Unicommerce eSolutions Limited conducted its Q1 FY27 earnings conference call on August 14, 2026, at 9:00 AM IST. The call was moderated by Strategic Growth Advisors, with participation from management including Mr. Kapil Makhija (Managing Director and CEO) and Mr. Anurag Mittal (CFO).
Financial Performance
- Revenue for Q1 FY27 stood at ₹51.4 crore, representing 14.3% year-on-year growth from ₹44.9 crore in Q1 FY26
- Adjusted EBITDA was ₹8.1 crore, down 14.5% from ₹9.5 crore in Q1 FY26, primarily due to planned growth investments
- Profit After Tax increased by 20.2% to ₹4.7 crore compared to ₹3.9 crore in the same quarter last year, driven by tax benefits
- Cash and bank balances grew 72.1% YoY to ₹92.6 crore from ₹53.8 crore at end of Q1 FY26
- ESOP expense for the quarter was approximately ₹2.5 crore, with expected quarterly expenses of ₹2.5-4 crore over the next year
Business Performance and Strategy
Uniware Platform:
- Revenue growth of 12.8% YoY, marking the fourth consecutive quarter of improving growth
- Underlying growth exceeded 15% YoY when excluding impact of a former top 10 customer that discontinued operations in Q3 FY26
- Added 115 enterprise customers, a 30.7% increase compared to 88 in same quarter last year
- New marquee customers include Amul, Haldiram's, STUDDS, Pigeon, Mahindra Logistics, The Sleep Company, Snoonu, and Namshi
- Product adoption rates: 40-45% using quick commerce and B2B modules, 6-7% adopted UniReco within a year, 3-4% adopted UniCapture within 2 quarters
- Guidance: Confident of delivering 15%+ growth from Q4 FY27 onwards
Shipway Platform:
- Revenue growth of 16.8% YoY
- Demonstrated 15%+ YoY growth over last two quarters
- Management targeting 20%+ growth by Q4 FY27
- Operating in a ₹4,000+ crore market opportunity with single-digit market share
- Plan to achieve breakeven by Q3 FY27
- Customer overlap between Uniware and Shipway remains at 10%+
Investment Strategy
The company is making front-loaded investments in H1 FY27 focused on three areas:
1. AI-led product innovation: Moving platforms from systems of record to AI-led systems of intelligence
2. Talent and capability addition: Strengthening leadership and adding AI capabilities
3. Go-to-market expansion: Expanding sales capacity and marketing initiatives
Investments are expected to total "a few crores" and are primarily focused on sales/marketing capacity, platform enhancement, and senior/middle management talent addition.
Market Position and Competitive Landscape
- Uniware maintains market leadership in OMS/WMS space with premium positioning
- Average realization from Uniware enterprise customers remains around ₹1 lakh per month
- Enterprise customer base exceeds 1,100 customers
- Net Revenue Retention (NRR) has historically been 100%+ and is expected to remain so
- Primary churn reasons: Brand shutdowns or business model changes rather than competitive switching
Future Outlook
- Most investments front-loaded in H1 FY27 with benefits expected in H2 FY27
- Improving profitability trajectory expected in H2 FY27 and beyond
- Uniware standalone adjusted EBITDA increased from ₹9.1 crore in Q1 FY26 to ₹11 crore in Q1 FY27 despite investments
- Company evaluating M&A opportunities in adjacent areas (checkout mentioned specifically) with focus on products that make sense for existing customers, good team/product, right valuation, and path to profitability
- No immediate fund raise planned given strong cash generation
Q&A Highlights
- ESOP expenses expected to continue at ₹2.5-4 crore per quarter for the next year
- Shipway growth acceleration expected from current investments in sales/marketing and platform enhancement
- Competitive advantages include: ecosystem relationships, high switching costs, mission-critical nature of software
- Market penetration remains low with significant headroom as brands move from Excel to specialized software
- Investments in newer modules (UniCapture, UniReco, UniBot) expected to contribute meaningfully over 18-24 month maturity cycle