Ganesh Consumer Q2 FY27 Results (NSE: GANESHCP)
Signal: Margin expansion
The read
The key inflection is margin rather than demand: revenue remains down 5.0% YoY, but EBITDA margin expanded 302bps to 13.03% as other expenses fell 22.7% and finance costs fell 85.8%; the sequential revenue rebound of 20.3% needs confirmation because gross margin contracted 193bps QoQ.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹226.73 Cr | -5.0% | +20.3% |
| EBIT | ₹24.03 Cr | +33.7% | |
| Net profit | ₹18.77 Cr | +68.7% | |
| EPS | ₹4.7 | +54.6% | |
| EBIT margin | 13.0% |
P&L walk
Standalone revenue was ₹22,672.52 lakh, down 5.0% YoY but up 20.3% QoQ; lower other expenses and sharply lower finance costs lifted EBITDA to ₹2,954.46 lakh and PAT to ₹1,876.62 lakh, while the filing does not present a separate consolidated statement because the reported results include the employee welfare trust.
Key positives
- EBITDA margin reached 13.03%, up 302bps YoY, with EBITDA growing 23.6% despite revenue declining 5.0%.
- Other expenses fell 22.7% YoY to ₹2,678.17 lakh, reducing their revenue intensity by 268bps to 11.81%.
- Revenue rebounded 20.3% QoQ to ₹22,672.52 lakh and PAT rose 49.9% QoQ to ₹1,876.62 lakh.
Key concerns
- Revenue declined 5.0% YoY despite the sequential rebound, and no volume or realisation split was disclosed.
- Gross margin contracted 193bps QoQ to 26.49%, weakening the quality of the sequential margin improvement.
- EPS growth of 54.6% lagged PAT growth of 68.7%, requiring monitoring for dilution or minority-interest effects.
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