Concord Biotech Q1 FY27 Results (NSE: CONCORDBIO)
Signal: Growth reaccelerated
The read
Q1FY27 marks a decisive recovery after a challenging FY26: revenue jumped 26% YoY, PAT grew 33%, and EBIT margin expanded 170bps. Input cost tailwinds (raw material % down 230bps) and operating leverage (employee cost % down 170bps) drove the improvement. The company remains debt-free with clean earnings. This is the first quarterly print of FY27 and supports management's guidance for a strong year ahead, though historical volatility persists.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹257.49 Cr | 26.2% | -75.6% |
| EBIT | ₹77.1 Cr | 34.6% | |
| Net profit | ₹58.53 Cr | 32.8% | |
| EPS | ₹5.52 | 31.1% | |
| EBIT margin | 37% |
P&L walk
Revenue surged 26% YoY to ₹257 Cr reversing the FY26 decline, driven by volume recovery and product mix. EBITDA margin held flat at 37% as lower raw material costs (down 230bps as % of revenue) offset higher other expenses; EBIT margin expanded 170bps to 30% due to lower depreciation intensity. PAT grew 33% YoY to ₹59 Cr, aided by clean other income share (<20%). EPS tracked PAT at ₹5.52.
Key positives
- Revenue recovery: +26% YoY to ₹257 Cr, reversing FY26's 12% full-year decline.
- PAT growth: +33% YoY to ₹59 Cr, outpacing revenue on operating leverage.
- Margin improvement: EBIT margin up 170bps YoY to ~30%, driven by lower raw material and employee costs.
- Input cost tailwind: raw material cost as % of revenue down from 29.4% to 27.1% YoY.
- Debt-free balance sheet with negligible finance costs.
Key concerns
- High valuation: P/E 60x vs industry 34x, pricing in strong recovery.
- Revenue still below Q4FY26 level (₹326 Cr), though Q1 is seasonally lower.
- EBITDA margin flat YoY at 37% as other expenses grew faster (others +41% YoY).
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