GMM Pfaudler Q1 FY27 Results (NSE: GMMPFAUDLR)
Signal: Margin pressure
The read
Q1FY27 marked a QoQ operating recovery: EBITDA margin improved from 8.0% in Q4FY26 to 11.2%, while revenue grew 16% YoY to ₹924.76 Cr and backlog rose 20% YoY to ₹2,289 Cr; however, EBITDA still declined 7% YoY and PAT growth to ₹23.9 Cr was partly supported by other income equal to 24.4% of PBT.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹924.76 Cr | +16% | -2% |
| EBIT | ₹62.93 Cr | N/A | |
| Net profit | ₹23.9 Cr | +118% | |
| EPS | ₹5.32 | +114.5% | |
| EBIT margin | 11.2% |
P&L walk
Consolidated revenue increased to ₹924.76 Cr, +16% YoY but -2% QoQ, while EBITDA declined 7% YoY to ₹103.54 Cr despite recovering 25% QoQ; EBIT was ₹62.93 Cr and PAT reached ₹23.9 Cr, +118% YoY, with other income of ₹9.81 Cr representing 24.4% of PBT.
Segments
Although no segment results table was disclosed, the consolidated PAT of ₹23.9 Cr versus standalone PAT of ₹11.15 Cr shows that subsidiaries contributed approximately ₹12.75 Cr to group earnings.
Key positives
- Revenue reached ₹924.76 Cr, up 16% YoY, showing a return to double-digit growth after Q1FY26 revenue growth of 1.3%.
- Order intake was ₹1,007 Cr, up 16% QoQ, and backlog was ₹2,289 Cr, up 20% YoY and 4% QoQ, supporting forward revenue visibility.
- EBITDA recovered 25% QoQ to ₹103.54 Cr and EBITDA margin improved 320bps QoQ from 8.0% to 11.2%.
- PAT increased 118% YoY to ₹23.9 Cr and EPS rose to ₹5.32 from ₹2.48, broadly tracking the profit recovery.
- Management reorganized the business into four global divisions to improve accountability, operational synergies and profitability.
Key concerns
- EBITDA declined 7% YoY to ₹103.54 Cr despite 16% revenue growth, and EBITDA margin remained 180bps below the 13.0% reported in Q1FY26.
- PAT of ₹23.9 Cr was supported by ₹9.81 Cr of other income, which represented 24.4% of PBT and makes the earnings conversion less purely operational.
- Consolidated revenue declined 2% QoQ despite order intake rising 16% QoQ, so backlog conversion and the durability of the margin recovery remain important.
Earnings quality: includes non-operating other income
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