Shalby Q1 FY27 Results (NSE: SHALBY)
Signal: Margin pressure
The read
The operating inflection is incomplete: consolidated EBITDA margin recovered from 10% in Q4FY26 to 14.8%, but remains 158bps below Q1FY26 as revenue grew 11.7% while EBITDA grew only 0.9%; the 21.6% PAT growth is low-quality because other income was 37.6% of PBT and standalone PAT declined 2.5%.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹331.22 Cr | 11.7% | +15.2% |
| EBIT | ₹30.26 Cr | -5.5% | |
| Net profit | ₹10.85 Cr | 21.6% | |
| EPS | ₹0.98 | 38.0% | |
| EBIT margin | 14.8% |
P&L walk
Consolidated revenue increased 11.7% YoY to ₹3312.24 million, but EBITDA rose only 0.9% to ₹490 million and margin fell 158bps to 14.8% as total expenses grew 13.6%; PAT attributable to shareholders increased 21.6% to ₹108.45 million, with other income contributing 37.6% of PBT and the prior-period non-controlling-interest drag reversing.
Segments
The company reports one operating segment, Medical and Healthcare Related Services; the material divergence is basis-related, with standalone PAT down 2.5% YoY to ₹250.66 million while consolidated shareholder PAT rose 21.6% to ₹108.45 million after subsidiary losses and non-controlling-interest effects.
Key positives
- Consolidated revenue increased 11.7% YoY to ₹3312.24 million and 15.2% QoQ, recovering from the 1.4% YoY decline reported in Q3FY26.
- Consolidated EBITDA margin improved to 14.8% from 10% in Q4FY26, a 480bps sequential recovery, although it remains below the 16% level of Q1FY25.
- Employee benefits expense grew only 2.9% YoY to ₹478.58 million against 11.7% revenue growth, reducing employee cost intensity to 14.5% of revenue.
- EPS rose 38.0% YoY to ₹0.98, ahead of the 21.6% growth in shareholder PAT.
Key concerns
- EBITDA grew only 0.9% YoY to ₹490 million against 11.7% revenue growth, with margin contracting 158bps to 14.8%.
- Standalone EBITDA declined 8.8% YoY to ₹477.6 million and standalone PAT fell 2.5% to ₹250.66 million, indicating weak parent-level operating momentum.
- Finance costs increased 12.7% YoY to ₹105.65 million, while depreciation rose 13.4% to ₹187.44 million.
- The filing does not disclose hospital-specific operating KPIs such as occupancy, ARPOB, bed additions or procedure volumes, limiting assessment of the revenue trajectory.
Earnings quality: includes non-operating other income
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