Roto Pumps Q1 FY27 Results (NSE: ROTO)
Signal: Growth reaccelerated
The read
The key inflection is sequential margin recovery from the Q4FY26 trough: consolidated EBITDA margin rose 435bps QoQ to 20.08%, but it still contracted 53bps YoY as employee costs rose 12.7% and other expenses rose 24.0%; the 46.8% PAT growth was therefore primarily tax-led rather than a clean operating-profit acceleration.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹75.6 Cr | +14.7% | -7.0% |
| Net profit | ₹9.25 Cr | +46.8% | |
| EPS | ₹0.49 | +48.5% | |
| EBIT margin | 20.08% |
P&L walk
Revenue increased to ₹7559.59 lakh, +14.7% YoY but -7.0% QoQ; gross margin was broadly stable at 70.65%, EBITDA margin declined 53bps YoY to 20.08%, and PAT rose 46.8% mainly because the effective tax burden fell materially.
Key positives
- Consolidated revenue reached ₹7559.59 lakh, +14.7% YoY, reversing the flat Q3FY26 and modest +2.9% Q4FY26 growth pattern.
- EBITDA margin recovered 435bps QoQ from 15.73% to 20.08%, showing that the Q4FY26 margin collapse was not fully persistent.
- Finance costs declined 14.9% YoY to ₹80.36 lakh, while depreciation declined 9.8% to ₹378.70 lakh.
- EPS of ₹0.49 rose 48.5% YoY, slightly ahead of PAT growth, with the pat-to-eps cross-check clean.
Key concerns
- EBITDA margin still fell 53bps YoY to 20.08% despite 14.7% revenue growth, indicating incomplete operating conversion.
- Other expenses rose 24.0% YoY to ₹1556.45 lakh, materially faster than revenue growth of 14.7%.
- PAT growth of 46.8% was aided by a lower tax burden, including a ₹10.99 lakh excess provision reversal versus a ₹198.84 lakh prior-year provision charge; operating profit growth was considerably less rapid.
- Consolidated revenue of ₹7559.59 lakh was 31.6% above standalone revenue of ₹5745.17 lakh, while consolidated PAT of ₹924.62 lakh was 16.9% above standalone PAT of ₹790.91 lakh, making subsidiary execution increasingly material to the group thesis.
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