Kross Ltd Q2 FY27 Results (NSE: KROSS)
Signal: Margin expansion
The read
The main inflection is acceleration rather than merely continued growth: Q2 revenue growth reached 79.6% versus Q1FY27's 32.3%, EBITDA growth reached 107.4% with margin up 175bps to 13.0%, and PAT growth reached 143.5%; the next proof point is whether the axle beam plant's 60-65% utilisation and upcoming capacity projects convert into sustained volume and margin gains.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹235.09 Cr | 79.6% | N/A |
| Net profit | ₹19.69 Cr | 143.5% | |
| EPS | ₹3.08 | 146.4% | |
| EBIT margin | 13.0% |
P&L walk
Standalone Q2 revenue grew 79.6% YoY to ₹2,350.9 million, while total expenditure rose 76.0%, allowing EBITDA to grow 107.4% to ₹306.0 million and margin to expand 175bps to 13.0%; PAT grew faster at 143.5% to ₹196.9 million, with no EBIT or depreciation disclosure.
Key positives
- Revenue reached ₹2,350.9 million, up 79.6% YoY versus Q1FY27 growth of 32.3%, indicating a sharp acceleration in demand and execution.
- EBITDA grew 107.4% to ₹306.0 million versus revenue growth of 79.6%, while EBITDA margin expanded 175bps to 13.0%.
- Broad-based demand was cited across M&HCV and trailer applications, with continued recovery in tractor and agricultural segments.
- Axle beam extrusion has entered commercial production at approximately 60-65% utilisation, while backward integration and operational efficiency supported profitability amid input-cost pressures.
Key concerns
- The filing provides no quantitative order-book figure, volume growth, realisation data or customer concentration, limiting assessment of whether the 79.6% revenue growth is volume-led or mix-led.
- PAT grew 143.5% versus EBITDA growth of 107.4%, but the filing does not disclose the other-income, finance-cost or tax bridge behind the wider bottom-line acceleration.
- Multiple capacity projects remain under execution, including seamless-tube production trials targeted for February-March 2027 and the high-pressure moulding line; returns depend on timely commissioning and utilisation ramp-up.
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