Gallantt Ispat L Q1 FY27 Earnings Call — Analysis (NSE: GALLANTT)
Gallantt Ispat Q1 FY27 EBITDA margin holds stable sequentially at 18% despite seasonal steel price correction and pellet plant shutdown; capacity expansion on track for H2 commissioning.
The take
Q1FY27 Revenue ₹1,146 Cr ( +2% YoY ) .
Results
Revenue ₹1,146 Cr (+2% YoY); EBITDA ₹203 Cr (margin 18%); PAT ₹124 Cr (margin 11%) — YoY profitability down on higher input costs but QoQ stable.
Financial highlights
| Metric | Value | Change | Basis |
|---|---|---|---|
| Revenue | ₹1,146 Cr | +2% | yoy · Q1FY27 · Q1FY26 ₹1,128 Cr |
| EBITDA | ₹203 Cr | sequential · Q1FY27 · Q4FY26 ₹209 Cr | |
| EBITDA Margin | 18% | sequential · Q1FY27 · Q4FY26 17.3% | |
| PAT | ₹124 Cr | sequential · Q1FY27 · Q4FY26 ₹123 Cr | |
| PAT Margin | 11% | sequential · Q1FY27 · Q4FY26 10% | |
| EBITDA per tonne | ₹8,787 | sequential · Q1FY27 · Q4FY26 ₹8,882 | |
| Capex | ₹137 Cr | point_in_time · Q1FY27 · Q1FY27 spend | |
| Net Debt | Net debt-free | point_in_time · Q1FY27 · As of Jun-26 |
Guidance
Capacity expansion to 1.23 million tonnes on track for H2 FY27 commissioning; captive iron ore mines targeted FY28 operational; no term debt for ongoing capex.
Key themes
Integrated model resilience amid seasonal softening
Operational commentary
- Capacity expansion from 1mt to 1.23mt on track for H2 FY27 commissioning.
- Planned pellet plant maintenance shutdown completed; impacted Q1 costs but resumption normalises input mix.
- Captive iron ore mines (two in UP, one in Rajasthan) under exploration, targeted FY28 operational.
- Renewable energy: 18MW solar at Gujarat commissioning Q2 FY27; 60MW solar at Gorakhpur Q4 FY27.
- TMT sales volume ~192k tonnes flat YoY, down 8% QoQ; billet volumes up 13% YoY, 38% QoQ.
- Gorakhpur rolling mill utilisation at 93%, Kutch at 66% — raising Kutch utilisation a focus for Q2.
- Branding initiatives continued with celebrity endorsements (Ajay Devgn, Janhvi Kapoor).
- Net debt-free; capex funded entirely through internal accruals; no term loans.
Analyst Q&A
Q. What is the capex plan for FY27 and beyond, and how is it funded? What initiatives are strengthening market position in UP and adjacent markets?
Research and educational content only. Not investment advice.