Cyient's Q2 performance has rebounded strongly after a challenging Q1, as stated in Prabhudas Lilladher's latest research report.

The company's DET revenue increased by 1.3% quarter-on-quarter in constant currency and 2% in actual terms, aligning closely with estimates. Growth was observed across various segments, except for Sustainability, which faced seasonal challenges. The DET EBIT margin improved by approximately 70 basis points to 14.2%, slightly above the estimated 14.1%, supported by revenue growth and enhanced operational efficiency.

Despite a consolidated revenue rise to US$ 220.7 million, marking a 9.9% increase QoQ, order intake was weak at US$ 156.8 million, down 14.2% QoQ. The consolidated EBIT margin also saw an uptick of 60 basis points to 12.5%, while consolidated PAT rose by 24.7% QoQ to INR 1.79 billion. Following a significant stock correction in recent sessions, the firm's inexpensive valuations have prompted an upgrade to a BUY rating from the previous ACCUMULATE stance.