Asian Granito Q2 FY27 Results (NSE: ASIANTILES)
Signal: Margin pressure
The read
Top-line momentum remained intact at ₹52,850.40 lakh, up 18.8% YoY and broadly flat QoQ, but profitability sharply inflected down as power and fuel costs rose 53.3% YoY: EBITDA margin contracted 545bps to 5.25% and PAT fell 75.4% to ₹521.50 lakh. Management calls this a near-term pass-through challenge, making the next evidence point recovery in margin rather than further revenue growth.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹528.5 Cr | 18.8% | -0.5% |
| Net profit | ₹5.22 Cr | -75.4% | |
| EBIT margin | 5.25% |
P&L walk
Revenue reached ₹52,850.40 lakh, up 18.8% YoY but down 0.5% QoQ, while EBITDA fell 41.7% YoY to ₹2,774.72 lakh and margin contracted 545bps to 5.25% as power and fuel costs rose 53.3%; PAT fell 75.4% to ₹521.50 lakh.
Key positives
- Revenue grew 18.8% YoY to ₹52,850.40 lakh despite a 0.5% QoQ decline, with growth led by the domestic business.
- H1 FY27 revenue reached ₹1,059.45 crore, up 23.5% YoY, while own-production tile sales grew over 30% YoY in Q2 FY27.
- The company stated that its bathware business continues to scale and that it is deepening its own manufacturing base.
Key concerns
- Power and fuel costs rose 53.3% YoY and 50.0% QoQ to ₹106.96 crore, compressing EBITDA margin from 10.70% to 5.25%.
- EBITDA fell 41.7% YoY to ₹2,774.72 lakh despite 18.8% revenue growth, indicating that the cost increase was not passed through in Q2 FY27.
- PAT dropped 75.4% YoY to ₹521.50 lakh, while H1 FY27 PAT declined to ₹13.29 crore from ₹32.45 crore despite 23.5% H1 revenue growth.
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