Cyient DLM bags contract from Boeing for 787 Dreamliner, share surges 7.2%

Following the announcement, Cyient DLM shares were trading 7.2 percent higher at Rs 831.8 apiece at 2:15 pm on Monday, July 29.

Cyient DLM has secured a “significant contract” from Boeing to produce the battery diode module (BDM) for the 787 Dreamliner, the electronic manufacturing services (EMS) and solutions provider said on July 29.

The project marks the first time Boeing has awarded Cyient DLM the task of producing power electronics and providing design and certification support for commercial airplanes.

"Cyient DLM is uniquely positioned to offer complete design, development, qualification, certification, and production support to Global Aerospace OEMs," CNBC-TV18 quoted Cyient DLM CEO Anthony Montalbano as saying.

The announcement sent the stock zooming At 2.15 pm, Cyient DLM was trading at Rs 831.8 on the BSE, up 7.2 percent from the previous close. The stock has gained 60.64 percent over the past year.

The contract is a significant milestone for the company, showcasing its expertise in design and certification, and its increasing share of build-to-specification products, Montalbano said.

Cyient DLM is among the first AS9100C aerospace-certified electronic manufacturing facilities and the first in India to receive the National Aerospace and Defense Contractors Accreditation Program (NADCAP) certification for Circuit Card Assembly.

Q4 earnings

The firm reported a 98.1 percent year-on-year (YoY) increase in net profit for the first quarter fiscal at Rs 10.5 crore. Its revenue was up 18.7 percent at Rs 257.8 crore.

The company’s EBITDA, however, remained flat at Rs 19.9 crore. The EBITDA margin fell to 7.7 percent from 9.2 percent in the year-ago period.

EBITDA is short for earnings before interest, tax, depreciation and amortisation.

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