Globus Spirits Q1 FY27 Results (NSE: GLOBUSSPR)
Signal: Growth reaccelerated
The read
Q1FY27 consolidated revenue surged 21.1% YoY to ₹1,151.88 Cr and net profit jumped 49.0% to ₹26.59 Cr — the 4th consecutive quarter of expanding OPM (6.9% vs 6.0% in Q4FY26), reversing a long contraction trend. The tailwind is raw material cost deflation (cost of materials to revenue fell to 44.2% from 49.4% YoY), but excise duty growth (up 44.2% YoY) consumed most of the gross margin expansion; EBITDA margin actually contracted 60bps YoY. Operating profit still grew 38.7% YoY, well ahead of revenue, as employee costs and finance costs grew slower. An income-tax search-related contingency note (₹40.94 Cr disputed demand) remains an overhang, though management believes no liability will arise.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹11.52 Cr | 21.1% | -68.1% |
| EBIT | ₹0.53 Cr | 38.7% | |
| Net profit | ₹0.27 Cr | 49.0% | |
| EPS | ₹9.14 | 48.4% | |
| EBIT margin | 6.9% |
P&L walk
Revenue jumped 21.1% YoY to ₹1,151.88 Cr, driven by both segments; gross margin expanded ~520bps as raw material-to-sales fell to 44.2% vs 49.4% a year ago, but EBITDA margin contracted 60bps to 6.9% because excise duty (up 44.2% YoY) consumed the gross margin benefit. EBITDA grew 32.8% YoY vs revenue 21.1% — operating leverage was present (fixed costs grew slower) but obscured by the excise headwind. Finance cost rose 7.0% YoY; PAT tracked operating profit growth.
Segments
Consumer segment EBITDA of ₹4,240.93 lakh (margin 13.4%) remains the primary profit driver, contributing 53.5% of total segment EBITDA; Manufacturing segment EBITDA margin expanded sharply by 260bps YoY to 7.8% on cost deflation, but Consumer margin dipped slightly. Joint venture Globus ANSA Private Limited posted a loss of ₹83.88 lakh, dragging consolidated profit marginally.
Key positives
- Revenue grew 21.1% YoY to ₹1,151.88 Cr — 4th consecutive quarter of YoY revenue growth, accelerating from Q4FY26's 11.0% and Q1FY26's 9.0%.
- Net profit up 49.0% YoY to ₹26.59 Cr, with EPS at ₹9.14 (+48.4%).
- Raw material cost as % of revenue dropped to 44.2% from 49.4% YoY — input cost deflation tailwind continues.
- EBITDA grew 32.8% YoY, outpacing revenue growth — operating leverage evident as employee cost grew only 8.1% and finance cost 7.0%.
- Consumer segment revenue up 15.6% YoY; Manufacturing segment EBITDA margin expanded 260bps YoY to 7.8%.
Key concerns
- EBITDA margin contracted 60bps YoY to 6.9% — excise duty as % of revenue jumped to 31.5% from 26.5% YoY, offsetting gross margin expansion.
- Standalone PAT (₹27.55 Cr) exceeds consolidated PAT (₹26.59 Cr) — subsidiary/joint venture losses dragged group profit by ~₹0.96 Cr.
- Income-tax search assessment demand of ₹40.94 Cr disputed; ₹30.44 Cr paid under protest — appeal pending, risk if unsuccessful.
Research and educational content only. Not investment advice.