Digilogic Systems Limited is an India-based electronics manufacturing services (EMS) company engaged in designing and manufacturing electronic modules and systems. The company earns revenue through end-to-end product development, manufacturing, testing, and supply of electronic solutions. Its products are used across automotive electronics, industrial automation, defence, medical devices, and IoT applications, catering to OEMs requiring customised and high-reliability electronic systems .

Key Clients and Manufacturing Facilities
The company serves reputed clients across automotive, defence, industrial, and healthcare segments, including domestic OEMs and technology-driven enterprises. Digilogic operates its manufacturing facility located in Kochi, Kerala, equipped with Surface Mount Technology (SMT) lines, testing infrastructure, and quality control systems. These facilities support high-mix, low-to-medium volume production, ensuring precision, reliability, and compliance with customer specifications .

Product Portfolio, Order Book, and Execution
Digilogic’s product portfolio includes embedded electronic modules, power electronics, control units, and communication boards. These products typically lie in the growth and maturity stages of client product life cycles, ensuring recurring demand. The company maintains a segment-wise order book with execution spread across automotive, industrial, and defence verticals. Strong in-house engineering enables timely execution and efficient order fulfilment .

Mergers, Capex, and Expansion Plans
The company has undertaken strategic restructuring and consolidation to streamline operations and improve scalability. Proceeds from the IPO are proposed to be utilised for capital expenditure, working capital requirements, and capacity expansion, including upgrading manufacturing lines and strengthening R&D infrastructure. These initiatives aim to support higher order inflows, improved margins, and long-term growth execution .

Employees and Banker Details
December 31, 2025, the company had 102 employees. The Banker to the Company is Axis Bank Limited.

Management and Vision

The management team comprises experienced professionals with strong backgrounds in electronics design, manufacturing, and operations. Their near-term vision focuses on scaling revenues through higher order intake, improving operational efficiencies, and expanding client relationships. Long-term targets include becoming a preferred EMS partner in high-reliability electronics segments. Funding for capex and expansion will be arranged through IPO proceeds, internal accruals, and prudent debt utilisation, ensuring a balanced capital structure .

Industry Overview

Digilogic operates in the Indian Electronics Manufacturing Services (EMS) industry, which is supported by government initiatives like Make in India and PLI schemes. The Indian EMS market is estimated at USD 30–35 billion, growing at a CAGR of 20–25%. Globally, the EMS industry exceeds USD 500 billion, growing at 5–7% annually. Key growth drivers include EVs, industrial automation, medical electronics, and defence electronics, with global leaders including Foxconn and Jabil .

Key Risk Factors

1. Client Concentration Risk
   A significant portion of revenue is derived from a limited number of clients. Loss of any major customer could adversely impact revenues, margins, and overall financial performance.
2. Technology Obsolescence Risk
   Rapid changes in electronic technologies may require continuous investments in R&D. Failure to upgrade capabilities could reduce competitiveness and order inflows.
3. Raw Material Price Volatility
   Fluctuations in semiconductor and electronic component prices may affect cost structures and profitability if not passed on to customers.
4. Execution and Capacity Risk
   Delays in capacity expansion or execution challenges may impact timely order fulfilment and customer satisfaction.
5. Regulatory and Compliance Risk
   The company operates in regulated sectors like defence and medical electronics, where non-compliance could result in penalties or order cancellations.

Key Strengths, Moat, and Opportunities

1. End-to-End EMS Capability
   Digilogic offers complete solutions from design to manufacturing, creating a strong entry barrier and long-term client stickiness.
2. Diversified End-Use Segments
   Presence across automotive, industrial, defence, and healthcare reduces dependence on any single sector.
3. Strong Engineering and R&D Team
   In-house design and testing capabilities enhance product reliability and support customised solutions.
4. Scalable Manufacturing Infrastructure
   Modern SMT lines and testing facilities support efficient execution of complex and high-value orders.
5. Favourable Industry Tailwinds
   Government incentives and rising demand for domestic electronics manufacturing present strong growth opportunities.
6. Long-Term Client Relationships
   Repeat orders and long-standing client relationships provide revenue visibility and stability.