CCL Products Q1 FY26 Results (NSE: CCL)
Signal: Margin expansion
The read
Consolidated PAT surged 61.3% YoY, outpacing revenue growth of 13.7% — driven by margin expansion (120bps) from lower raw material costs and lower finance cost; standalone profits fell 28.6% due to high tax and lower other income.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹1,200.45 Cr | 13.7% | -1.9% |
| EBIT | ₹158.65 Cr | 1.9% | |
| Net profit | ₹116.88 Cr | 61.3% | |
| EPS | ₹8.77 | 60.9% | |
| EBIT margin | 9.8% |
P&L walk
Revenue growth decelerated to 13.7% YoY vs prior year 18%, margin expanded 120bps YoY to 9.8% on lower raw material cost; PAT surged 61.3% YoY on operating leverage and lower tax.
Segments
The group operates as a single segment; subsidiary profitability (Ngon Coffee, Continental Coffee SA) drives consolidated PAT far above standalone.
Key positives
- Consolidated OPM expanded 120bps YoY to 15.8% as raw material cost % of sales fell 200bps.
- PAT grew 61.3% YoY, driven by operating leverage and lower finance cost (-14.9%).
- EPS at ₹8.77, +60.9% YoY, reflecting strong bottom-line growth.
Key concerns
- Revenue growth decelerated to 13.7% YoY vs prior year 18% — possible demand slowdown.
- Standalone PAT fell 28.6% YoY due to lower other income and higher tax rate.
- Consolidated other income increased 30.9% YoY, but remains lumpy; not core.
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