Coromandel Inter Q1 FY27 Results (NSE: COROMANDEL)
Signal: Margin pressure
The read
The trajectory remains top-line positive but margin-negative: consolidated revenue grew 15.94% YoY to ₹8164.77 crore, yet EBITDA margin contracted to 9.9% and PAT fell 23.94% to ₹381.56 crore; the crop-protection acquisition is lifting group scale and profit, but nutrient profitability and operating-cost absorption remain the central inflection to watch.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹8,164.77 Cr | +15.94% | +35.99% |
| EBIT | ₹602.7 Cr | -19.12% | |
| Net profit | ₹381.56 Cr | -23.94% | |
| EPS | ₹12.93 | -24.61% | |
| EBIT margin | 9.9% |
P&L walk
Revenue increased to ₹8164.77 crore, +15.94% YoY and +35.99% QoQ, but gross margin compressed to 24.29% from 25.61% and EBITDA margin fell to 9.9% from an estimated 12.3% as employee, freight and other operating costs grew faster than revenue; PAT declined 23.94% to ₹381.56 crore.
Segments
Crop protection was the key growth and consolidation driver: revenue increased 72.56% YoY to ₹1250.76 crore and segment result rose 53.13% to ₹170.15 crore, while nutrient and allied revenue grew 9.43% and result fell 23.92% to ₹478.91 crore.
Key positives
- Consolidated revenue reached ₹8164.77 crore, +15.94% YoY, with crop-protection revenue up 72.56% to ₹1250.76 crore.
- Crop-protection segment result increased 53.13% YoY to ₹170.15 crore, materially strengthening the consolidated contribution versus standalone crop-protection result of ₹158.81 crore.
- Consolidated segment assets increased 22.90% YoY to ₹27480.02 crore, while depreciation rose 68.27% to ₹202.76 crore, a clean depreciation-to-asset-base cross-check.
- EPS of ₹12.93 declined 24.61% YoY against PAT decline of 23.94%, indicating that the stock-option allotment did not create a material PAT-to-EPS divergence.
Key concerns
- EBITDA margin declined to 9.9% from an estimated 12.3% YoY even as revenue grew 15.94%, indicating negative operating-cost absorption rather than operating leverage.
- Gross margin compressed 132bps YoY to 24.29% as raw materials, traded goods and inventory change increased to 75.72% of revenue from 74.39%; the filing does not disclose the driver.
- Nutrient and allied segment result fell 23.92% YoY to ₹478.91 crore despite 9.43% revenue growth, making the core business the principal drag on profitability.
- Finance costs rose 30.99% YoY to ₹89.02 crore, faster than consolidated revenue growth, while depreciation rose 68.27% to ₹202.76 crore.
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