Thirumalai Chem. Q1 FY27 Results (NSE: TIRUMALCHM)
Signal: Loss narrowed
The read
Consolidated revenue grew 21.5% YoY but after a big sequential drop; EBITDA turned positive (6.6% margin) yet PAT still a net loss of ₹43.67 Cr due to finance costs of ₹51.97 Cr, reflecting heavy borrowing for the US subsidiary's plant.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹5.47 Cr | 21.5% | -68.5% |
| EBIT | ₹0.13 Cr | 127.9% | |
| Net profit | ₹-0.44 Cr | N/A | |
| EPS | ₹-3.62 | 38.2% | |
| EBIT margin | 6.6% |
P&L walk
Consolidated revenue grew 21.5% YoY to ₹546.67 Cr but PAT loss of ₹43.67 Cr persists as finance costs jumped to ₹51.97 Cr (+186% YoY).
Segments
Only one reportable segment (manufacture and sale of organic chemicals) is identified, so no segment-level split is available; consolidated loss is largely driven by finance costs from group capex.
Key positives
- Consolidated revenue ₹546.67 Cr, +21.5% YoY, reversing a declining trend.
- Consolidated EBITDA turned positive at ₹35.86 Cr (6.6% margin) vs negative year-ago.
- Standalone business profitable at PAT ₹14.21 Cr despite revenue decline.
- Gross margin improved ~280bps YoY (raw material cost at 78.3% of revenue vs 81.1%).
Key concerns
- Consolidated PAT still a net loss of ₹43.67 Cr; EPS -₹3.62.
- Finance costs surged to ₹51.97 Cr (+186% YoY), eroding operating profits.
- Going concern note: current liabilities exceed current assets by ₹74,212 lakh at group level.
- Board approved ₹750 Cr fund raise, indicating liquidity stress.
- Standalone revenue down 25.8% YoY, indicating weak demand.
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