SIS Ltd (NSE:SIS)

Q1 2027 SIS Ltd Earnings Call Transcript

Aug 6, 2026 / 08:30 AM GMT

Release Date Price: ₹435.9 (+1.24%)

Transcript

Key Points

Positve

Record Q1 FY27 revenue of INR 4,604 crore, up 29.7% YoY, with strong growth across all business segments.
EBITDA grew 36.2% YoY to INR 207 crore, maintaining a margin of 4.5% despite seasonal QoQ flatness.
India security crossed INR 2,000 crore quarterly revenue milestone, up 37.3% YoY, with stable margins at 5.1%.
International security delivered its highest-ever quarterly revenue run rate of INR 1,982 crore, up 31% YoY (7% constant currency).
Labour Code implementation is a significant tailwind, with new employer definition expected to shift market share to compliant players like SIS.
Board approved fifth buyback (INR 106 crore) via open market route, with cumulative capital returns exceeding INR 700 crore.
ROCE improved to 16.7% and ROE to 15.8%, up from 11.8% and 9.4% respectively two years ago.
Facility management margins normalized at 5.5%, with a clear path to 6% aspiration.
Strong free cash flow generation and consistent capital return track record (5 buybacks, 4 dividends).

Negative

EBITDA was flat QoQ at INR 207 crore, reflecting seasonal weakness in international security (Q4 high-margin events fade).
DSO increased by 3 days to 66 days, though management attributes this to typical Q1 seasonality.
Minimum wage hikes in several states (20-47%) may cause temporary timing mismatches in passing through costs to clients, impacting short-term cash flows.
International security EBITDA margin declined to 3.5% from Q4, though this is in line with historical seasonal patterns.
The IPO of cash business IQ is delayed due to market conditions and peer de-rating, limiting potential value unlocking.
Labour Code benefits are expected to materialize over 3-4 quarters, with Q1 impact minimal, creating uncertainty in near-term margin expansion.
Potential for higher wage inflation in Australia (4.75% minimum wage hike) may pressure margins until contract repricing is fully realized.
Management could not provide specific contract-level details (e.g., metro services), indicating limited transparency on large client exposure.

Refinitiv StreetEvents Event Transcript
E D I T E D V E R S I O N

SISI.NS - SIS Ltd
Q1 2027 SIS Ltd Earnings Call
Aug 06, 2026 / 08:30AM GMT

=====================
Presentation
--------------------------------------------------------------------------------
Unidentified_1 [1]
--------------------------------------------------------------------------------
Ladies and Gentlemen, Good day and welcome to SIS Limited Q1 FY27 Earnings Call.

As a reminder, all participant lines will be in the listen-only mode and there will be an opportunity for you to ask questions after the presentation concludes.

Should you need assistance during this conference call, please signal an operator by pressing then 0 on a touchstone 4.

I now hand the conference over to Mr. Manish Toshniwal, President, M&A and Investor Relations from SIFT Limited.

Thank you and over to you sir.

--------------------------------------------------------------------------------
Unidentified_2 [2]
--------------------------------------------------------------------------------
Thank you.

Already have an account? Log in

Get the full story

Subscribe Now

	Access to All Earning Calls and Stock Analysis
	30-Year Financial on one screen
	All-in-one Stock Screener with unlimited filters
	Customizable Stock Dashboard
	Real Time Insider Trading Transactions
	8,000+ Institutional investors’ 13F holdings
	Powerful Excel Add-in and Google sheets Add-on
	All data downloadable
	Quick customer support
	And much more...

7-Day Free Trial · Cancel Anytime

Subscription fee may be tax deductible.

Excellent

4.6 out of 5

Trustpilot

Research Tools

All-In-One Screener Stock Ideas Stock List Guru List Guru Real-Time Picks Insider List Insider Trades Economic Indicators Sector & Industry Performance DCF Calculator Calculators Discussion Board

Product

Pricing Plans Excel Add-In Google Sheets Add-on Data API Stock Comparison Table Manual of Stocks Instant Alerts Mobile App Newsletters Signup 中文

Education

Financial Glossary Tutorials FAQ Buffett Indicator Shiller P/E Yield Curve Today U.S. Inflation Rate Global Market Valuation Fed Net Liquidity Buffett Assets Allocation

Company

About GuruFocus Career Contact Us Advertise Term of Use Privacy Policy Referral Program Partner Program

Survey

We'd love to learn more about your experiences on GuruFocus.com and how we can improve!

Take Survey

Disclaimers

GuruFocus.com is not operated by a broker or a dealer. Under no circumstances does any information posted on GuruFocus.com represent a recommendation to buy or sell a security. The information on this site, and in its related newsletters, is not intended to be, nor does it constitute investment advice or recommendations. The individuals or entities selected as "gurus" may buy and sell securities before and after any particular article and report and information herein is published, with respect to the securities discussed in any article and report posted herein. Gurus may be added or dropped from the GuruFocus site at any time. In no event shall GuruFocus.com be liable to any member, guest or third party for any damages of any kind arising out of the use of any content or other material published or available on GuruFocus.com, or relating to the use of, or inability to use, GuruFocus.com or any content, including, without limitation, any investment losses, lost profits, lost opportunity, special, incidental, indirect, consequential or punitive damages. Past performance is a poor indicator of future performance. The information on this site, and in its related newsletters, is not intended to be, nor does it constitute investment advice or recommendations. The information on this site is in no way guaranteed for completeness, accuracy or in any other way. The gurus listed in this website are not affiliated with GuruFocus.com, LLC. Stock quotes are provided by QuoteMedia, Inc. (CSI). Company fundamental data is provided by Morningstar. Analyst estimates data is sourced from both Refinitiv and Morningstar, with priority given to Refinitiv data. Data is updated daily.