New Delhi, July 10 -- India's electronic manufacturing services (EMS) sector is likely to post 21 per cent year-on-year revenue growth in the first quarter of FY27, driven by healthy demand across consumer and industrial segments, according to a Kotak Institutional Equities report.

The report said margins are expected to remain under pressure due to higher raw material costs and changes in product mix.

It said the sector's outlook remains positive, supported by rising electronics manufacturing activity and expected policy measures, including the proposed Mobile PLI 2.0 and ISM 2.0 schemes. However, the report noted that the benefits would depend on the final design and implementation of these schemes

."We expect a steady 1QFY27 for our...