Medicamen Biotec Q1 FY27 Results (NSE: MEDICAMEQ)
Signal: Margin pressure
The read
The quarter shows a parent-level margin and profit improvement but weaker consolidated earnings quality: standalone EBITDA grew +25.3% and margin reached 12.9%, while consolidated EBITDA grew only +2.0% at 10.8% margin, PAT fell -1.6%, and other income represented 33.5% of consolidated PBT.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹47.9 Cr | 11.3% | -21.0% |
| EBIT | ₹3.4 Cr | 3.7% | |
| Net profit | ₹2.12 Cr | -1.4% | |
| EPS | ₹1.36 | 15.3% | |
| EBIT margin | 10.8% |
P&L walk
Consolidated revenue increased to ₹4789.69 lakh, +11.3% YoY but -21.0% QoQ, while EBITDA rose only +2.0% and margin was 10.8%; lower raw-material intensity supported gross margin, but higher employee and other expenses limited operating conversion and subsidiary losses pulled PAT below operating profit.
Segments
The parent performed materially better than the group: standalone revenue grew +14.0% and PAT +54.3%, whereas consolidated revenue grew +11.3% and controlling-interest PAT declined -1.6%, with subsidiaries contributing a ₹27.23 lakh non-controlling-interest loss.
Key positives
- Standalone revenue was ₹4385.27 lakh, +14.0% YoY, and standalone EBITDA was ₹564.00 lakh, +25.3% YoY, indicating improving parent-level operating execution.
- Standalone EBITDA margin expanded to 12.9% from approximately 11.7% YoY, while raw-material cost declined to 50.3% of revenue from 60.8%.
- Consolidated raw-material cost declined to 47.2% of revenue from 57.1%, producing an 866bps gross-margin expansion despite the absence of a disclosed driver.
Key concerns
- Consolidated EBITDA grew only +2.0% YoY versus revenue growth of +11.3%, with EBITDA margin declining to 10.8% as employee and other expenses outpaced sales.
- Consolidated controlling-interest PAT fell -1.6% YoY to ₹211.84 lakh even as standalone PAT rose +54.3% to ₹252.69 lakh, highlighting subsidiary drag.
- EPS rose +15.3% while controlling-interest PAT fell -1.6%, requiring reconciliation of profit attribution or the effective share denominator.
Earnings quality: includes non-operating other income
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