Indoco Remedies Q2 FY27 Results (NSE: INDOCO)
Signal: Loss reversed
The read
The operating recovery is incomplete: consolidated revenue reached ₹50,692 lakh, +7.4% YoY, and EBITDA margin improved to 9.2%, but pre-exceptional PBT remained a ₹2,295 lakh loss and PAT of ₹1,947 lakh depended on the ₹3,714 lakh property-sale gain. This follows the prior quarter's 9% margin, so the margin recovery has stabilized rather than clearly re-accelerated.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹506.92 Cr | +7.4% | +8.7% |
| EBIT | ₹11.99 Cr | Turned positive from loss | |
| Net profit | ₹19.47 Cr | Turned profitable from ₹924 lakh loss | |
| EPS | ₹2.11 | Turned positive from loss | |
| EBIT margin | 9.2% |
P&L walk
Consolidated revenue increased to ₹50,692 lakh, +7.4% YoY and +8.7% QoQ, while EBITDA rose to ₹4,643 lakh and margin reached 9.2%; however, EBIT before exceptional items remained a ₹2,295 lakh loss and PAT of ₹1,947 lakh was primarily enabled by the ₹3,714 lakh property-sale gain.
Segments
Domestic revenue drove the group with ₹33,577 lakh and +10.6% YoY growth, while outside-India revenue grew only 1.8% YoY at ₹17,115 lakh; standalone PAT of ₹3,063 lakh was ₹1,116 lakh above consolidated PAT, indicating subsidiary drag on group earnings.
Key positives
- Consolidated revenue increased 7.4% YoY to ₹50,692 lakh, with domestic revenue up 10.6% YoY to ₹33,577 lakh.
- EBITDA rose to ₹4,643 lakh from ₹2,044 lakh YoY and EBITDA margin improved to 9.2% from 9.1%.
- Standalone EBITDA margin reached 13.4% from a negative YoY base as raw-material cost fell to 19.0% of income from 44.3%.
- Outside-India revenue still grew 1.8% YoY to ₹17,115 lakh despite a weak comparative operating recovery.
Key concerns
- Consolidated pre-exceptional PBT was a ₹2,295 lakh loss despite 7.4% revenue growth, showing that reported profitability has not yet normalized.
- ₹1,947 lakh consolidated PAT was supported by ₹3,714 lakh of exceptional gains, including ₹3,663 lakh from the Andheri property sale.
- Consolidated finance cost increased 20.9% YoY to ₹2,691 lakh, while consolidated borrowings were ₹97,610 lakh against cash of ₹3,477 lakh.
- Outside-India revenue grew only 1.8% YoY versus 10.6% domestic growth, leaving the international trajectory uneven.
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