Suyog Telematics Limited , a prominent player in the telecom infrastructure sector, has reported a robust 16% year-on-year revenue growth for Q2, with consolidated revenue reaching INR 554.00 million. The company's performance highlights its resilience in a traditionally sluggish quarter for the telecom industry.

Financial Highlights

• Revenue from operations grew by 16% year-on-year in Q2
• EBITDA margin stood strong at 75%, increasing by 201 basis points
• PAT margin maintained at 30%
• Revenue per tenancy improved to INR 25,000 from INR 22,000 in March

Operational Performance

Suyog Telematics ended the quarter with 5,861 towers and 7,163 tenancies, maintaining a healthy tenancy ratio of 1.22. The company has also expanded its fiber network to 6,152 kilometers.

Future Growth Drivers

BSNL Partnership

• Suyog is in the final stages of negotiation for a significant order from BSNL
• Expecting allocation of 6,000 sites out of a total 17,000 site tender
• Rollout expected to commence from Q4

Vodafone Idea (VI) Expansion

• Received orders for 500+ macro sites from VI
• Deployment has begun, with a target of 1,000 sites by the end of the fiscal year

Airtel 5G Upgrades

• Commenced 5G upgrades for Airtel on existing sites
• Expected to upgrade 2,500 sites, providing an additional revenue of INR 3,000-4,000 per site per month

Strategic Initiatives

1. Inorganic Growth: The company is in advanced talks for potential acquisitions, particularly in the Delhi and Rajasthan circles.

2. Fiber Projects:

   • Near completion of a 1,000+ km aerial fiber tender from MTNL in Mumbai
   • Engaged in a INR 35.00 crore fiber project for data centers

3. Diversified Revenue Stream: Aiming for a balanced revenue mix with Airtel contributing 35-40%, Jio 20-25%, BSNL 15%, and VI around 30%.

Outlook

Suyog Telematics maintains its revenue guidance of INR 250.00 crores for the fiscal year, with PAT expected to be around 30% of revenue. The company anticipates reaching 8,500-9,000 tenancies by the end of the fiscal year and projects growth to 15,000 tenancies in the following fiscal year.

Management Commentary

Tushar Shah, Business Head (India), stated, "We are set for a major rollout in the coming quarters. With the planned expansions and upgrades, we are confident of taking Suyog to the next level, starting Q4 onwards."

Shivshankar Lature, Managing Director, added, "The telecom industry is very stable, and with the recent developments in BSNL and VI, we see significant growth opportunities. Our focus remains on maintaining our EBITDA margin of 70% and net profit of 30%."

While the company faces some delays in project rollouts due to government procedures and seasonal factors, management remains optimistic about the overall market stability and growth prospects in the telecom infrastructure sector.

Investors should note that while the company's growth plans are ambitious, execution risks and potential delays in government projects could impact the timeline for achieving these targets.

Suyog Telematics has announced the untimely passing of Mr. Vivek Lature, a key figure in the company's leadership. Mr. Lature, who served as both a Promoter and Whole-Time Director, passed away on September 11, 2025.

Company's Official Statement

In an official communication to the stock exchanges, Suyog Telematics expressed deep sorrow over the loss. The company stated, "We regret to inform you of the sad demise of Mr. Vivek Lature (DIN: 02274098), Promoter & Whole-Time Director of the Company, on Thursday, September 11, 2025."

Impact on the Company

The passing of Mr. Lature is described as an "irreparable loss" not only to his family but also to the company and all those associated with him. Vivek Lature played a crucial role in Suyog Telematics' growth and direction as both a promoter and a whole-time director.

Commitment to Continue Vision

Despite this significant loss, Suyog Telematics has affirmed its dedication to moving forward. The company stated, "Team SUYOG remains committed to honouring his vision and continuing the pursuit of excellence in all endeavours." This commitment underscores the lasting impact of Mr. Lature's leadership and the company's resolve to maintain its strategic direction.

Regulatory Compliance

The announcement was made in compliance with Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, highlighting the company's adherence to regulatory standards even in challenging times.

As the telecom infrastructure sector faces this unexpected development, stakeholders will be watching closely to see how Suyog Telematics navigates this transition in leadership. The company's ability to honor Mr. Lature's vision while adapting to his absence will be crucial in the coming months.