Naperol Invest. Q1 FY27 Results (BSE: 500298)
Signal: Earnings grew
The read
A quarter of volatile swings: revenue surged YoY on a low base but collapsed QoQ, EBITDA margin contracted, and PAT is largely propped by other income. The glaring story is the ₹315 Cr OCI loss from fair value changes, which slashes equity by a third — an existential risk for an investment company. Management transitions (CFO and CS resignations) add governance noise.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹9.45 Cr | 192.6% | -64.6% |
| EBIT | ₹0.24 Cr | 140.0% | |
| Net profit | ₹0.18 Cr | 125.0% | |
| EPS | ₹0.32 | 146.2% | |
| EBIT margin | 2.6% |
P&L walk
Revenue jumped 193% YoY from a low base but fell 65% sequentially; EBITDA margin contracted to 2.6% from ~3.4% a year ago; PAT growth of 125% driven largely by other income (29% of PBT) rather than operating leverage; OCI loss of ₹315 Cr dwarfs P&L profit.
Segments
Investment segment contributed external revenue of ₹13.08 Cr (after intersegment elimination) and a PBIT of ₹0.25 Cr; Trading segment PBIT ₹0.43 Cr on revenue ₹0.43 Cr; both segments are marginal profit contributors, but the consolidated PBT relies on unallocable income. The massive OCI loss suggests the investment portfolio (primarily equity securities) was marked down significantly.
Key positives
- Revenue grew 192.6% YoY to ₹9.45 Cr from a low base of ₹3.23 Cr.
- PAT increased 125% YoY to ₹0.18 Cr; EPS rose 146% to ₹0.32.
Key concerns
- Revenue declined 64.6% sequentially, indicating high quarter-to-quarter volatility.
- EBITDA margin thin at 2.6%, contracting 81bps YoY.
- Other income formed 29.2% of PBT, masking weak operating earnings.
- OCI loss of ₹315 Cr from fair value changes reduces equity significantly — risk of further marks if market falls.
- Key management resignations (CFO and CS) create near-term execution uncertainty.
Earnings quality: includes non-operating other income
Research and educational content only. Not investment advice.