Pervasive Comm. Q1 FY27 Results (BSE: 517172)
Signal: Revenue declined
The read
The Q1FY27 result reverses the Q4FY26 spike: revenue fell 98.5% sequentially to ₹49.30 lakh and PAT fell 99.9% to ₹1.10 lakh, while gross margin compressed 3428bps YoY to 31.0%; the reported profit is low quality because ₹7.67 lakh of other income exceeded the operating contribution.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹0.49 Cr | -86.5% | -98.5% |
| Net profit | ₹0.01 Cr | -88.8% | |
| EPS | ₹0 | 0.0% |
P&L walk
Standalone revenue declined to ₹49.30 lakh (-86.5% YoY, -98.5% QoQ), while gross margin fell to 31.0% from 65.3% YoY and 98.1% in Q4FY26; PAT of ₹1.10 lakh was supported by ₹7.67 lakh of other income despite a negative operating result.
Key positives
- Finance cost declined 9.0% YoY to ₹0.71 lakh, limiting balance-sheet drag despite the revenue contraction.
- Reported PAT remained positive at ₹1.10 lakh despite revenue declining 86.5% YoY.
Key concerns
- Revenue fell 86.5% YoY and 98.5% QoQ to ₹49.30 lakh, reversing the ₹3,282.66 lakh Q4FY26 level.
- Gross margin compressed 3428bps YoY to 31.0% as implied stock-in-trade cost reached 69.0% of revenue versus 34.7% a year earlier; the filing does not disclose the cause.
- Employee plus operating expenses increased 124.7% YoY to ₹20.76 lakh while revenue fell 86.5%, sharply worsening cost intensity.
- The auditor noted ₹1,967.42 lakh of loans and advances without external balance confirmations or supporting reconciliations, creating uncertainty over completeness and recoverability.
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