Cords Cable Q1 FY27 Results (NSE: CORDSCABLE)
Signal: Growth decelerated
The read
The operating trajectory improved, with revenue at ₹247.2 Cr (+9.5% YoY), EBITDA at ₹19.17 Cr (+33.7%) and EBIT at ₹17.09 Cr (+44.1%), but the dominant thesis risk is gross-margin compression to 14.7% from approximately 58.3% as material cost reached 101.9% of revenue; the 101.6% PAT growth to ₹7.8 Cr is also quality-sensitive because other income of ₹4.09 Cr was 38.8% of PBT.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹247.2 Cr | 9.5% | N/A |
| EBIT | ₹17.09 Cr | 44.1% | |
| Net profit | ₹7.8 Cr | 101.6% | |
| EPS | ₹6.01 | 102.4% | |
| EBIT margin | 7.8% |
P&L walk
Revenue grew 9.5% YoY to ₹247.2 Cr and EBITDA grew 33.7% to ₹19.17 Cr, but the gross-margin profile weakened sharply on a much higher material-cost ratio; PAT growth to ₹7.8 Cr was amplified by other income of ₹4.09 Cr.
Key positives
- Revenue of ₹247.2 Cr grew 9.5% YoY, maintaining positive top-line momentum.
- EBITDA rose 33.7% YoY to ₹19.17 Cr, materially faster than revenue growth of 9.5%.
- EBIT increased 44.1% YoY to ₹17.09 Cr, while finance costs declined 1.0% YoY to ₹653.75 lakh.
- EPS of ₹6.01 grew 102.4% YoY and tracked PAT growth of 101.6%, indicating no material per-share dilution.
Key concerns
- Gross margin compressed to 14.7% from approximately 58.3% YoY, while raw-material cost rose to 101.9% of revenue from 47.5%; the filing does not disclose the driver.
- Revenue grew 9.5% YoY while the material-cost ratio increased sharply, indicating that the company absorbed a substantial cost burden rather than demonstrating clear pricing power.
- Other income of ₹4.09 Cr represented 38.8% of PBT, making the 101.6% PAT growth to ₹7.8 Cr less representative of recurring operating earnings.
Earnings quality: includes non-operating other income
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