Synopsis : India's Electronics Manufacturing Services (EMS) industry is entering a decade-long growth phase as global supply chains shift toward India. Companies such as Syrma SGS, Aimtron Electronics, Amber Enterprises, Avalon Technologies and Kaynes Technology are expanding capacity, strengthening design capabilities and targeting high-growth sectors including EVs, defence, aerospace and semiconductors.
For years, India largely remained a consumer of electronics rather than a manufacturing hub. Smartphones, automotive electronics, printed circuit boards and several other electronic components were designed and assembled overseas before reaching Indian consumers.
That trend is now changing rapidly.
India's Electronics Manufacturing Services (EMS) industry has become one of the biggest beneficiaries of government incentives, global supply chain diversification and rising domestic demand. EMS companies manufacture electronic components, printed circuit boards (PCBAs), modules and complete products for leading brands across multiple industries.
As demand continues to outpace manufacturing capacity, several Indian EMS companies are investing aggressively to expand production facilities, improve technology capabilities and move higher up the value chain.
Here are five EMS companies that appear well-positioned to benefit from this long-term opportunity.
Syrma SGS Technology
Syrma SGS Technology has emerged as one of India's leading EMS companies with manufacturing facilities spread across Haryana, Himachal Pradesh, Maharashtra, Tamil Nadu and Karnataka, along with research centres in India and Germany.
The company manufactures printed circuit board assemblies, RFID products, magnetic components, memory modules, power supplies, fibre optic assemblies and other specialised electronic products.
Its transformation accelerated after the merger with SGS Tekniks in 2021, significantly expanding both manufacturing capacity and customer reach.
Unlike many competitors focused primarily on mobile phone assembly, Syrma has concentrated on higher-value segments such as automotive electronics, industrial equipment, healthcare, aerospace and defence.
Over the past five years, the company has delivered strong financial growth, with revenue growing at approximately 57% CAGR and net profit increasing around 33% CAGR.
Going forward, Syrma continues expanding its advanced Surface Mount Technology (SMT) capabilities while strengthening its presence in high-growth sectors including electric vehicles, 5G infrastructure, defence electronics and medical devices.
Its strategy of focusing on complex PCB assemblies and vertically integrated manufacturing provides better margin opportunities compared to traditional low-cost assembly businesses.
Aimtron Electronics
Aimtron Electronics has gradually evolved from a contract manufacturer into an Original Design Manufacturer (ODM), allowing it to participate in product design alongside manufacturing.
The company operates manufacturing facilities in Vadodara and Bengaluru and recently strengthened its global presence through the acquisition of US-based International Control Services (ICS), expanding access to American industrial and OEM customers.
The acquisition is expected to contribute annual revenue of around US$25–30 million over the longer term.
Financially, Aimtron has delivered impressive growth, with revenue increasing at nearly 82% CAGR over the past three years while maintaining healthy return ratios.
The company currently holds an order book exceeding ₹520 crore, driven by demand across artificial intelligence, electric vehicles, defence, telecom, railways, industrial automation and medical devices.
Management expects future growth to be supported through backward integration, expansion of SMT and cable assembly capacity and increasing international business.
The company has also guided for revenue growth of 40–50% CAGR over the next three to five years.
Amber Enterprises
Amber Enterprises has transformed itself from a room air-conditioner component manufacturer into a diversified engineering and electronics manufacturing company.
Today, its operations span three major segments:
- Consumer durables
- Electronics manufacturing
- Railway systems and defence
While consumer durables remain its largest revenue contributor, the electronics division has become an increasingly important growth engine.
Amber now manufactures PCB assemblies, bare PCBs and electronics for automotive, industrial, telecom and consumer electronics applications.
Strategic acquisitions including Unitronics and Power-One Microsystems have strengthened the company's industrial automation and power electronics capabilities.
Over the last five years, Amber has recorded revenue growth of around 20% CAGR, while continuing to expand its electronics manufacturing business.
Management expects the electronics division alone to generate nearly US$1 billion in revenue over the next three years as PCB manufacturing capacity expands and new partnerships become operational.
The company also benefits from India's growing air-conditioner penetration and increasing localisation of component manufacturing.
Avalon Technologies
Avalon Technologies focuses on complex, high-mix, low-volume manufacturing rather than mass-market consumer electronics.
Its manufacturing capabilities include PCB assembly, PCB design, sheet metal fabrication, cable harnesses, machining, injection moulding and complete product integration.
The company serves industries such as:
- Power and industrial automation
- Aerospace
- Railways
- Electric vehicles
- Medical equipment
- Communications
- Clean energy
Around 57% of Avalon’s revenue comes from customers in the United States, providing significant export diversification.
Financial performance has remained healthy, with steady revenue growth and improving profitability over recent years.
The company currently holds an order book worth nearly ₹2,000 crore, expected to be executed over the next 12–14 months.
Its dual-shore manufacturing model allows customers to begin production in the United States before shifting larger-scale manufacturing to India, offering meaningful cost advantages.
Management has also maintained an optimistic growth outlook supported by strong global demand.
Kaynes Technology
Kaynes Technology has evolved beyond traditional electronics manufacturing into a full Electronics System Design and Manufacturing (ESDM) company.
Rather than simply assembling electronic products, the company participates across the entire value chain, including product design, engineering, manufacturing and lifecycle support.
Its largest revenue contributors include:
- Industrial electronics
- Electric vehicles
- Automotive electronics
The company also serves railways, aerospace, defence, IoT, healthcare and strategic electronics.
Over the past five years, Kaynes has delivered exceptional financial performance, with revenue growing at nearly 49% CAGR and net profit increasing at close to 99% CAGR.
One of its biggest long-term opportunities lies in semiconductor manufacturing.
Kaynes is investing heavily in:
- Outsourced Semiconductor Assembly and Testing (OSAT)
- High-Density Interconnect (HDI) PCB manufacturing
The company has also strengthened its capabilities through acquisitions such as Iskraemeco for smart metering and Sensonic for AI-based railway safety solutions.
Management expects revenue to reach approximately US$1 billion by FY28, with a longer-term target of US$2 billion by FY30, supported by new semiconductor and PCB manufacturing facilities.
Conclusion
India's EMS industry appears well-positioned for sustained long-term growth as global manufacturers diversify supply chains and domestic electronics production accelerates.
Each of these companies is investing aggressively to expand manufacturing capacity, improve technology capabilities and move into higher-margin segments such as semiconductors, defence electronics, EV components and industrial automation.
However, investors should remember that large capital expenditure plans also carry execution risks. Capacity expansion only creates value if supported by sustained demand, efficient execution and improving profitability.
Before investing, investors should carefully evaluate business fundamentals, order book quality, balance sheet strength, corporate governance, valuation and long-term execution capability.
Disclaimer : This article is intended solely for informational and educational purposes and should not be considered investment advice or a recommendation to buy or sell any security. Investments in equity markets are subject to market risks, business execution risks and valuation fluctuations. Readers should conduct their own research and consult a SEBI-registered investment advisor before making any investment decisions.
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