Nahar Poly Q1 FY27 Results (NSE: NAHARPOLY)
Signal: Revenue declined
The read
The key inflection is a sharp gross-margin reversal: gross margin fell to 21.7%, down 1,105bps YoY, as raw-material intensity rose to 78.3% of revenue, while revenue declined 18.72% YoY to ₹15991.74 lakh; this breaks the prior four-quarter OPM expansion streak from Q1FY26 through Q4FY26.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹159.92 Cr | -18.72% | -4.63% |
| EBIT | ₹0.12 Cr | N/A | |
| EPS | ₹4.75 | N/A | |
| EBIT margin | 12.4% |
P&L walk
Consolidated revenue fell to ₹15991.74 lakh, down 18.72% YoY and 4.63% QoQ, while gross margin compressed to 21.7% from 32.7% YoY as raw-material intensity rose to 78.3%; reported EBIT was ₹11.69 Cr and consolidated PAT is not available in the authoritative XBRL extract.
Segments
The company operates in a single BOPP Films segment, so no segment-level momentum split is disclosed; the consolidated result includes ₹545.62 lakh of associate profit contribution.
Key positives
- Finance costs declined 28.1% YoY to ₹160.94 lakh, reducing financial pressure despite the revenue decline.
- Employee benefit expense fell 3.7% YoY to ₹790.51 lakh, limiting fixed-cost growth during the 18.72% YoY revenue contraction.
- Associate profit contribution increased to ₹545.62 lakh from ₹333.85 lakh YoY, supporting consolidated earnings.
Key concerns
- Revenue declined 18.72% YoY to ₹15991.74 lakh and 4.63% QoQ, reversing the 7.0% YoY growth recorded in Q4FY26.
- Gross margin compressed 1,105bps YoY to 21.7% as raw-material cost rose to 78.3% of revenue from 67.2%, indicating significant input-cost absorption or adverse mix.
- Standalone PAT fell 58.2% YoY to ₹622.63 lakh from ₹1490.00 lakh, while standalone EPS was ₹2.53.
Earnings quality: includes non-operating other income
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