India’s Chip Push: Kaynes Tech’s ₹48K Cr Market Cap Story, 8 Points

Key Highlights

1. India’s Semiconductor Industry Boom

1.1 Market size:

• $38 billion in 2023

• $45–50 billion expected by 2025

• $100–110 billion projected by 2030

1.2 Investments:

• Over ₹1.60 lakh crore sanctioned

• 10 semiconductor projects approved across 6 states

• Focus: Local chip manufacturing & self-reliance

2. Kaynes Technology – Market Overview

2.1 Market Capitalization: ₹48,048.43 crore
2.2 Share Price (latest close): ₹7,167.70 per share (+0.66%)
2.3 Sector Position: Moving from pure EMS provider → integrated ESDM player

3. Massive Order Book Growth

3.1 Order Book:

• Q1FY24: ₹30,004 million

• Q1FY26: ₹74,011 million

• 146% growth in 2 years

3.2 Growth Drivers:

• Strong demand visibility

• Customer confidence

• Expanding into new verticals: aerospace, railways, OSAT

4. Financial Performance (Q1FY26)

4.1 Revenue: ₹673 crore (up 34% YoY from ₹504 crore)
4.2 Net Profit: ₹75 crore (up 47% YoY)
4.3 EBITDA Margin Guidance: Above 16.8%
4.4 Revenue Guidance FY26: ₹4,500 crore

5. Strategic Expansion

5.1 Acquisition: August Electronics (Canada)

• Expected FY26 revenue contribution: ₹175 crore

• Adds high-margin customers & North American presence

5.2 Inorganic Growth Focus:

• Targeted acquisitions in North America & Europe

• Strengthen ODM capabilities, design talent & global access

6. OSAT Facility – Big Bet on Future

6.1 Location: Sanand
6.2 Investment: ₹3,400 crore capex (50% deployed by FY27)
6.3 Production Timeline: Commercial launch by Dec 2025
6.4 Clients: 3 anchor clients + MoUs with 4 more
6.5 Focus: Export-led growth → Import substitution

7. Aerospace & Defense Edge

7.1 Experience: 8+ years in defense electronics
7.2 Clients: Global defense firms & Bharat Electronics Ltd
7.3 Certifications: AS/EN 9100 & IPC Class 3
7.4 Long-term Goal: $1 billion revenue by FY28

8. Transformation Journey

• From contract manufacturing (EMS) → value-added ODM & ESDM partner

• Capabilities in: embedded design, prototyping, high-end electronics, IoT solutions

• Strengthening customer stickiness & margin profile

📌 Why Kaynes Technology is on Investors’ Radar

• 146% order book growth in 2 years

• ₹4,500 crore revenue guidance by FY26

• Expansion into high-margin North American markets

• ₹3,400 crore OSAT facility to drive India’s semiconductor self-reliance

• Long-term $1 billion revenue target by FY28

⚠️ Disclaimer – The Profit India

This article is for informational and educational purposes only. It is not investment advice or a recommendation to buy, sell, or hold any stock. Readers should conduct their own research or consult a registered financial advisor before making investment decisions. The Profit India and its authors are not responsible for any financial losses arising from investment actions based on this content.