Kaynes Tech Q3 Results: Earnings miss across the board despite revenue growth, margin expansion
Published on 05/02/2026 07:50 PM
Kaynes Tech Q3 Results: Earnings miss across the board despite revenue growth, margin expansionA key factor to watch during the quarter will be the cash flow generation during the quarter, given that Kaynes had generated negative cash flow from operations in financial year 2025.By Hormaz Fatakia | Upasana Bhatt February 5, 2026, 7:50:44 PM IST (Updated)2 Min ReadKaynes Technology (India) Ltd. reported results for the December quarter on Wednesday, February 5, that missed analyst expectations across parameters.
Revenue for the quarter stood at ₹804 crore, a growth of 21% from last year. The numbers were well below a CNBC-TV18 poll which expected company's revenue to grow by 50% during the quarter to ₹990 crore.
The topline number is also well below the guidance of ₹1,300 crore that the company had projected for during the quarter.
Kaynes' Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) rose by 27.1% to ₹119 crore, while the street had projected this number to grow by 67% from last year to ₹157 crore.
EBITDA margin for the quarter expanded only by 60 basis points to 14.8%, well below expectations of a 160 basis points expansion in margins to 15.8%. Margins also declined on a sequential basis, due to the steep discounts given by Chinese component manufacturers due to the decline in US tariffs.
Net profit for the quarter grew by 15% to ₹76 crore from ₹66 crore last year. A CNBC-TV18 poll had projected the figure to be ₹108 crore.
A key factor to watch during the quarter will be the cash flow generation during the quarter, given that Kaynes had generated negative cash flow from operations in financial year 2025.
JPMorgan expects the company's financial year 2026 revenue guidance to be cut down to ₹4,000 crore from ₹4,400 crore, while margin guidance may be maintained at 16%.
Shares of Kaynes Tech had ended 5% lower on Thursday ahead of the earnings announcement at ₹3,599. The stock has snapped a two-day winning streak, during which it had gained nearly 10%. The stock is down along with its other EMS player, Dixon Tech, after Qualcomm's disappointing results and guidance overnight.Continue ReadingFirst Published: Feb 5, 2026 12:52 PM ISTTagsKaynes TechQ3 resultsshare market today