X

Sign up for Equitymaster's free daily newsletter, The 5 Minute WrapUp and get access to our latest Multibagger guide (2018 Edition) on picking money-making stocks.

This is an entirely free service. No payments are to be made.


Download Now Subscribe to our free daily e-letter, The 5 Minute WrapUp and get this complimentary report.
We hate spam as much as you do. Check out our Privacy Policy and Terms Of Use.
Cyient Ltd: Delivers in a Challenging Environment - Views on News from Equitymaster

Helping You Build Wealth With Honest Research
Since 1996. Try Now

The India Letter
  • MyStocks

MEMBER'S LOGINX

     
Login Failure
   
     
   
     
 
 
 
(Please do not use this option on a public machine)
 
     
 
 
 
  Sign Up | Forgot Password?  

Cyient Ltd: Delivers in a Challenging Environment
Jan 19, 2018

Cyient Ltd has announced results for 3QFY18. The company has reported a 1.9% QoQ increase in sales, while the net profit fell 21.1% QoQ.

Performance Summary
  • Consolidated sales increased 1.9% QoQ in 3QFY18. In US$ terms, the topline was up 1.3% QoQ.
  • The operating performance was decent. The operating margin came in at 14.3% compared to 14.5% in 2QFY18. The operating profit increased 0.4% QoQ.
  • The net profit was down 21.2% QoQ due to one-off costs. Excluding the one-off costs, the net profit was down 2.3% QoQ but up 15.5% YoY. The net margin came in at 8.9% in 3QFY18.
  • The company declared an interim dividend of Rs 4 per share. The record date and payment date for the same are 31 January 2018 and 8 February 2018 respectively.

    Consolidated Financials
    (Rs m) 2QFY18 3QFY18 Change 9MFY17 9MFY18 Change
    Sales 9,654 9,833 1.9% 26,656 28,557 7.1%
    Operating expenditure 8,256 8,430 2.1% 23,080 24,623 6.7%
    Operating profit (EBITDA) 1,398 1,403 0.4% 3,576 3,934 10.0%
    Operating profit margin (%) 14.5% 14.3%   13.4% 13.8%  
    Finance costs 52 51 -1.9% 139 147 5.8%
    Other income 412 297 -27.9% 622 1,080 73.6%
    Depreciation 259 275 6.2% 698 795 13.9%
    Share of associate profit/(loss) 19 -202   89 -158  
    Exceptional item 0 -50   0 -50  
    Profit before tax 1,518 1,122 -26.1% 3,450 3,864 12.0%
    Tax 421 251 -40.4% 825 1,045 26.7%
    Profit after tax/(loss) 1,097 871 -20.6% 2,625 2,819 7.4%
    Minority interest 17 7 -58.8% 29 51 75.9%
    Net profit 1,114 878 -21.2% 2,654 2,870 8.1%
    Net profit margin (%) 11.4% 8.9%   9.8% 9.9%  
    No. of shares (m)         112.6  
    Diluted earnings per share (Rs)*         32.3  
    P/E ratio (x)*         20.2  

    * On a trailing 12-months basis


    Segmental Performance (IT services)
    Verticals 2QFY18 3QFY18 Change
    Aerospace & Defense 2,997 3,140 4.8%
    Transportation 967 1,059 9.4%
    Semiconductor 354 335 -5.5%
    Medical & Healthcare 190 181 -4.8%
    Utilities & Geospatial 1,373 1,502 9.4%
    Communications 2,012 2,054 2.1%
    Industrial, Energy & Natural resources 743 778 4.8%
    Total IT services revenue 8,637 9,048 4.8%
    Geography      
    Americas 5,329 5,418 1.7%
    Europe, Middle East, Africa (EMEA) 2,625 2,724 3.7%
    Asia Pacific 1,878 1,691 -9.9%

    Segmental Performance (DLM)
    Verticals 2QFY18 3QFY18 Change
    Aerospace & Defense 240 238 -0.9%
    Medical 95 126 33.6%
    Communications 467 192 -59.0%
    Industrial 211 221 5.2%
    Others 5 8 54.4%
    Total DLM revenue 1,017 785 -22.8%
    Geography      
    Americas 157 137 -12.3%
    Europe, Middle East, Africa (EMEA) 856 641 -25.1%
    Asia Pacific 4 6 54.4%
To Read the Full Story, Subscribe or Sign In



DISCLOSURES UNDER SEBI (RESEARCH ANALYSTS) REGULATIONS, 2014
INTRODUCTION:
Equitymaster Agora Research Private Limited (hereinafter referred to as "Equitymaster"/"Company") was incorporated on October 25, 2007. Equitymaster is a joint venture between Quantum Information Services Private Limited (QIS) and Agora group. Equitymaster is a SEBI registered Research Analyst under the SEBI (Research Analysts) Regulations, 2014 with registration number INH000000537.

BUSINESS ACTIVITY:
An independent research initiative, Equitymaster is committed to providing honest and unbiased views, opinions and recommendations on various investment opportunities across asset classes.

DISCIPLINARY HISTORY:
There are no outstanding litigations against the Company, it subsidiaries and its Directors.

GENERAL TERMS AND CONDITIONS FOR RESEARCH REPORT:
For the terms and conditions for research reports click here.

DETAILS OF ASSOCIATES:
Details of Associates are available here.

DISCLOSURE WITH REGARDS TO OWNERSHIP AND MATERIAL CONFLICTS OF INTEREST:
  1. 'subject company' is a company on which a buy/sell/hold view or target price is given/changed in this Research Report.
  2. Equitymaster has financial interest in Cyient Ltd.
  3. Equitymaster's investment in the subject company is as per the guidelines prescribed by the Board of Directors of the Company. The investment is however made solely for building track record of its services.
  4. Equitymaster's Associates and Research Analyst or his/her relative doesn't have any financial interest in the subject company.
  5. Neither Equitymaster, it's Associates, Research Analyst or his/her relative have actual/beneficial ownership of one percent or more securities of the subject company at the end of the month immediately preceding the date of publication of the research report.
  6. Neither Equitymaster, it's Associates, Research Analyst or his/her relative have any other material conflict of interest at the time of publication of the research report.
  7. Equitymaster's technical team/other research services have given a 'buy' view on Cyient Ltd.
DISCLOSURE WITH REGARDS TO RECEIPT OF COMPENSATION:
  1. Neither Equitymaster nor it's Associates have received any compensation from the subject company in the past twelve months.
  2. Neither Equitymaster nor it's Associates have managed or co-managed public offering of securities for the subject company in the past twelve months.
  3. Neither Equitymaster nor it's Associates have received any compensation for investment banking or merchant banking or brokerage services from the subject company in the past twelve months.
  4. Neither Equitymaster nor it's Associates have received any compensation for products or services other than investment banking or merchant banking or brokerage services from the subject company in the past twelve months.
  5. Neither Equitymaster nor it's Associates have received any compensation or other benefits from the subject company or third party in connection with the research report.
GENERAL DISCLOSURES:
  1. The Research Analyst has not served as an officer, director or employee of the subject company.
  2. Equitymaster or the Research Analyst has not been engaged in market making activity for the subject company.
Definitions of Terms Used:
  1. Buy recommendation: This means that the investor could consider buying the concerned stock at current market price keeping in mind the tenure and objective of the recommendation service.
  2. Hold recommendation: This means that the investor could consider holding on to the shares of the company until further update and not buy more of the stock at current market price.
  3. Buy at lower price: This means that the investor should wait for some correction in the market price so that the stock can be bought at more attractive valuations keeping in mind the tenure and the objective of the service.
  4. Sell recommendation: This means that the investor could consider selling the stock at current market price keeping in mind the objective of the recommendation service.
Feedback:
If you have any feedback or query or wish to report a matter, please do not hesitate to write to us.

Small Investments
BIG Returns

Zero To Millions Guide 2019
Get our special report, Zero To Millions
(2019 Edition) Now!
We will never sell or rent your email id.
Please read our Terms

CYIENT LTD SHARE PRICE


Nov 16, 2018 03:37 PM

TRACK CYIENT LTD

  • Track your investment in CYIENT LTD with Equitymaster's Portfolio Tracker. Set live price alerts, get research alerts and more. Get access now...
  • Add To MyStocks

COMPARE CYIENT LTD WITH

MARKET STATS