Orkla India Q1 FY27 Results (NSE: ORKLAINDIA)
Signal: Margin expansion
The read
Revenue growth accelerated to +10.4% YoY from prior quarter's +5.0% and EBITDA margin expanded 170bps to 19.7%, its highest in the recent 8-quarter series (prior series shows a range of 14%-19%), driven by a combination of lower input cost % of sales and fixed-cost operating leverage; exceptional credit of ₹15 Cr from reversal of prior labour code provision provided a one-off tailwind to PBT.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹65.91 Cr | 10.4% | 5.3% |
| EBIT | ₹11.75 Cr | 48.5% | |
| Net profit | ₹8.77 Cr | 11.1% | |
| EPS | ₹6.4 | 10.3% | |
| EBIT margin | 19.7% |
P&L walk
Revenue growth accelerated to +10.4% YoY, EBITDA margin expanded 170bps on lower raw material cost % and fixed-cost operating leverage; exceptional credit of ₹15 Cr from labour code reversal aided PBT.
Segments
Single operating segment (Food products and beverages); consolidated vs standalone difference of ~₹1.3 Cr PAT from subsidiary Orkla IMEA Trading, associate Pot Ful India, and JV Eastern Condiments MENA.
Key positives
- Revenue growth accelerated to +10.4% YoY, a marked improvement from the prior 3 quarters (3%-5% range).
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