Raymond Q2 FY27 Results (NSE: RAYMOND)
Signal: Growth reaccelerated
The read
The trajectory is shifting toward aerospace-led growth: consolidated revenue growth accelerated to 24.2% YoY from 15.7% in Q1FY27, aerospace revenue grew 128.3%, and derived EBITDA margin expanded 76bps YoY to 15.8%. However, the 130.7% PAT growth is partly comparison-driven by the absence of last year's 16,740 lakh exceptional loss, while EPS growth of 96.5% lagged PAT because non-controlling-interest profit increased.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹655.16 Cr | +24.2% | +8.2% |
| EBIT | ₹63.62 Cr | +55.8% | |
| Net profit | ₹32.06 Cr | +130.7% | |
| EPS | ₹3.36 | +96.5% | |
| EBIT margin | 15.8% |
P&L walk
Revenue increased to 65,516 lakh, up 24.2% YoY and 8.2% QoQ, led by aerospace; gross margin was broadly stable at 66.6%, while derived EBITDA rose 30.4% YoY to 10,337 lakh and PAT rose 130.7% to 3,206 lakh, helped by the absence of the prior-year exceptional loss and tax distortion.
Segments
Aerospace and defence was the clear growth engine: revenue rose 128.3% YoY to 13,936 lakh and segment result rose 156.2% to 1,855 lakh, while precision technology and auto components grew 15.0% in revenue to 47,061 lakh and 8.9% in result to 4,030 lakh; Others remained loss-making at -215 lakh.
Key positives
- Aerospace and defence revenue reached 13,936 lakh, up 128.3% YoY, while its segment result rose 156.2% to 1,855 lakh.
- Revenue grew 24.2% YoY to 65,516 lakh, accelerating from 15.7% YoY growth in Q1FY27.
- Derived EBITDA grew 30.4% YoY to 10,337 lakh versus revenue growth of 24.2%, while employee costs grew 18.7% and depreciation grew 3.4%.
- Finance costs were almost flat at 2,162 lakh, up only 0.6% YoY, despite revenue growth of 24.2%.
- CWIP rose 66.0% to 6,336 lakh from March 2026, supporting the group's stated expansion trajectory.
Key concerns
- EPS rose 96.5% to ₹3.36, materially below 130.7% PAT growth, because profit attributable to non-controlling interests rose to 971 lakh from 251 lakh.
- Others remained loss-making at -215 lakh, with the loss widening 23.6% YoY from -174 lakh.
- Inventory rose to 54,729 lakh from 48,701 lakh and trade receivables rose to 55,995 lakh from 52,075 lakh, requiring working-capital conversion to improve alongside growth.
Research and educational content only. Not investment advice.