Shanti Gold Q1 FY27 Results (NSE: SHANTIGOLD)
Signal: Margin pressure
The read
The key inflection is capacity: revenue rose +144.69% YoY on +61.6% volume growth after the new facility became operational, but EBITDA grew only +39.0% and margin compressed 758bps YoY to 9.97%, so the next thesis test is whether the 4,000 kg capacity addition converts into profitable volume rather than merely larger low-margin sales.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹716.38 Cr | +144.69% | +8.72% |
| EBIT | ₹70.94 Cr | N/A | |
| Net profit | ₹50.43 Cr | +46.9% | |
| EPS | ₹7 | N/A | |
| EBIT margin | 10.2% |
P&L walk
Revenue reached ₹716.38 crore, +144.69% YoY and +8.72% QoQ, supported by +61.6% volume growth and new designs/customer expansion; EBITDA was ₹73.13 crore with a 10.2% margin, while PAT was ₹50.43 crore and the filing's operating margin comparison shows a 758bps YoY compression.
Key positives
- Revenue reached ₹716.38 crore, +144.69% YoY and +8.72% QoQ, with disclosed volume growth of +61.6% YoY.
- Revenue growth exceeded volume growth by 83.09 percentage points, indicating additional support from realisation, product mix and customer expansion.
- The new Marol facility commenced production and adds approximately 4,000 kg per annum of manufacturing capacity.
- The company approved a rights issue of up to ₹99.83 crore at ₹215 per share to support growth initiatives and financial flexibility.
Key concerns
- EBITDA excluding other income grew only +39.0% YoY versus revenue growth of +144.69%, and EBITDA margin compressed 758bps YoY to 9.97%.
- PAT declined 2.78% QoQ to ₹50.48 crore despite revenue growth of +8.72% QoQ, indicating sequential operating pressure.
- The filing does not disclose raw-material costs, capacity utilisation, order book, receivable days or operating cash flow, limiting assessment of the quality and profitability of the volume ramp.
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