Kaynes Technology Share: When Will Its Semiconductor Business Start Adding Revenue?

Kaynes Technology India Ltd's share price closed at Rs 3,520 per share, down by 2.39 percent from its previous close, marking a negative return of 51 percent over the last year. The company is expanding its EMS business into semiconductors, with a target revenue of up to Rs 500 crore from OSAT and PCB in FY27. The Union Cabinet approved Kaynes Semicon's semiconductor unit at Sanand, Gujarat, with a planned investment of Rs 3,300 crore. The facility has a capacity of 60 lakh chips per day and is designed for OSAT, focusing on assembly, packaging, and testing of semiconductor chips. Kaynes Technology's Sanand OSAT project involves a total investment of Rs 3,307 crore, with the government providing 50 percent fiscal support under the India Semiconductor Mission. The project has access to government support equivalent to around 70 percent of eligible capital expenditure. Kaynes' FY26 annual report puts the eligible capex for subsidy purposes at around Rs 2,165 crore, with 50 percent central and 20 percent state support. The company aims for its OSAT business to contribute around 30 percent of group revenue over 4 to 5 years. The semiconductor project has moved beyond the construction stage, with the Sanand facility commercialised in March 2026. Kaynes Technology initially targeted Q4 FY26 for revenue generation from its OSAT and HDI PCB businesses. The company has secured anchor customers, including CareEdge, which expects full-fledged operations from Q4 FY26. The milestone is important because semiconductor revenue typically ramps up gradually as customers complete qualification, product validation and volume approvals.