Midwest Energy Q1 FY27 Results (BSE: 526570)
Signal: Loss reversed
The read
The trajectory improved operationally for a fourth consecutive quarter of margin expansion, with consolidated EBITDA margin moving from -55.9% in Q4FY26 to 19.4% and the renewable-energy segment turning profitable at ₹104.85 lakh; however, finance costs of ₹128.93 lakh exceeded EBIT of ₹27 lakh, so the business remains loss-making and the standalone ₹315.33 lakh profit is largely non-operating.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹6.24 Cr | 1173.5% | +8.3% |
| EBIT | ₹0.27 Cr | N/A | |
| Net profit | ₹-1.02 Cr | 73.0% | |
| EPS | ₹0.93 | N/A | |
| EBIT margin | 19.4% |
P&L walk
Consolidated operations improved sharply as revenue reached ₹623.95 lakh, EBITDA turned positive at ₹121 lakh and EBIT at ₹27 lakh, but finance costs of ₹128.93 lakh exceeded EBIT and kept PAT negative at ₹101.87 lakh.
Segments
Renewable energy and power storage drove the operating inflection, moving from a ₹300.99 lakh loss to a ₹104.85 lakh profit YoY, while rare-earth materials and magnets slipped from a ₹2.92 lakh profit to a ₹55.54 lakh loss and absorbed ₹27,021.58 lakh of assets.
Key positives
- Consolidated revenue reached ₹623.95 lakh, up 1173.5% YoY and 8.3% QoQ, with renewable-energy and power-storage revenue at ₹463.39 lakh.
- Consolidated EBITDA turned positive at ₹121 lakh and EBITDA margin reached 19.4%, versus a negative EBITDA base of ₹242 lakh YoY.
- Renewable energy and power storage turned around from a ₹300.99 lakh loss to a ₹104.85 lakh segment profit YoY.
Key concerns
- Finance costs rose 95.6% YoY to ₹128.93 lakh, exceeding consolidated EBIT of ₹27 lakh and keeping PAT at a ₹101.87 lakh loss.
- Raw-material consumption reached ₹443.33 lakh, or 71.1% of revenue, driving gross-margin compression to approximately 54.8% from 99.7% YoY; pricing pass-through was not disclosed.
- Rare-earth materials and magnets moved into a ₹55.54 lakh loss from a ₹2.92 lakh profit YoY despite ₹27,021.58 lakh of segment assets.
Research and educational content only. Not investment advice.