JTL Defence H1FY27 Results (BSE: 537254)
Signal: Steady quarter
The read
The business has moved from near-zero activity to ₹4,095.63 lakh of H1 revenue, +1044.4% YoY, but the trajectory is not yet earnings-proven: raw materials consumed 80.29% of sales, EBITDA margin was only 2.17%, and ₹481.12 lakh of depreciation drove reported PAT to -₹530.29 lakh despite adjusted PAT of ₹25.53 lakh excluding revaluation depreciation.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹40.96 Cr | +1044.4% | N/A |
| EBIT | ₹-0.12 Cr | N/A | |
| Net profit | ₹-5.3 Cr | N/A | |
| EPS | ₹-5.04 | N/A | |
| EBIT margin | 2.17% |
P&L walk
H1 revenue was ₹4,095.63 lakh, +1044.4% YoY, but raw materials absorbed 80.29% of revenue and EBITDA was only ₹88.70 lakh, leaving reported PAT at -₹530.29 lakh after ₹481.12 lakh of depreciation.
Key positives
- H1 revenue recovered to ₹4,095.63 lakh, +1044.4% YoY, from ₹357.83 lakh as operations resumed after the CIRP disruption.
- Management reported adjusted H1 PAT of ₹25.53 lakh after excluding ₹555.81 lakh of additional depreciation attributable to the revalued asset base.
- CWIP increased to ₹958.31 lakh from ₹440.48 lakh, indicating ongoing investment in the operating asset base.
Key concerns
- Reported H1 PAT was -₹530.29 lakh despite ₹4,095.63 lakh of revenue, showing that the revenue recovery has not yet translated into statutory profitability.
- Raw material consumption was ₹3,288.49 lakh, or 80.29% of revenue, while EBITDA margin was only 2.17%.
- Receivables rose 18.1% to ₹2,394.51 lakh and inventory rose 10.0% to ₹3,701.95 lakh from March 2026, while net debt increased by ₹591.06 lakh.
- Additional revaluation-related depreciation of ₹555.81 lakh materially distorts reported earnings and makes adjusted versus statutory profit an important monitoring item.
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