mn representing a growth of 2.4% QoQ in constant currency terms. This was driven by growth and continued recovery, in line with our expectations, across our key Business Units. The EBIT margin for the quarter is 13.5%, down by 72 bps over Q2 FY25, primarily on account of wage hikes and currency headwinds. The PAT for Q3 FY25 is ₹124 Crores, a de-growth of 30% QoQ led by significant negative movement in other income especially from unrealized forex losses - arising due to major currency movements during the quarter. The FCF stood at ₹245 Crores, an increase of 39% QoQ, translating into 198% FCF to PAT conversion for the quarter. The ₹245 Crores remains our best quarter to date in terms of FCF performance.
Our focused initiatives on operational performance improvement, cash collection, cost optimization and automation will continue, and we expect the full benefits of improved operational efficiency to be visible in the coming quarters."
3 | © CYIENT 2025 | Confidential |
DET METRICS
4
Income Statement | DET
DET | UOM | Q3 FY25 | Q2 FY25 | Q3 FY24 |
Operating Revenue | $ Mn | 175.2 | 173.0 | 179.2 |
Operating Revenue | ₹ Mn | 14,799 | 14,496 | 14,914 |
Cost of Revenue | ₹ Mn | 9,042 | 8,744 | 8,954 |
Gross profit | ₹ Mn | 5,757 | 5,752 | 5,961 |
Gross margin % | 38.9% | 39.7% | 40.0% | |
Sales and Marketing expenses | ₹ Mn | 820 | 695 | 621 |
General and Administration expenses | ₹ Mn | 2,375 | 2,415 | 2,358 |
EBITDA (Normalised) | ₹ Mn | 2,563 | 2,643 | 2,982 |
EBITDA margin % | 17.3% | 18.2% | 20.0% | |
Depreciation and Amortization expenses | ₹ Mn | 567 | 584 | 596 |
EBIT (Normalised) | ₹ Mn | 1,995 | 2,059 | 2,385 |
EBIT margin % | 13.5% | 14.2% | 16.0% | |
Financial expenses | ₹ Mn | 120 | 183 | 233 |
Other income | ₹ Mn | -218 | 465 | 94 |
Profit before tax (PBT) (Normalised) | ₹ Mn | 1,657 | 2,341 | 2,247 |
Tax | ₹ Mn | 419 | 574 | 519 |
Profit After Tax (Normalised) | ₹ Mn | 1,239 | 1,768 | 1,728 |
PAT margin % | 8.4% | 12.2% | 11.6% | |
Basic EPS (₹) (Normalised) | ₹ | 11.25 | 16.07 | 15.74 |
One off/ Exceptional item (Post tax) | ₹ Mn | 0 | 0 | -386 |
Profit After Tax (Reported) | ₹ Mn | 1,239 | 1,768 | 1,342 |
Basic EPS (₹) (Reported) | ₹ | 11.25 | 16.07 | 12.22 |
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Other Income | DET
Other Income (₹ Mn) | |||
DET | Q3 FY25 | Q2 FY25 | Q3 FY24 |
Income from Investments | 170 | 114 | 64 |
Realised gains/(losses) on Fwd Contracts | 1 | -1 | -9 |
Unrealised Fx gains/(losses) | -504 | 336 | 165 |
Others | 116 | 17 | -125 |
Total | -218 | 465 | 94 |
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Cash Generation | DET
Cash Flow Summary (₹ Mn) | |||
DET | Q3 FY25 | Q2 FY25 | Q3 FY24 |
Profit before tax (Reported) | 1,657 | 2,342 | 1,744 |
Non-cash & non-operating items | 507 | 716 | 911 |
Operating profit before WC changes | 2,164 | 3,058 | 2,655 |
DSO Movement (Receivables) | 156 | 70 | -59 |
Other WC changes | 659 | -614 | 377 |
Operating CF after WC changes | 2,979 | 2,514 | 2,973 |
Taxes | -352 | -617 | -911 |
Capex | -177 | -130 | -138 |
FCF | 2,450 | 1,767 | 1,924 |
FCF to reported PAT conversion | 197.8% | 100.0% | 143.4% |
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Cash Position for the Quarter | DET
Cash Position (₹ Mn) | |||
DET | Q3 FY25 | Q2 FY25 | Q3 FY24 |
Cash & Cash Equivalent including treasury investments | 11,423 | 11,871 | 8,171 |
Cash & Bank balances | 2,348 | 2,841 | 4,948 |
Investments in FDs | 6,337 | 6,390 | 506 |
Investment in MFs and Commercial Papers | 602 | 441 | 647 |
Other treasury investments | 2,136 | 2,199 | 2,070 |
Notes:
1. Q2 FY25 cash position includes pending FY25 interim dividend disbursal of ₹1,331 Mn. This was disbursed in Oct'24
Net Cash (₹ Mn) | |||
DET | Q3 FY25 | Q2 FY25 | Q3 FY24 |
Cash & Cash Equivalent including treasury investments | 11,423 | 11,871 | 8,171 |
Total Debt | -440 | -743 | -6,167 |
Long term borrowings | 0 | 0 | 3,920 |
Short term borrowings | 440 | 743 | 2,247 |
Net cash | 10,983 | 11,128 | 2,004 |
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Other Metrics | DET (1/2)
Revenue by Geography (%) | |||
DET | Q3 FY25 | Q2 FY25 | Q3 FY24 |
Americas | 49.5% | 48.3% | 43.9% |
Europe, Middle East, Africa | 28.8% | 30.1% | 35.0% |
Asia Pacific (including India) | 21.7% | 21.6% | 21.1% |
Revenue by Currency (%) | |||
DET | Q3 FY25 | Q2 FY25 | Q3 FY24 |
USD | 46.7% | 46.0% | 44.0% |
EURO | 15.9% | 15.4% | 20.7% |
GBP | 5.8% | 6.3% | 7.9% |
AUD | 10.2% | 11.3% | 11.3% |
Others | 21.4% | 21.0% | 16.0% |
Revenue by Top Clients (%) | |||
DET | Q3 FY25 | Q2 FY25 | Q3 FY24 |
Top 5 | 30.1% | 31.4% | 29.8% |
Top 10 | 41.7% | 43.0% | 39.8% |
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Other Metrics | DET (2/2)
Employees | |||
DET | Q3 FY25 | Q2 FY25 | Q3 FY24 |
Total Headcount | 14,378 | 14,799 | 15,678 |
Technical & Pool | 13,227 | 13,661 | 14,519 |
Non-Technical | 476 | 472 | 505 |
Support | 675 | 666 | 654 |
Voluntary Attrition (LTM) | 15.5% | 15.0% | 18.4% |
No. of Million $ Clients | |||
DET | Q3 FY25 | Q2 FY25 | Q3 FY24 |
20 Mn+ | 4 | 4 | 6 |
10 Mn+ | 15 | 15 | 13 |
5 Mn+ | 30 | 29 | 36 |
1 Mn+ | 110 | 107 | 111 |
New Clients Added | 10 | 11 | 3 |
Note: No. of Million $ clients are based on TTM (Trailing Twelve Months) revenue
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Cyient Limited published this content on January 23, 2025, and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on January 23, 2025 at 11:14:04.985.