Knack Packaging Q1 FY27 Results (NSE: KNACK)
Signal: Steady quarter
The read
The first post-IPO quarter shows a positive operating inflection: revenue from operations reached ₹2,624.59 million, up 41% YoY, while EBITDA grew 53.14% and margin expanded 170bps to 22.35% as volumes, capacity utilisation and the expanded 48,000+ MT annual capacity supported growth. The key quality limitation is that EBITDA includes other income and the filing does not provide raw-material cost, fixed-cost growth, EBIT or EPS details.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹262.46 Cr | 41% | N/A |
| Net profit | ₹30.53 Cr | 47.96% |
P&L walk
Consolidated revenue from operations increased 41% YoY to ₹2,624.59 million on higher volumes and improving capacity utilisation; EBITDA rose 53.14% to ₹591.73 million and EBITDA margin expanded 170bps to 22.35%, although EBITDA includes other income and fixed-cost growth was not disclosed.
Key positives
- Revenue from operations rose 41% YoY to ₹2,624.59 million, supported by higher volumes and improving capacity utilisation.
- EBITDA grew 53.14% YoY to ₹591.73 million, 12.14 percentage points faster than revenue growth, while EBITDA margin expanded 170bps to 22.35%.
- Installed manufacturing capacity increased from 43,300 MT per annum to 48,000+ MT per annum through owned and rented facilities.
- PAT increased 47.96% YoY to ₹305.28 million and PAT margin improved 50bps to 11.53%.
- The company serves 28+ industries and exports to 74 countries, providing broad end-market and geographic coverage.
Key concerns
- EBITDA of ₹591.73 million includes other income, so the reported 22.35% EBITDA margin is not a clean measure of manufacturing operating profitability.
- The filing does not disclose EPS, EBIT, depreciation, raw-material cost or fixed-cost growth, limiting assessment of per-share earnings quality and the source of margin expansion.
- Management only states that key input prices were monitored; no quantified pass-through, raw-material-to-sales ratio or pricing evidence is provided.
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