Cyient DLM Limited , a prominent player in the electronics manufacturing services sector, has announced significant changes in its leadership structure following a recent shareholder vote. The company conducted a postal ballot to seek approval on two crucial resolutions, both of which received overwhelming support from shareholders.

New Leadership at the Helm

The first resolution, which garnered an impressive 99.95% of votes in favor, approved the appointment of Mr. Rajendra Velagapudi as the new Managing Director and Chief Executive Officer of Cyient DLM Limited. This appointment marks a new chapter in the company's leadership and strategic direction.

Experience Valued: Age Waiver for Non-Executive Director

In a move that underscores the company's appreciation for experienced leadership, shareholders also approved the continuation of Mr. B.V.R. Mohan Reddy as a Non-Executive, Non-Independent Director, despite his approaching the age of 75 years. This special resolution received 99.01% of votes in favor, reflecting strong shareholder confidence in Mr. Reddy's continued contribution to the board.

Voting Details

The postal ballot, conducted through remote e-voting, saw active participation from shareholders. Here's a breakdown of the voting results:

The e-voting process was overseen by Mr. Manish Kumar Singhania, a practicing Company Secretary appointed as the scrutinizer for the postal ballot.

Implications for Cyient DLM

These approvals signal a strong vote of confidence in the company's leadership choices. The appointment of Mr. Velagapudi as MD & CEO is expected to bring fresh perspectives to Cyient DLM's operations and strategy. Meanwhile, the continued presence of Mr. Mohan Reddy on the board ensures that the company retains valuable experience and industry insights at the highest level of governance.

As Cyient DLM moves forward with its new leadership structure, stakeholders will be keenly watching how these changes translate into the company's performance and strategic direction in the competitive electronics manufacturing services landscape.

Cyient DLM Limited , a leading electronic manufacturing services (EMS) provider, has reported a strong performance in the first quarter of fiscal year 2026, with record order intake and improved profitability despite challenges in revenue growth.

Record Order Intake

The company achieved its highest order intake in eight quarters, securing new orders worth INR 515.00 crores. This resulted in a book-to-bill ratio of approximately 2, indicating strong future growth potential. Nearly 50% of the new orders are executable within the current fiscal year, providing a solid foundation for near-term revenue growth.

Financial Performance

Cyient DLM reported quarterly revenue of INR 2,784.00 million, representing an 8% year-on-year growth. Despite the modest top-line growth, the company saw significant improvement in profitability:

• EBITDA grew by 25.3% to INR 251.00 million
• EBITDA margins improved by 125 basis points to 9%
• Positive free cash flow of INR 80.00 crores generated for the third consecutive quarter

Order Backlog and Business Mix

The company's order backlog increased to INR 2,132.00 crores, reflecting a growing pipeline of future business. Cyient DLM is experiencing a favorable shift in its business mix, with new orders coming in at higher margins compared to previous periods.

Challenges and Mitigations

Revenue growth was impacted by two main factors:

1. Completion of a large customer order
2. Supply chain disruptions due to the Middle East conflict affecting delivery schedules

To address these challenges, the company has ramped up its sales efforts, deepening engagements with existing clients and pursuing new business opportunities. The management expressed confidence in maintaining a book-to-bill ratio above 1 and achieving double-digit EBITDA margins going forward.

Market Trends and Opportunities

Cyient DLM is benefiting from several market trends:

• China Plus One strategy adoption by global companies
• Increased RFQs from US customers seeking dual sourcing options
• Growing opportunities in Aerospace, Defense, Medical, and Industrial sectors

Management Changes

The Board of Directors appointed Rajendra Velagapudi as CEO in addition to his role as Managing Director, signaling a commitment to accelerating growth and strengthening global partnerships.

Outlook

Despite short-term challenges, Cyient DLM's management remains optimistic about future growth prospects. The company is focusing on strengthening its core business through large deals and sector diversification while also exploring inorganic expansion opportunities to enhance technological capabilities and geographic footprint.

As Cyient DLM continues to navigate the dynamic macroeconomic landscape, its strong order book and strategic initiatives position the company for sustained growth in the coming quarters.