Automotive Stamp Q1 FY27 Results (NSE: ASAL)
Signal: Steady quarter
The read
Q1FY27 revenue grew 45% YoY to ₹25,132 Lakh (₹251 Cr), but margin slipped slightly (EBITDA margin 5.84% vs 6.52% YoY) as input cost and other expenses rose faster; PAT surged 85% aided by a deferred tax credit. Strong top-line trajectory but margin pressure persists.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹251.32 Cr | 45.22% | -1.65% |
| EBIT | ₹9.82 Cr | 59.3% | |
| Net profit | ₹4.69 Cr | 84.6% | |
| EPS | ₹2.95 | 84.4% | |
| EBIT margin | 3.91% |
P&L walk
Revenue grew strongly YoY but margins faced headwinds from higher raw material costs and other expenses; PAT benefited from deferred tax credit.
Key positives
- Revenue grew 45.2% YoY to ₹25,132 Lakh, driven by strong demand.
- PAT more than doubled (up 84.6% YoY) to ₹469 Lakh, supported by operating improvement and deferred tax credit.
- Employee cost ratio improved to 5.87% of revenue from 6.32% YoY, reflecting fixed cost leverage.
- EBIT margin expanded 35bps YoY to 3.91%, aided by lower depreciation and finance costs.
Key concerns
- Gross margin contracted 95bps YoY to 27.18% as raw material cost % of revenue increased to 72.8% from 71.9%.
- Other expenses grew 53.5% YoY, outpacing revenue growth and pressuring margins.
- QoQ revenue declined 1.7% and net profit fell 64.7% due to normalizing Q4 base and reversal of deferred tax credit.
- Debt-equity ratio of 3.44x remains elevated, indicating high financial leverage.
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