Aero India 2025: Cyient DLM Leverages Expertise Across Medical, Rail Sectors With $1.5-Billion Pipeline

Cyient DLM Ltd. is leveraging its aerospace and defence expertise while expanding into medical, rail transportation, and automotive sectors, according to Chief Technology Officer Kaushal Jadia.

With a $1.5-billion order book in the last quarter, the company is seeing strong demand across design and manufacturing.

While defence contracts come with regulatory restrictions, commercial aviation remains more open, Jadia said. "We view the market holistically—beyond capital expenditure in India—because while defence globally has local regulation in terms of design, commercial aviation is relatively free."

Cyient DLM is focusing on niche AI applications in manufacturing, particularly in power electronics and optics. With a legacy in exports, the company remains a preferred partner for both Indian and foreign firms, especially as the Indian government pushes for greater localisation.

For the electronics manufacturing services sector, Jadia expects annual growth to exceed double digits.

Q3 Performance

For the quarter ended December, Cyient DLM's net profit fell by 40.8% year-on-year, dropping to Rs 10.9 crore from Rs 18.4 crore in the same period last year. The company's revenue, however, showed strong growth, rising by 38.4% to Rs 444 crore compared to Rs. 321 crore in the third quarter of the previous year.

Despite the strong revenue growth, Cyient DLM's earnings before interest, tax, depreciation, and amortisation were down 4.1% year-on-year, amounting to Rs 28.1 crore, compared to Rs 29.3 crore in Q3 FY24. This led to a decline in the company's margin, which fell to 6.3% from 9.1% in the previous year.

The company's financial results were also adversely affected by merger and acquisition related expenses, which had an impact of approximately Rs 8 crore on both Ebitda and net profit.

On a positive note, Cyient DLM's order book has grown to Rs 2,142 crore, up from Rs 1,979 crore in the previous quarter, indicating strong demand for the company's products and services moving forward.