Sundaram Brake Q1 FY27 Results (NSE: SUNDRMBRAK)
Signal: Loss reversed
The read
The operating inflection is encouraging but not yet self-sustaining: revenue fell 1.1% YoY while EBITDA rose 22.2% to ₹2.59 Cr and EBIT rose 132.1% to ₹1.23 Cr, yet PAT of ₹0.48 Cr was supported by ₹0.51 Cr of other income, which exceeded PBT of ₹0.47 Cr.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹90.98 Cr | -1.1% | N/A |
| EBIT | ₹1.23 Cr | 132.1% | |
| Net profit | ₹0.48 Cr | N/A | |
| EPS | ₹1.23 | N/A | |
| EBIT margin | 2.8% |
P&L walk
Standalone revenue was ₹90.98 Cr, down 1.1% YoY, but EBITDA increased 22.2% to ₹2.59 Cr and EBIT rose 132.1% to ₹1.23 Cr; PAT turned around to ₹0.48 Cr from a ₹0.53 Cr loss, with ₹0.51 Cr of other income exceeding reported PBT of ₹0.47 Cr.
Key positives
- EBITDA increased 22.2% YoY to ₹2.59 Cr despite revenue declining 1.1% YoY to ₹90.98 Cr.
- EBIT rose 132.1% YoY to ₹1.23 Cr, and PAT turned around to ₹0.48 Cr from a ₹0.53 Cr loss.
- EPS turned positive at ₹1.23 from negative ₹1.35, with basic and diluted EPS identical.
Key concerns
- Revenue declined 1.1% YoY to ₹90.98 Cr, and the filing provides no volume, realisation or mix data to establish a durable demand recovery.
- EBITDA margin was only 2.8%, leaving limited buffer against input-cost, pricing or execution pressure.
- Other income of ₹0.51 Cr represented 108.5% of PBT of ₹0.47 Cr, making the ₹0.48 Cr PAT turnaround dependent on non-operating income.
Earnings quality: includes non-operating other income
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