SPR Auto Technologies Q1 FY27 Results (NSE: SHRIPISTON)
Signal: Margin pressure
The read
Revenue surge of 53% YoY is entirely acquisition-led (Grupo Antolin India interiors), masking an organic core that grew ~13% standalone. However, bottomline growth lagged sharply at 8% due to a quadrupling of finance costs (NCD interest) and 70% higher depreciation from the acquired asset base. EBITDA margin contracted ~400bps – input cost pressure plus low-margin interior subsidiaries. The standalone PAT fell 13.8%. This quarter marks a transition from a high-margin pistons/rings pure-play to a more capital-intensive, levered auto components group; margin recovery will depend on integration and synergy realization.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹1,474.4 Cr | 53.1% | -66.9% |
| EBIT | ₹229.4 Cr | 19.5% | |
| Net profit | ₹144.4 Cr | 8.0% | |
| EPS | ₹32.78 | 8.0% | |
| EBIT margin | 19.2% |
P&L walk
Topline growth of 53% YoY from acquired auto-interior subsidiaries (Grupo Antolin India) and organic piston/rings business; but EBITDA margin compressed ~400bps to 19.2% as raw material costs (cost of materials consumed) grew 86% YoY vs revenue 53% – input cost headwind and lower-margin acquisitions. Finance costs surged to ₹34.2 Cr (from ₹9 Cr) due to NCD issuances, and depreciation rose to ₹53.4 Cr (from ₹31.5 Cr) from new asset base. PAT growth of 8% entirely from topline; bottomline margin shrank to 9.8%. Exceptional item of ₹1.9 Cr (labour-code provision reversal?) – not explained, minor.
Key positives
- Consolidated revenue grew 53.1% YoY to ₹1,474 Cr, driven by acquisition of Grupo Antolin India interior assets (3 subsidiaries added in Jan 2026).
- Consolidated EBITDA grew 26.5% YoY to ₹282.8 Cr, demonstrating positive operating leverage from the expanded scale (fixed costs grew slower than revenue).
- Interest service coverage remains healthy at 8.26x despite the debt-funded NCDs.
Key concerns
- PAT growth of only 8.0% YoY – far below revenue growth – as finance costs surged 280% to ₹34.2 Cr (from ₹9 Cr) and depreciation rose 69.5% to ₹53.4 Cr.
- Consolidated EBITDA margin compressed ~400bps YoY to 19.2% due to raw material cost pressure (cost of materials consumed grew 86% vs revenue 53%) and lower-margin interior businesses.
- Standalone PAT declined 13.8% YoY, indicating the core pistons/rings business is being strained by the acquisition financing.
- Exceptional item of ₹1.9 Cr in the current quarter (labour-code provision?) is unexplained – though small, it warrants clarity.
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