Himatsing. Seide Q1 FY27 Results (NSE: HIMATSEIDE)
Signal: Revenue declined
The read
The key inflection is sequential rather than structural: consolidated EBITDA margin recovered 617bps QoQ to 14.22% and PAT rose 253.3% QoQ from ₹141.23 lakh, but YoY gross-margin compression of 260bps, raw-material cost rising to 42.0% of revenue from 39.4%, and a 54.2% PAT decline show that the textile earnings downcycle remains unresolved.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹621.3 Cr | -5.4% | +0.7% |
| Net profit | ₹4.99 Cr | -54.2% | |
| EPS | ₹0.4 | -54.0% | |
| EBIT margin | 14.22% |
P&L walk
Consolidated revenue of ₹62,130.27 lakh fell 5.4% YoY but rose 0.7% QoQ; gross margin compressed 260bps YoY as raw-material cost increased to 42.0% of revenue from 39.4%, while EBITDA margin declined 437bps to 14.22% and PAT fell 54.2% to ₹498.73 lakh.
Segments
The group is reported as a single Textiles operating segment; standalone PAT of ₹518.08 lakh was 3.9% above consolidated PAT of ₹498.73 lakh, so subsidiaries were a modest drag while the associate contributed only ₹13.31 lakh.
Key positives
- Consolidated EBITDA margin recovered to 14.22% from 8.05% in Q4FY26, a 617bps QoQ improvement, while revenue rose 0.7% QoQ to ₹62,130.27 lakh.
- Finance costs declined 11.4% YoY to ₹6,383.40 lakh, providing partial support to profit despite lower operating earnings.
- Depreciation declined 23.5% YoY to ₹2,935.48 lakh after the useful-life reassessment, lifting reported earnings by ₹512.03 lakh in the quarter.
Key concerns
- Revenue declined 5.4% YoY to ₹62,130.27 lakh, extending the negative growth trend from the preceding four quarters.
- Gross margin compressed 260bps YoY to 43.24% as raw-material and packing-material cost rose 2.6 percentage points to 42.0% of revenue; the filing does not disclose a compensating pricing or mix benefit.
- EBITDA margin fell 437bps YoY to 14.22% and PAT declined 54.2% YoY to ₹498.73 lakh, indicating that the sequential recovery has not yet repaired the annual earnings trajectory.
Research and educational content only. Not investment advice.