Kaynes Technology India Ltd

- Kaynes Technology India Limited does not plan any new QIP (Qualified Institutional Placement) or equity dilution; they are adequately funded. - The company is implementing capital expenditure (capex) based on milestones and prefers to avoid keeping funds idle in fixed deposits. - Capex plans include approximately INR400 crores to be spent in the current quarter and a cumulative INR1,400 crores in PC Board business, and around INR1,700–1,800 crores in OSAT business by FY '28. - Financing activities will continue until new projects (OSAT and PC Board) are fully operational. - The company expects most of the newer businesses to start generating cash by FY '28, reducing the need for additional funding. - Supply chain finance and bank funding are being used to manage working capital and receivables, particularly for long-term debtor management in the metering business.

- Kaynes Technology is undertaking significant capex primarily in OSAT and PC Board businesses. - Planned capex: approximately INR 400 crores to be spent in Q4 FY '26; cumulative INR 1,400 crores for PC Board business; INR 1,700-1,800 crores for OSAT Phase 1. - No significant new capex planned for EMS segment except small amounts for debottlenecking to improve asset turnover. - OSAT capex benefits from 50% central and 20% state government subsidies; FSA approval received for OSAT at Sanand. - PCB HDI multilayer facility in Chennai is a strategic investment targeting INR 15,000 crores business potential. - Company is adequately funded for these investments and does not plan any QIP/dilution. - Capex implementation is milestone-driven to accelerate cash flow generation from new businesses. - By FY '28, all three businesses (EMS, OSAT, PC Board) are expected to generate positive operating cash flows.

- Kaynes Technology aims to achieve $1 billion revenue by FY '28, targeting more than that while possibly delivering around $1 billion. - Smart meter business expected to grow at ~30% year-on-year for the next 4-5 years due to high market demand. - Core EMS business and ODM/product engineering targeting robust growth, with expectations of 40% growth excluding metering segment over 9 months FY '26. - Order book growing at ~50% per annum, indicating strong future execution pipeline. - Diversification across segments like aerospace, automotive, railways, EV, and industrial non-meter based products to drive broad-based growth. - OSAT and PCB businesses are scaling up, targeting about INR1,500 crores each, contributing to consolidated growth. - Anticipated product ramp-ups in railway and aerospace sectors in upcoming quarters. - Company emphasizes long-term growth over quarterly fluctuations, with order book visibility for 12-18 months ensuring steady revenue capture.

- Kaynes Technology targets over $1 billion revenue by FY '28, indicating more than double current levels, driven by strong EMS (Electronics Manufacturing Services) growth and increasing ODM (Original Design Manufacturing) business. - EMS business alone is expected to contribute significantly, with additional INR1,500 crores from OSAT (Outsourced Semiconductor Assembly and Test) and INR1,000 crores from PCB businesses by FY '28. - Operating cash flow (OCF) is expected to be positive consolidated for the full year FY '26 and significantly positive across all businesses (EMS, OSAT, PCB) from FY '28 onward. - Core business growth (ex-smart metering) was about 40% YoY in 9 months FY '26, indicating strong margin and profit potential. - Smart metering business expected to grow by ~30% year-on-year for next 4-5 years. - Overall, growth supported by diversified project-led order book with ~50% YoY order inflow growth and focus on indigenization and technology upgrades.

- Current order book: INR 9,000 crores (approximately 1.5 years' worth of orders on a rolling basis). - Order book mix: Around 20% constituted by ODM products (smart meters and similar products), and remaining is mainly EMS business plus PCB and OSAT segments. - No significant concentration in any one customer or sector; top customer contributes less than 6% of turnover. - Order book growing at ~11.5% quarter-on-quarter, leading to about 50% annual growth in order inflow. - Some orders (like railway Kavach safety product worth INR 3 billion) have faced postponements due to design improvements. - Orders span diverse sectors: automotive, EV, aerospace, railways, industrial non-meter products. - Additional OSAT business targeting INR 1,500 crores, and PCB business targeting INR 1,000 crores revenues. - Some projects/orders deferred to Q4 or next fiscal year but overall order backlog remains robust.