Windlas Biotech Q1 FY27 Results (NSE: WINDLAS)
Signal: Steady quarter
The read
The trajectory remains revenue-positive but earnings-quality is under pressure: revenue grew +18.1% YoY to ₹2,480.99 million, while employee benefit expenses grew +37.9% to ₹444.34 million and finance cost grew +56.0% to ₹16.50 million, keeping PAT flat at ₹176.53 million after two consecutive prior quarters of margin contraction in the company history.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹248.1 Cr | +18.1% | +4.0% |
| Net profit | ₹17.65 Cr | -0.1% | |
| EPS | ₹8.46 | +0.4% |
P&L walk
Standalone revenue increased to ₹2,480.99 million, +18.1% YoY and +4.0% QoQ, while gross margin was broadly stable at 38.4%; employee costs rose +37.9% YoY and finance costs +56.0% YoY, leaving PAT flat at ₹176.53 million, -0.1% YoY.
Key positives
- Revenue was ₹2,480.99 million, up +18.1% YoY and +4.0% QoQ, sustaining double-digit growth despite the recent margin pressure.
- Gross margin was broadly stable at 38.4%, +19bps YoY, despite cost of material consumed rising +34.5% YoY.
- Basic EPS increased +0.4% YoY to ₹8.46, broadly tracking PAT, with the post-buyback share base supporting per-share earnings.
Key concerns
- Employee benefit expenses rose +37.9% YoY to ₹444.34 million against revenue growth of +18.1% YoY, lifting employee cost intensity to 17.9% of revenue from 15.3%.
- Finance cost increased +56.0% YoY to ₹16.50 million, faster than revenue growth and reducing the conversion of operating performance into PAT.
- PAT was ₹176.53 million, -0.1% YoY, materially lagging the +18.1% revenue increase because PBT declined 1.4% YoY to ₹229.36 million.
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