IFGL Refractori. Q1 FY27 Results (NSE: IFGLEXPOR)
Signal: Growth reaccelerated
The read
The quarter shows a consolidated revenue acceleration to ₹51,237 lakh, +12.9% YoY, but EBITDA growth of only 1.8% and an 80bps margin contraction indicate weak operating conversion; the 57.8% PAT increase is largely helped by depreciation falling to ₹1,364 lakh after ₹667 lakh quarterly goodwill amortisation ended, while America improved sharply and Europe remained loss-making.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹512.37 Cr | 12.9% | 10.7% |
| EBIT | ₹26.07 Cr | 31.7% | N/A |
| Net profit | ₹17.06 Cr | 57.8% | N/A |
| EPS | ₹2.37 | 58.0% | N/A |
| EBIT margin | 7.8% |
P&L walk
Revenue increased to ₹51,237 lakh, +12.9% YoY and +10.7% QoQ, but EBITDA rose only 1.8% to ₹3,971 lakh as the EBITDA margin narrowed to 7.8%; PAT rose 57.8% to ₹1,706 lakh because depreciation fell 28.9% YoY after goodwill amortisation ended.
Segments
America was the key earnings driver, with revenue up 32.4% YoY to ₹10,215 lakh and segment result up 79.5% to ₹1,084 lakh, while Europe remained the principal drag with a ₹709 lakh loss despite revenue growth of 13.6%.
Key positives
- Consolidated revenue reached ₹51,237 lakh, up 12.9% YoY and 10.7% QoQ, with America revenue up 32.4% YoY to ₹10,215 lakh.
- America segment result increased 79.5% YoY to ₹1,084 lakh, providing the clearest geographic earnings momentum.
- Finance costs fell 36.7% YoY to ₹293 lakh, while EPS rose 58.0% to ₹2.37 and tracked PAT growth closely.
- Consolidated PAT increased 57.8% to ₹1,706 lakh, and the clean PAT-to-EPS cross-check indicates no material dilution impact.
Key concerns
- EBITDA rose only 1.8% YoY to ₹3,971 lakh despite 12.9% revenue growth, and EBITDA margin contracted 80bps to 7.8%.
- Europe remained loss-making at -₹709 lakh, worsening from -₹281 lakh QoQ despite revenue of ₹11,093 lakh.
- Standalone EBITDA declined 16.8% YoY to ₹3,135 lakh and standalone gross margin compressed 360bps to 42.6%, showing weakness in the parent business.
- The ₹51,237 lakh consolidated revenue base includes ₹24,023 lakh of subsidiary revenue before inter-company eliminations, making subsidiary execution increasingly important to the group outcome.
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