Financial Results: Q1 FY27 (Quarter Ended June 30, 2026)

Income Statement Highlights (All figures in ₹ Crore)

  • Total Income: ₹75.71 crore, compared to ₹85.38 crore in Q1 FY26 (YoY decrease) and ₹123.45 crore in Q4 FY26 (QoQ decrease).
  • Profit before Depreciation, Interest and Tax (PBDIT): ₹5.30 crore.
  • PBDIT Margin: 7.0%, compared to 15.41% in Q1 FY26 and 12.01% in Q4 FY26.
  • Depreciation & Amortization: ₹8.81 crore.
  • Finance Costs: ₹7.18 crore.
  • Profit Before Tax (PBT) before Exceptional Items: Loss of ₹(10.69) crore.
  • Exceptional Items: Nil for the quarter (compared to ₹0.01 crore provision in Q4 FY26).
  • Tax Expenses and Deferred Tax Liability: ₹(0.58) crore (tax credit).
  • Profit/(Loss) after Tax: Net Loss of ₹(10.11) crore, compared to a net profit of ₹3.38 crore in Q1 FY26 and ₹0.41 crore in Q4 FY26.

Balance Sheet Highlights (All figures in ₹ Crore)

  • Total Equity & Liabilities / Total Assets: ₹466.53 crore as of June 30, 2026 (Q1), compared to ₹473.25 crore as of March 31, 2026.
  • Net Worth: ₹100.98 crore (Q1), down from ₹111.48 crore (FY26).
  • Long Term Borrowings: ₹162.75 crore (Q1), slightly down from ₹163.21 crore (FY26).
  • Short Term Borrowings: ₹79.93 crore (Q1), down from ₹87.19 crore (FY26).
  • Trade Payables: ₹84.27 crore (Q1), up from ₹70.90 crore (FY26).
  • Inventories: ₹82.51 crore (Q1), up significantly from ₹62.72 crore (FY26).
  • Trade Receivables: ₹40.89 crore (Q1), down from ₹64.97 crore (FY26).
  • Cash & Bank Balances: ₹8.70 crore (Q1), down from ₹11.96 crore (FY26).

Key Factors Affecting Q1 FY27 Performance

  • Production: Increased by 9.7% Year-on-Year (YoY) compared to Q1 FY26.
  • Revenue Recognition: Was impacted by lower dispatches due to:
  • Delays in customer material lifting and prototype approvals.
  • Logistics disruptions for exports related to the West Asia conflict.
  • Margin Pressure (PBDIT): Was impacted by three primary factors:

1. Raw Material (RM) Inflation: Impacted margins by approximately 200 basis points. Management stated this is largely recovered through customer RM indexation effective from Q2 FY27.

2. Consumable Cost Inflation: Impacted margins by approximately 300 basis points. Management stated this is partially recovered through customer price revisions effective from Q2 FY27.

3. Electricity Policy & Tariff Revision: Impacted margins by approximately 100 basis points. Management expects this to be offset through an additional 5MW wind Power Purchase Agreement (PPA) via open access and higher production volumes.

Business Overview and Guidance

  • Business Mix: Wind castings constitute 70% of business, with gearbox castings at 15%. The company is diversifying into non-wind castings for automobile dies, plastic injection, mining, and power sectors.
  • Capacity: Scaled up to 45,000 tonnes per annum (TPA). The company has an in-house machining capacity of 20,000 TPA, reducing dependency on outsourcing.
  • FY27 Guidance: Management expects:
  • Approximately 33% revenue growth over FY26, supported by additional capacity and revenues from new customers.
  • PBDIT margin improvement of more than 300 basis points YoY, driven by higher volumes, increased export contribution, and growing contributions from in-house machining.
  • Long-Term Capacity Expansion Plan: The presentation outlines a plan to increase capacity to over 100,000 MT within the next 3-4 years, from the current 45,000 TPA.