Emerald Leisures Q1 FY27 Results (BSE: 507265)
Signal: Loss widened
The read
The trajectory has inflected negatively after five consecutive quarters of reported OPM expansion: EBITDA margin fell to 35.3% from 63.9% in Q4FY26, revenue declined 4.7% YoY to ₹345.65 lakh, and finance cost of ₹339.59 lakh still overwhelmed EBIT of ₹0.8 Cr, leaving PAT loss at ₹259.34 lakh.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹3.46 Cr | -4.7% | -33.3% |
| EBIT | ₹0.8 Cr | -11.1% | |
| Net profit | ₹-2.59 Cr | -2.8% | |
| EPS | ₹-1.73 | -3.0% | |
| EBIT margin | 35.3% |
P&L walk
Revenue declined 4.7% YoY to ₹345.65 lakh and EBITDA fell 9.6% YoY to ₹1.22 Cr, while finance cost remained ₹339.59 lakh and drove a PAT loss of ₹259.34 lakh; the sequential margin peak has sharply reversed.
Segments
Hospitality remained the only revenue-generating segment at ₹345.65 lakh, down 4.9% YoY, while its result fell 3.6% to ₹90.65 lakh; Real Estate generated no revenue and moved to a ₹3.76 lakh loss, modestly dragging the group.
Key positives
- Hospitality remained profitable at ₹90.65 lakh segment result despite revenue declining 4.9% YoY.
- Other income increased to ₹32.09 lakh from ₹4.78 lakh YoY, although it did not alter the loss outcome and earnings quality was classified clean.
- Consolidated and standalone PAT were closely aligned at losses of ₹259.34 lakh and ₹258.17 lakh, limiting evidence of subsidiary-related earnings leakage.
Key concerns
- Finance cost of ₹339.59 lakh was approximately four times EBIT of ₹0.8 Cr, keeping the company structurally loss-making despite positive operating profit.
- Revenue declined 4.7% YoY while employee and other expenses rose 14.7% to ₹195.71 lakh, indicating worsening cost intensity.
- EBITDA margin fell 51bps YoY to 35.3% and 2,860bps QoQ from 63.9%, ending the recent margin expansion arc.
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