Olectra Greentec Q1 FY27 Results (NSE: OLECTRA)
Signal: Margin pressure
The read
The trajectory is a volume or delivery-led Mobility expansion without corresponding margin conversion: consolidated revenue rose 65.7% YoY to ₹57550.64 lakh, but EBITDA grew only 32.4% to ₹7037 lakh as gross margin compressed roughly 420bps and finance costs rose 96.7%; the Q1FY27 margin reversal follows the prior quarter's expansion but does not yet establish a durable recovery.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹575.51 Cr | 65.7% | -10.7% |
| EBIT | ₹55.76 Cr | 29.7% | |
| Net profit | ₹25.95 Cr | -0.3% | |
| EPS | ₹3.16 | -0.3% | |
| EBIT margin | 12.2% |
P&L walk
Revenue increased 65.7% YoY to ₹57550.64 lakh, led by Mobility, but gross margin compressed by roughly 420bps as raw material cost rose to 75.7% of revenue from 72.2%, pulling EBITDA margin down to 12.2%; finance costs also rose 96.7% and PAT attributable to equity holders declined 0.3%.
Segments
Mobility drove the group with revenue of ₹49462.59 lakh, up 69.3% YoY and representing about 86% of consolidated revenue, while Energy revenue grew 47.1% to ₹8088.05 lakh and its segment result declined 1.8% to ₹1785.22 lakh.
Key positives
- Consolidated revenue reached ₹57550.64 lakh, up 65.7% YoY, with Mobility revenue up 69.3% to ₹49462.59 lakh.
- Mobility segment result increased 46.9% YoY to ₹4043.17 lakh despite sequential weakness.
- Consolidated segment assets increased 19.7% YoY to ₹262425.71 lakh, and the depreciation-to-asset-base check was clean.
- Standalone PAT increased 3.6% YoY to ₹2319.43 lakh, while standalone EBITDA increased 37.0% YoY to ₹6744 lakh.
Key concerns
- Gross margin compressed roughly 420bps YoY to 25.4% as raw material cost including inventory change rose to approximately 74.6% of revenue from 70.4%; the filing does not disclose the driver.
- EBITDA grew 32.4% YoY to ₹7037 lakh versus revenue growth of 65.7%, reducing EBITDA margin to 12.2% from approximately 14%.
- Finance costs rose 96.7% YoY to ₹2359.34 lakh, materially faster than revenue growth.
- Mobility segment result fell 26.8% QoQ to ₹4043.17 lakh and Energy segment result fell 55.3% QoQ to ₹1785.22 lakh.
- Consolidated parent-attributable PAT of ₹2594.97 lakh was 11.9% above standalone PAT of ₹2319.43 lakh, with ₹252.88 lakh of associate profit and ₹71.35 lakh of non-controlling interest affecting the bridge.
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