Avalon Tech Q1 FY27 Results (NSE: AVALON)
Signal: Growth reaccelerated
The read
The growth trajectory remains strong, with Q1FY27 revenue of ₹484.41 Cr up 49.8% YoY and order book up 23.4% YoY, while the press-release EBITDA margin improved to 12.0% from 9.2% despite the XBRL reporting ₹60.78 Cr EBITDA and 12.5%; however, PAT declined 15.3% QoQ to ₹34.87 Cr and standalone earnings contain a non-operating other-income component equal to 24.6% of PBT.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹484.41 Cr | 49.8% | 0.9% |
| EBIT | ₹52.2 Cr | N/A | |
| Net profit | ₹34.87 Cr | 145.3% | |
| EPS | ₹5.22 | N/A | |
| EBIT margin | 12.5% |
P&L walk
Consolidated revenue of ₹484.41 Cr grew 49.8% YoY and 0.9% QoQ, while authoritative XBRL EBITDA was ₹60.78 Cr and PAT was ₹34.87 Cr, up 145.3% YoY but down 15.3% QoQ; the filing's press-release EBITDA of ₹58.0 Cr differs from the XBRL figure.
Segments
No segment results table was disclosed, but the standalone-versus-consolidated gap is material: consolidated PAT of ₹34.87 Cr exceeded standalone PAT of ₹20.15 Cr by ₹14.72 Cr, indicating meaningful subsidiary contribution.
Key positives
- Revenue reached ₹484.41 Cr, growing 49.8% YoY and 0.9% QoQ, extending the recent high-growth trajectory.
- Order book increased 23.4% YoY, providing support for continued demand visibility.
- Press-release EBITDA margin expanded to 12.0% from 9.2% YoY, a 272 bps improvement, while authoritative XBRL EBITDA was ₹60.78 Cr.
- Net working capital days improved from 142 days to 117 days YoY, a 25-day improvement despite 49.8% revenue growth.
- Chennai brownfield expansion for domestic demand became operational and EN 15085-2 certification was secured for railway welding applications.
Key concerns
- PAT declined 15.3% QoQ to ₹34.87 Cr despite revenue growth of 0.9% QoQ, indicating sequential earnings pressure below the revenue line.
- Standalone PAT of ₹20.15 Cr was supported by other income of ₹6.56 Cr, which represented 24.6% of standalone PBT.
- The press release reports EBITDA of ₹58.0 Cr and a 12.0% margin, while authoritative XBRL reports EBITDA of ₹60.78 Cr and a 12.5% margin; this reporting discrepancy requires reconciliation.
Research and educational content only. Not investment advice.