PNB Gilts Q1 FY27 Results (NSE: PNBGILTS)
Signal: Earnings declined
The read
PNB Gilts' Q1FY27 net profit fell 50% YoY to ₹8,070 lakh as trading gains crashed 88% to ₹1,823 lakh, masking a 7% rise in interest income and aggressive cost reductions; the sequential improvement vs Q4 is misleading due to Q4's net loss on securities.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹454.56 Cr | -19.3% | +7.2% |
| Net profit | ₹80.7 Cr | -49.6% | |
| EPS | ₹4.48 | ||
| EBIT margin | 23.8% |
P&L walk
Core interest income grew 7% YoY, but trading gains collapsed from ₹15,669 lakh to ₹1,823 lakh, dragging revenue down 19% and operating profit down 49%.
Key positives
- Interest income grew 7.3% YoY to ₹43,345 lakh, showing steady core business.
- Employee expenses slashed 69.5% YoY and other expenses down 54% YoY, improving cost efficiency.
- Net profit improved sequentially from Q4 FY26 (₹1,299 lakh) to ₹8,070 lakh, though Q4 had a net loss on securities.
Key concerns
- Net profit halved YoY due to 88% collapse in trading gains, highlighting reliance on volatile trading income.
- Revenue declined 19.3% YoY, and operating profit margin compressed 1400bps to 23.8%.
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