Nitta Gelatin PAT +32% YoY to ₹25.2 Cr on cost relief; revenue flat, -13% QoQ

Nitta Gelatin India's consolidated net profit rose 31.6% year-on-year to ₹25.18 Cr in Q1 FY27 (quarter ended 30 June 2026), even as revenue from operations grew just 1.5% YoY to ₹140.87 Cr — making this a margin-led print rather than a volume or pricing story. The operating (EBITDA) margin expanded roughly 466 bps to 24.46% from 19.80% a year ago, and net profit margin rose to 17.42% from 13.54%, as net material cost (cost of materials consumed, adjusted for the inventory-build credit) eased to about 42.1% of revenue from 46.6% in the year-ago quarter — consistent with management's own note that the business's performance is dependent on raw-material quality, availability and price. There were no exceptional items in either this quarter or the year-ago comparator, so the 31.6% YoY PAT growth is a clean, unadjusted number. Standalone PAT of ₹25.19 Cr is nearly identical to the consolidated figure, confirming the small Bamni Proteins subsidiary carries negligible weight on the group result. Sequentially, the picture is softer: revenue fell 12.9% QoQ from Q4 FY26's ₹161.73 Cr and PAT fell 26.2% QoQ from ₹34.09 Cr, with OPM down from 28.06% and NPM down from 20.46%. This looks like a seasonal step-down and mild operating deleverage rather than a fresh cost problem — employee expense rose to 9.65% of revenue (from 7.82% in Q4) and other expenses to 23.80% (from 21.66%) as a broadly fixed cost base sat over a smaller Q1 revenue base, while the net-material-cost ratio itself was little changed QoQ (42.1% vs 42.5%). There is no management guidance or prior concall commentary on record to grade this print against, and no analyst/street coverage was found for this small-cap name, so both vsGuidance and vsStreet are unknown. The remaining quarter-relevant disclosures are governance/legal rather than financial: the board used the same meeting to approve a postal ballot for a KSIDC nominee-director change; Bamni Proteins (shut since a March 2024 Maharashtra Pollution Control Board closure order) stays classified as a discontinued operation with a marginal ₹0.10 Cr loss this quarter while the board explores disposing of its assets on a non-going-concern basis; and the company continues to carry an ₹18.20 Cr contingent liability on a customs-duty/fish-protein import-classification dispute now before the Supreme Court (interim stay granted, final hearing slated for September 2026), with no P&L impact this quarter.