The Invest.Trust Q1 FY27 Results (NSE: THEINVEST)
Signal: Earnings grew
The read
The quarter shows an operating deterioration rather than a clean earnings recovery: revenue fell 15.3% YoY, EBITDA fell 44.0% and margin declined to 23.4%, while PAT rose 35.5% mainly because other income represented 67% of PBT and associate profit contributed ₹596.48 lakh. The earnings base remains concentrated in subsidiaries and associates, as standalone PAT was only ₹20.39 lakh versus consolidated PAT of ₹1237.98 lakh.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹59.36 Cr | -15.3% | 11.7% |
| EBIT | ₹11.72 Cr | -47.2% | |
| Net profit | ₹12.4 Cr | 35.5% | |
| EPS | ₹2.37 | 35.4% | |
| EBIT margin | 23.4% |
P&L walk
Revenue declined to ₹5936.00 lakh (-15.3% YoY, +11.7% QoQ), EBITDA fell 44.0% to ₹1389.00 lakh with margin down to 23.4%, but PAT increased 35.5% to ₹1237.98 lakh because other income was ₹591.93 lakh and associate profit was ₹596.48 lakh.
Segments
Broking remained the largest disclosed revenue contributor at ₹3588.96 lakh and ₹659.77 lakh of segment result, while trading activities were loss-making at -₹94.80 lakh; the ₹1237.98 lakh consolidated PAT was also materially supported by ₹596.48 lakh of associate profit.
Key positives
- Consolidated EPS rose 35.4% YoY to ₹2.37, closely tracking PAT growth of 35.5%, with no apparent dilution signal.
- Standalone revenue increased 186.3% YoY to ₹773.23 lakh and standalone EBITDA increased 82.6% to ₹356.00 lakh, albeit from a low base.
- Investment and advisory services revenue increased 63.6% YoY to ₹1101.08 lakh and contributed ₹197.74 lakh of segment result.
Key concerns
- Consolidated revenue declined 15.3% YoY to ₹5936.00 lakh and EBITDA declined 44.0% to ₹1389.00 lakh, with EBITDA margin down to 23.4%.
- Gross margin compressed 276bps YoY to 52.6% as purchase of traded goods increased to 47.4% of revenue from 44.6%; the filing does not disclose the driver.
- Standalone PAT was only ₹20.39 lakh versus consolidated PAT of ₹1237.98 lakh, leaving reported earnings dependent on subsidiaries, associates and non-operating income.
Earnings quality: includes non-operating other income
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