Sansera Enginee. Q2 FY27 Results (NSE: SANSERA)
Signal: Growth decelerated
The read
The trajectory remains constructive: consolidated revenue grew 20.4% YoY to ₹10,142.53 million and PAT grew 52.2% to ₹1,086.47 million, while the ₹169.33 million Q1 settlement charge disappeared; however, revenue was down 0.7% QoQ and leverage rose as borrowings increased to ₹4,927.84 million amid an expanding PPE/CWIP investment cycle.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹1,014.25 Cr | +20.4% | -0.7% |
| Net profit | ₹108.65 Cr | +52.2% | |
| EPS | ₹17.31 | +50.5% | |
| EBIT margin | N/A |
P&L walk
Consolidated revenue reached ₹10,142.53 million, up 20.4% YoY but down 0.7% QoQ; profit before exceptional items and tax rose 53.9% YoY to ₹1,480.56 million as the ₹169.33 million settlement charge recorded in the preceding quarter did not recur, lifting PAT 52.2% YoY to ₹1,086.47 million.
Segments
The group is effectively single-segment precision-engineered components manufacturing; standalone Q2 PAT of ₹1,092.53 million was slightly above consolidated PAT of ₹1,086.47 million because the consolidated result absorbed a ₹17.29 million associate/joint-venture loss and subsidiary losses.
Key positives
- Consolidated revenue of ₹10,142.53 million grew 20.4% YoY, extending the recent acceleration from +8.1% in Q2FY26 and +24.7% in Q3FY26, although it declined 0.7% sequentially.
- PAT increased 52.2% YoY to ₹1,086.47 million and basic EPS rose 50.5% to ₹17.31, with EPS broadly tracking profit growth.
- The ₹169.33 million US lawsuit settlement charge recorded in the preceding quarter did not recur, allowing profit before exceptional items and tax to rise 53.9% YoY to ₹1,480.56 million.
- Standalone employee cost grew 27.4% YoY versus revenue growth of 33.1%, indicating positive fixed-cost absorption at the parent level.
- PPE increased to ₹20,368.59 million and CWIP to ₹2,559.94 million, while H1 capex was ₹3,391.19 million, showing continued capacity investment.
Key concerns
- Consolidated revenue declined 0.7% QoQ to ₹10,142.53 million despite 20.4% YoY growth, suggesting sequential momentum moderated after the Q1FY27 peak.
- Borrowings increased to ₹4,927.84 million from ₹3,170.12 million at March 2026, turning approximately ₹685.27 million of net cash into ₹1,395.55 million of net debt.
- Inventories rose 36.3% to ₹8,273.19 million and trade receivables rose 5.3% to ₹6,232.73 million, absorbing working capital while H1 operating cash flow of ₹1,881.02 million remained below reported profit.
- Consolidated earnings were reduced by a ₹17.29 million associate/joint-venture loss and subsidiary losses, leaving group PAT of ₹1,086.47 million below standalone PAT of ₹1,092.53 million.
- The filing does not provide a volume-versus-realisation bridge, so the 20.4% consolidated revenue growth cannot yet be attributed to volume, pricing or mix.
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