63 Moons Tech. Q1 FY27 Results (NSE: 63MOONS)
Signal: Slipped to loss
The read
The revenue recovery is not yet an earnings recovery: consolidated revenue reached ₹13,716.55 lakh, +350.5% YoY, but both segments remained loss-making, EBITDA was -₹3,682 lakh, and PAT was -₹3,968.19 lakh; the standalone group's ₹3,501.08 lakh other income and ₹1,500 lakh subsidiary write-off also make parent earnings poor quality.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹137.17 Cr | 350.5% | 2.6% |
| EBIT | ₹-45.96 Cr | N/A | |
| Net profit | ₹-39.68 Cr | N/A | |
| EPS | ₹-8.61 | N/A | |
| EBIT margin | -26.8% |
P&L walk
Revenue rose to ₹13,716.55 lakh, +350.5% YoY and +2.6% QoQ, but newly reported cost of goods sold of ₹8,313.85 lakh drove gross margin to 39.4%; EBITDA was -₹3,682 lakh at -26.8%, EBIT was -₹4,596 lakh, and PAT was -₹3,968.19 lakh versus ₹301.01 lakh profit last year.
Segments
Software services / IT Solutions was the relative driver, with revenue of ₹12,817.17 lakh, +353.5% YoY, and its loss narrowing to ₹502.59 lakh from ₹2,113.15 lakh; Others remained the main drag with a ₹3,010.58 lakh loss.
Key positives
- Consolidated revenue increased 350.5% YoY to ₹13,716.55 lakh, led by Software services / IT Solutions revenue growth of 353.5% to ₹12,817.17 lakh.
- Software services / IT Solutions narrowed its segment loss to ₹502.59 lakh from ₹2,113.15 lakh YoY, an improvement of ₹1,610.56 lakh.
- Standalone operating revenue grew 40.7% YoY to ₹3,611.90 lakh and standalone EBITDA remained positive at ₹2,264 lakh.
Key concerns
- Consolidated EBITDA remained negative at -₹3,682 lakh and margin was -26.8% despite 350.5% YoY revenue growth.
- Others generated a ₹3,010.58 lakh segment loss, making it the principal consolidated drag.
- Standalone EBITDA declined 21.2% YoY to ₹2,264 lakh while revenue rose 40.7%, compressing EBITDA margin to 62.7% from 111.9%.
- Consolidated gross margin was 39.4% after cost of goods sold of ₹8,313.85 lakh, versus nil cost of goods sold in the year-ago quarter; the filing does not disclose the reason.
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