Dynacons Systems & Solutions Ltd

Financial Performance

• Q1 FY2027 revenue from operations: INR313 crores vs INR328 crores in Q1 FY2026.
• EBITDA: INR40 crores; PAT: approx INR20 crores; EPS: INR15.54.
• Order book stands at INR3,104 crores with recurring revenue components.
• Bidding pipeline at INR6,650 crores across data center, cloud, networking, managed services.
• Delivery timing led to revenue recognition deferrals; demand remains healthy.
• No formal margin guidance; focus on higher-value solutions and recurring revenue.

Key Wins and Backlog

• RBI private cloud order: INR750 crores.
• NPCI data center augmentation: INR267 crores.
• CBI AI-ready infrastructure: INR125 crores.
• J&K Bank ERP engagement: INR25 crores.
• Order book: INR3,104 crores; multi-year engagements with recurring revenue.

Asset Build-out and As-a-Service

• INR158 crores fixed assets added last year for As-a-Service.
• Lease rentals for DaaS and Core Banking assets; some assets purchased on lease.
• Depreciation rise due to asset base; revenue visibility remains contracted.
• Utilization improves over time; assets generate revenue against contracts.

Q&A Highlights

• Timing vs demand; management: demand strong; revenue deferrals; deliveries to normalize; conversions in coming quarters.
• Margin trajectory; margins improved due to mix; no numeric guidance.
• Asset base/ROCE; As-a-Service assets yield contracted revenue; ROCE guidance not provided.
• Competition; Netweb context; opportunities in large projects; continue to bid.
• Banks mix; confidentiality around thresholds; private and public banks served.
• Hyperscalers data centers; pursuing with global players; margins lower; still on radar.

Outlook and Guidance

• Outlook: growth momentum; opportunities in data center modernization, AI-ready infrastructure, cyber security, managed services.
• No formal financial guidance provided.
• Well-positioned to benefit from AI, cloud, cyber security trends.

Filing Context and Notable Note

• Notable quote cited for investor insight: 'Having said that, we are very confident that based on the current visibility, the deliveries are expected to normalize progressively and we are confident of converting this order book into revenue over the coming quarters.'

Certification achievement

• Dynacons achieved SOC 2 Type II Certification covering security, availability and confidentiality.
• Certification demonstrates the operational effectiveness of its controls over an extended audit period.

Significance and impact

• Certification strengthens customer trust and positions Dynacons as a trusted partner for enterprises, financial institutions and government entities.
• Supports customers' compliance, audit and regulatory requirements.
• Aligns with globally recognized governance, risk management and information security best practices.

SOC 2 Type II basics

• SOC 2 Type II assesses design and operating effectiveness of controls over a defined review period.

Meeting Details

• Date and time: August 14, 2026, 03:30 PM.
• Type and mode: group analyst/investor meet; audio recording.
• Organiser: Dynacons Systems & Solutions Limited.

Participants

• Key participants: Company Secretary & Compliance Officer.

Purpose

• Discuss un-audited Q1 results for quarter ended June 30, 2026.

Additional Notes

• Audio recording of discussion available on the company's website.

Business Overview

• Dynacons is a digital infrastructure platform delivering Data Centre, Cloud, Cybersecurity, Digital Workplace, and Managed Services.
• Strategy centers on AI-ready infrastructure and AI-driven operations to grow annuity revenue.

Key Operational Highlights

• Q1 FY27 revenue ₹313.69 Cr; EBITDA ₹40.19 Cr; PAT ₹19.80 Cr.
• Order book ₹3,104 Cr, underpinning revenue visibility.
• Marquee orders from RBI, NPCI, Central Bank of India, and J&K Bank.
• Data centre and cloud, AI infrastructure and managed services driving growth.
• Pan-India delivery network with 250+ locations.

Financial Performance

• Revenue declined 4.6% YoY to ₹313.69 Cr.
• EBITDA margin expanded to 12.81%.
• PBT ₹26.45 Cr; PAT ₹19.80 Cr; YoY trend modest.
• FY2026 revenue ₹1,424 Cr; EBITDA ₹146 Cr; PAT ₹114 Cr; EBITDA margin 10.2%.

Capital Structure & Liquidity

• Long-term borrowings ₹2 Cr; short-term borrowings ₹80 Cr.
• Lease liabilities current ₹42 Cr; non-current ₹114 Cr.
• Total equity ₹315 Cr; total assets ₹1,013 Cr; cash ₹13 Cr.
• Trade payables ₹446 Cr; current liabilities ₹578 Cr.

Strategic Focus & Outlook

• AI-ready infrastructure and AI-driven operations to accelerate growth.
• Expansion into APAC and Europe; India as global back-office hub.
• Bidding pipeline ₹6,650 Cr; win rate historically ~30%.
• Pan-India coverage; cross-sell opportunities across BFSI, PSU, enterprise.
• Target acquisitions to bolster AI, SOC, GRC, DC design capabilities.

Governance & Leadership

• Chairman & MD: Shirish Anjaria; Executive Directors: Parag J. Dalal, Dharmesh S. Anjaria.
• Independent Directors: Vijay Doshi, Ashok Rajagiri, Falguni Shah.
• Company Secretary & Compliance Officer: Pooja Patwa.

Financial highlights

• Q1 FY27 revenue from operations: ₹313.69 crore.
• EBITDA: ₹40.19 crore; margin 12.81%.
• PAT: ₹19.80 crore; PAT margin 6.31%.
• EPS: ₹15.54 per share.

Contracts and order book

• Order book stands at ₹3,104 crore.
• RBI private cloud mandate: ₹750.82 crore over five years.
• Central Bank of India contract: ₹125.88 crore.
• J&K Bank ERP: ₹25 crore on 5-year OPEX model.
• NPCI order: ₹267.58 crore post-quarter.
• Total Q1 FY27 order inflow exceeded ₹900 crore.

Strategic momentum

• AI-ready infrastructure momentum with Central Bank of India project and NVIDIA GPUs.
• Robust growth across BFSI and government segments supporting execution.

Industry recognitions

• TIME India's Fastest-Growing Companies 2026: ranked 63rd.
• Financial Times High-Growth Companies Asia-Pacific 2026.
• Acer & Intel Pinnacle Club: Best Region SI, Government Business (West).
• HPE Best Partner for Driving HPE & Nutanix Solutions FY25.

Dividend details

• Interim dividend of Rs. 0.50 per equity share of Rs. 10.
• Face value of equity share: Rs. 10.
• Dividend percentage equals 5% of face value.
• Record date fixed as 19 August 2026.
• Payout date: 27 August 2026.

Meeting Details

• Date and time: Friday, August 14, 2026 at 3:30 PM IST.
• Type and mode: conference call, virtual.
• Event: Q1 FY27 Earnings Conference Call hosted by Dynacons; GoIndia Advisors oversees.
• Key participants: Executive Director (Parag J. Dalal); Executive Director & CFO (Dharmesh S. Anjaria).
• Purpose: discuss Q1 FY27 earnings (un-audited) results.
• Pre-registration available to join the call.

Dynacons Systems & Solutions Ltd board meeting details not disclosed