Dharmaj Crop Q2 FY27 Results (NSE: DHARMAJ)
Signal: Revenue declined
The read
Q2FY27 marks a reversal from Q1FY27's 15.3% EBITDA margin: revenue fell 4.2% YoY to 3,326.21 million and EBITDA margin compressed 191bps to 7.3%, driving a 23.8% PAT decline to 132.06 million; the margin recovery has therefore not yet become consistent.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹332.62 Cr | -4.2% | -13.0% |
| EBIT | ₹19.27 Cr | -28.7% | |
| Net profit | ₹13.21 Cr | -23.8% | |
| EPS | ₹3.91 | -23.8% | |
| EBIT margin | 7.3% |
P&L walk
Revenue declined 4.2% YoY and 13.0% QoQ to 3,326.21 million; gross margin compressed 315bps YoY to 18.6%, EBITDA margin fell 191bps to 7.3%, and PAT declined 23.8% to 132.06 million despite lower finance costs.
Segments
The group reports only one Agri-Inputs segment, and consolidated PAT of 132.06 million was only 0.63 million below standalone PAT of 132.69 million, indicating no material subsidiary drag or lift.
Key positives
- Finance cost declined 27.5% YoY to 32.67 million, supporting earnings despite the operating slowdown.
- H1 operating cash flow was 310.82 million, up from 169.52 million in H1FY26, although this remained below H1 PAT of 513.15 million.
- CWIP increased to 116.90 million from 62.16 million at March 31, 2026, indicating ongoing investment in the asset base.
Key concerns
- Gross margin compressed 315bps YoY to 18.6% and EBITDA margin fell 191bps to 7.3%, reversing Q1FY27's 15.3% margin.
- Revenue declined 4.2% YoY to 3,326.21 million after growing 4.1% YoY in Q1FY27, indicating near-term growth deceleration.
- Trade receivables rose to 4,098.85 million from 2,807.28 million at March 31, 2026, materially outpacing the quarter's revenue movement.
- H1 operating cash flow of 310.82 million was below H1 PAT of 513.15 million, pointing to incomplete cash conversion.
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