Executive Summary & Financial Performance

La Tim Metal & Industries Limited reported strong financial results for Q2 FY27 and H1 FY27, marked by significant growth in revenue and profitability. The company attributes this performance to a strategic shift in focus from trade distribution towards the OEM business and an enhanced contribution from value-added and premium industrial segments.

Q2 FY27 Financial Highlights (YoY Change):

  • Revenue from Operations: ₹150.4 Crore, up 68.5% from ₹89.2 Crore
  • Gross Profit: ₹16.3 Crore, up 80.8% from ₹9.0 Crore
  • Gross Profit Margin: 10.9%, expanded by 74 bps from 10.1%
  • EBITDA: ₹7.5 Crore, up 125.3% from ₹3.3 Crore
  • EBITDA Margin: 5.0%, expanded by 126 bps from 3.7%
  • Profit Before Tax: ₹5.4 Crore, up 215.8% from ₹1.7 Crore
  • Profit After Tax (PAT): ₹3.9 Crore, up 170.3% from ₹1.4 Crore
  • PAT Margin: 2.6%, expanded by 98 bps from 1.6%
  • Diluted EPS: ₹0.3, up 145.5% from ₹0.1

H1 FY27 Financial Highlights (YoY Change):

  • Revenue from Operations: ₹287.7 Crore, up 62.7% from ₹176.8 Crore
  • Gross Profit: ₹30.4 Crore, up 66.5% from ₹18.2 Crore
  • Gross Profit Margin: 10.6%, expanded by 24 bps from 10.3%
  • EBITDA: ₹14.3 Crore, up 85.2% from ₹7.7 Crore
  • EBITDA Margin: 5.0%, expanded by 60 bps from 4.4%
  • Profit Before Tax: ₹10.1 Crore, up 138.9% from ₹4.2 Crore
  • Profit After Tax (PAT): ₹7.1 Crore, up 105.4% from ₹3.5 Crore
  • PAT Margin: 2.5%, expanded by 51 bps from 2.0%
  • Diluted EPS: ₹0.5, up 103.8% from ₹0.3

Segment Revenue Breakdown:

  • H1 FY27: Steel and steel products contributed ₹287.0 Crore; Real estate development contributed ₹0.7 Crore
  • Q2 FY27: Steel and steel products contributed ₹149.7 Crore; Real estate development contributed ₹0.7 Crore

Company Overview & Business Model

Established in 1974, La Tim Metal & Industries Limited is engaged in the manufacturing and dealing of color coated steel coils. The company has an emerging presence in export markets, particularly Europe. Its manufacturing facility has a capacity of >90,000 MTPA.

Product Portfolio:

1. Color Coated Steel Coils: With Galvanized, Galvalume and Aluminium substrates. Applications include roofing, cladding, sandwich panels, prefab structures, doors, shutters, appliances, and portable cabins.

2. Design Coated/Printed Steel Coils: Featuring wood, marble, stone, tile and floral patterns. Applications include furniture, doors, wall panels, false ceiling baffles, architectural facades, sandwich panels, gates, and fencing.

3. Stone Coated Steel Roof: Combines steel strength with stone-chip surface. Applications include luxury homes, holiday homes, architectural roofing, hotels, and resorts.

4. Asphalt Shingles: Durable, stylish roofing providing weather protection. Applications include luxury homes, holiday homes, architectural roofing, hotels, and resorts.

The company is broadening its specialized product offerings through next-generation roofing & cladding solutions.

Operational Metrics (FY26 Performance)

  • Inventory Turnover: Improved to 4.2x from 3.6x
  • Trade Receivable Turnover: Accelerated to 14.1x from 12.0x
  • Trade Payable Turnover: Moderated to 9.6x from 18.0x
  • Net Capital Turnover: Expanded to 5.5x from 5.0x
  • Return on Capital Employed: Surged to 21.5% from 4.6%
  • Return on Equity: Rebounded to 10.4% from -1.2%
  • Return on Investment: Jumped to 10.1% from 2.5%
  • Net Profit Margin: Delivered 2.1% margin vs. -0.3%
  • Current Ratio: Stood healthy at 1.8x
  • Debt-to-Equity Ratio: Managed at 0.6x
  • Interest Service Coverage Ratio: Registered at 2.4x vs. 0.6x

Balance Sheet Position (H1 FY27)

Assets (₹236.0 Crore):

  • Property, plant & equipment and intangible assets: ₹14.8 Crore
  • Right of use assets: ₹1.1 Crore
  • Investments: ₹3.3 Crore
  • Inventories: ₹102.1 Crore
  • Trade receivables: ₹65.4 Crore
  • Cash & cash equivalents: ₹5.9 Crore
  • Other financial assets: ₹4.9 Crore
  • Short term loans & advances: ₹7.6 Crore
  • Other current assets: ₹30.9 Crore

Liabilities & Equity (₹236.0 Crore):

  • Shareholder's funds: ₹85.8 Crore
  • Long-term borrowings: ₹12.6 Crore
  • Lease liabilities: ₹1.3 Crore
  • Other non-current liabilities: ₹3.4 Crore
  • Deferred tax liabilities (Net): ₹1.4 Crore
  • Other financial liabilities: ₹2.2 Crore
  • Short-term borrowings: ₹62.3 Crore
  • Trade payables: ₹61.9 Crore
  • Other current liabilities: ₹4.6 Crore
  • Provisions: ₹0.3 Crore

Cash Flow Statement

H1 FY27 Performance:

  • Net cash from operating activities: (₹12.7) Crore
  • Net cash from investing activities: (₹4.5) Crore
  • Net cash from financing activities: ₹20.4 Crore
  • Net increase in cash & cash equivalents: ₹3.1 Crore
  • Cash & cash equivalents at period end: ₹5.1 Crore

Real Estate Asset - Industrial Park

La Tim has a presence in real estate development through the La Tim Industrial Park, a large land parcel located on Mumbai-Goa Road, Taluka Tala. The park is strategically positioned within an established steel and industrial ecosystem near companies including POSCO Steel Limited, Maharashtra Seamless Tubes, and JSW Steel. The company intends to develop the Industrial Park through a land-parceling model with subdivided plots offered to industrial occupiers.

Leadership Team

  • Rahul M. Timbadia: Managing Director (DIN: 00691457)
  • Kartik M. Timbadia: Chairman & Executive Director
  • Sandip K. Timbadia: Director & CFO (Chartered Accountant)
  • Sandeep N. Ohri: Non-Executive & Independent Director
  • Ragini Chokshi: Non-Executive & Independent Director (Company Secretary)
  • Ravi Kumar Seth: Non-Executive & Independent Director (Chartered Accountant)

Investment Rationale & Growth Drivers

The presentation highlights several growth drivers:

  • Transitioning towards value-added & premium steel solutions
  • Strategic land asset (Industrial Park) provides additional value-unlocking potential
  • Diversification across complementary revenue streams
  • Exposure to diverse end-market applications
  • Rising demand for value-added steel in construction and industrial applications
  • Industrial & warehousing expansion driving coated steel demand
  • Infrastructure investment supporting roofing demand

Historical Financial Performance (Annual)

| Particulars (₹ Cr) | FY26 | FY25 | FY24 |

| Revenue From Operations | 390.5 | 256.6 | 348.5 |

| Growth (%) | 52.2% | -26.4% | - |

| EBITDA | 15.7 | 1.2 | 14.4 |

| EBITDA Margin | 4.0% | 0.5% | 4.1% |

| PAT | 8.2 | -0.9 | 7.7 |

| PAT Margin | 2.1% | -0.3% | 2.2% |

2-Year CAGR (FY24-FY26): Revenue From Operations: 5.9%, EBITDA: 4.6%, PAT: 3.7%