Pritika Auto Q1 FY27 Results (NSE: PRITIKAUTO)
Signal: Margin pressure
The read
The topline trajectory remains strong at ₹14,496.84 lakh, +26.5% YoY, but the earnings trajectory weakened as gross margin compressed 765bps and EBITDA margin fell 176bps to 13.45%; this is the fourth consecutive quarter of YoY margin contraction in the prior-results series, making margin recovery the key inflection required to sustain growth.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹144.97 Cr | +26.5% | +4.7% |
| EBIT | ₹13.46 Cr | +6.5% | |
| Net profit | ₹7.11 Cr | +16.7% | |
| EPS | ₹0.37 | +12.1% | |
| EBIT margin | 13.45% |
P&L walk
Revenue increased to ₹14,496.84 lakh, +26.5% YoY, but gross margin fell 765bps to 44.61% and EBITDA margin fell 176bps to 13.45%; PAT still rose 16.7% to ₹711.19 lakh, helped by the consolidated subsidiary base and lower deferred tax.
Segments
The filing reports one automotive-component operating segment, but subsidiaries materially lift group earnings: consolidated PAT of ₹711.19 lakh was 72.2% above standalone PAT of ₹412.96 lakh, while consolidated EBITDA margin of 13.45% exceeded standalone margin of 9.24%.
Key positives
- Consolidated revenue reached ₹14,496.84 lakh, +26.5% YoY and +4.7% QoQ, extending the recent high-growth trajectory.
- Raw material cost declined to 53.93% of revenue from 62.35% YoY, while revenue grew 26.5% versus raw material cost growth of 9.4%, indicating some pass-through or mix benefit despite gross-margin compression.
- Finance costs grew 17.1% YoY to ₹599.59 lakh, below revenue growth, reducing finance-cost intensity to 4.14% from 4.47%.
- Consolidated PAT increased 16.7% YoY to ₹711.19 lakh and 49.1% QoQ, with the subsidiary base contributing materially above the standalone result.
Key concerns
- Gross margin fell 765bps YoY to 44.61% despite lower raw material intensity, and the filing does not disclose the reason for the deterioration.
- EBITDA grew only 11.8% YoY to ₹1,950.23 lakh versus 26.5% revenue growth, causing EBITDA margin to contract 176bps to 13.45%.
- Standalone PAT grew only 1.5% YoY to ₹412.96 lakh despite 24.6% revenue growth, showing that the parent business is not converting topline growth into earnings at the same pace.
- Depreciation rose 26.0% YoY to ₹603.96 lakh, adding to the fixed-cost burden without disclosed fixed-asset or CWIP information.
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