Affle 3i Q1 FY27 Results (NSE: AFFLE)
Signal: Steady quarter
The read
Q1FY27 marks a modest operating-margin re-expansion after Q4FY26's flat margin: consolidated revenue grew 20.4% YoY to ₹7,471.64 million, EBITDA grew 22.8% to ₹1,926.65 million and EBITDA margin rose 50bps to 25.79%; however, inventory and data costs rose 24.9%, so the improvement came primarily from cost discipline in employee and other expenses rather than clear variable-cost tailwinds.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹747.16 Cr | +20.4% | +3.1% |
| EBIT | ₹158.46 Cr | +20.9% | |
| Net profit | ₹128.44 Cr | +21.7% | |
| EPS | ₹9.13 | +21.4% | |
| EBIT margin | 21.20% |
P&L walk
Revenue rose 20.4% YoY to ₹7,471.64 million, EBITDA grew 22.8% to ₹1,926.65 million and EBITDA margin expanded 50bps to 25.79%; lower finance costs and higher other income supported PAT growth of 21.7% to ₹1,284.39 million.
Segments
The filing reports no separate business segment, but the standalone-versus-consolidated gap is material: subsidiaries contributed ₹4,895.17 million of reviewed revenue and ₹470.04 million of net profit, while consolidated PAT of ₹1,284.39 million was over three times standalone PAT of ₹408.38 million.
Key positives
- Consolidated revenue grew 20.4% YoY to ₹7,471.64 million, broadly maintaining the company's recent 19-20% growth trajectory.
- EBITDA grew 22.8% YoY to ₹1,926.65 million versus revenue growth of 20.4%, and EBITDA margin expanded 50bps to 25.79%.
- Employee benefits expense rose only 7.8% YoY to ₹656.40 million and other expenses declined 1.0% YoY to ₹416.85 million, supporting margin expansion.
- Consolidated basic EPS increased 21.4% YoY to ₹9.13, closely tracking PAT growth of 21.7% to ₹1,284.39 million.
- Finance costs fell 63.2% YoY to ₹6.72 million, reducing pressure below the operating line.
Key concerns
- Inventory and data costs increased 24.9% YoY to ₹4,722.15 million, faster than revenue growth of 20.4%, indicating no evident variable-cost benefit.
- Other income rose 45.9% YoY to ₹250.41 million and represented approximately 15.9% of profit before tax of ₹1,577.87 million, making non-operating income a meaningful contributor.
- The group remains dependent on subsidiaries: consolidated PAT of ₹1,284.39 million was over three times standalone PAT of ₹408.38 million.
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