Srigee says it lost 3-4 months to a factory move. It still wants to double revenue next year.
The capex-heavy electronics contract manufacturer is guiding ₹100 cr in FY27 from ₹72 cr this year, but a facility transition ate into two quarters and polymer prices tripled in March.
What's new
- FY26 revenue was ₹72.31 cr from operations, with EBITDA margin at 12.18%.
- Management guided ₹100 cr for FY27 and ₹200+ cr for FY28, despite losing 3-4 months to a facility transition.
- New R11A facility is 4x the current footprint (10,850 sq m) with a target commissioning date of August 15.
- Polymer compounding (Polymars) monthly run rate is ₹1 cr, with a target of ₹2.5-3 cr in FY27.
Themes from the call
Capacity
The company is at 100% utilization and losing new customer deals, making the August-October facility move the single biggest operational catalyst.
Growth
Revenue guidance of ₹100 cr for FY27 is ambitious given the 3-4 months lost to transition, but the order pipeline and new customer interest support the target if execution holds.
Margins
Polymer price tripling in March and a quarterly customer pricing lag created near-term margin pressure; in-house compounding provides a 10-20% cost edge on ₹90 per unit versus market ₹110.
Guidance watch
- FY27 target of ₹100 cr despite losing 3-4 months to the facility move.
- FY28 target of ₹200+ cr, with a peak facility capacity of ₹350 cr on full build-out.
- Polymer compounding to reach ₹200-250 cr by FY28, a 20x-plus scaling from ₹11 cr in FY26.
Risk flags
- Facility commissioning has an August 15 target but a Diwali backup, with no room for further delays if the FY27 revenue target is to be met.
- Top-10 customer concentration remains high at 91% of revenue, though diversification is blocked by current capacity limits.
- Bank debt of ₹33 cr at 8-9% interest adds a fixed-cost layer during a transition period.
Key quotes
-
"I am confident of achieving 100 crore turnover in this current financial year because even though we lost almost 3-4 months and two quarters will be affected, I still expect significant growth."
— Suresh Kumar Singh, CEO -
"For FY27 we hope to double our sales, and by FY28 we aspire to reach 200 to 250 crores."
— Suresh Kumar Singh, CEO
The brief
Srigee's first call as a public company was a capex pitch. CEO Suresh Kumar Singh is asking investors to look past a rough FY26, where a facility transition cost the company 3-4 months of production, and focus on the growth ahead. The numbers are straightforward: revenue was ₹72.31 cr, EBITDA margin was 12.18%, and the new R11A plant is 4x the current footprint. The guidance is ₹100 cr for FY27 and ₹200+ cr for FY28, funded by ₹17 cr from the IPO and ₹33 cr in bank debt. The execution risk is real. The plant must be commissioned by August 15, with a Diwali backup. Any further delay, and the FY27 target becomes difficult. The company is also navigating polymer price spikes that tripled in March, a lag in customer pricing pass-through, and a 91% top-10 customer concentration. The opportunity is a Samsung relationship that currently penetrates only 10% of the carrier's phone assembly needs, and a polymer compounding business that is small today but has a clear path to ₹200+ cr by FY28 if capacity expands as planned. The bull case hinges on the new facility unlocking all of this. The bear case is that the timeline is tight, the debt load is new, and the market for contract electronics is unforgiving on delays. The call was confident. Now the company has to build.
Srigee's FY27 guidance is a promise to double revenue during a factory move. August will tell if it's a plan or a hope.