Duroply Industries Limited conducted an earnings webinar on August 17, 2026, represented by Mr. Akhilesh Chitlangia, MD & CEO, moderated by Mr. Navin B. Agrawal of SKP Securities Ltd. The webinar discussed the unaudited financial results for Q1 FY27 (quarter ended June 30, 2026).
Business Performance Highlights
- The company entered its 70th year of business on June 26, 2026
- Q1 FY27 revenue stood at ₹99.6 crores, representing:
- 6.5% growth year-over-year (YoY)
- 10.7% decline quarter-over-quarter (QoQ)
- Profit Before Tax (PBT) was ₹1.04 crores, compared to:
- ₹1.88 crores in Q1 FY26 (YoY decline)
- ₹1.31 crores in Q4 FY26 (QoQ decline)
Revenue Breakdown
- Revenue from in-house manufactured goods: ₹51.3 crores
- 3.7% growth YoY
- 17% decline QoQ
- Revenue from contract manufacturing: ₹48.3 crores
- 9.6% growth YoY
- 2.9% decline QoQ
Margin Performance
- Gross margins improved to 35.5% from:
- 34.1% in Q1 FY26
- 34.3% in Q4 FY26
- Margin improvement attributed to better product mix and manufacturing efficiency benefits from strategies implemented over the last 18 months
- Stronger relationships with contract manufacturers also contributed to margin improvement
EBITDA Performance
- EBITDA for the quarter: ₹4.82 crores
- 10.5% decline YoY
- 7% decline QoQ
- EBITDA margin: 4.8% of sales, compared to:
- 5.8% in Q1 FY26
- 4.6% in Q4 FY26
- Margin decline driven by increased brand spending as a conscious strategy decision
Working Capital Metrics
- Debtor days decreased to 38 days from 42 days last year
- Inventory days increased to 164 days from 145 days last year
- Creditor days increased to 93 days from 72 days last year
Operational Context
- The West Asia war created significant cost pressures during the quarter
- Company mitigated cost pressures through:
- Better material usage
- Passing on cost increases
- Negotiating better terms with vendors
Strategic Initiatives
- Brand spending increased to approximately 4% of sales compared to 2.2% in the same quarter last year
- This represents a conscious decision to increase brand visibility for medium to long-term benefits
Management Outlook
- Q1 growth numbers were below expectations
- Management expects growth to improve into double digits in Q2 FY27
- Increased brand spend is expected to support this growth improvement
Webinar Details
- No questions were asked during the Q&A session
- The transcript was submitted to BSE for compliance purposes
- The transcript is also available on the company's website at www.duroply.in