Raymond Q1FY27: PAT +50% YoY (adj), Aerospace +40% beats guidance, margins expand

Raymond Limited's consolidated (primary) Q1 FY27 results show revenue from operations of ₹605.61 Cr (total income ₹628.10 Cr) and PAT of ₹30.85 Cr. On a reported basis PAT is down ~99% YoY, but that comparison is meaningless: the year-ago quarter's ₹5,328.15 Cr PAT included a ₹5,307.53 Cr one-off gain on the demerger of the Realty business, booked under discontinued operations. Stripping that out, continuing-operations PAT was ₹20.62 Cr in Q1 FY26, so the adjusted YoY PAT growth is ~+50%, on revenue growth of 15.5% YoY (605.61 vs 524.29) and 0.4% QoQ (605.61 vs 602.91). Standalone, now essentially a holding entity post the engineering-subsidiary restructuring, posted a token PAT of ₹1.69 Cr on ₹0.80 Cr of operating revenue — all the operating profit sits at the consolidated/subsidiary level. Margins expanded on both cuts: group EBITDA of ₹100 Cr carried a 15.9% margin, up from 13.9% in Q4 FY26 and 15.7% a year ago. The expansion was driven almost entirely by Precision Technology & Auto Components, where EBITDA margin jumped to 13.8% from 10.6% YoY (EBITDA +45.5% to ₹61 Cr) on export volume growth, better product mix and operating leverage, even as revenue grew a more modest 11.5% to ₹444 Cr. Aerospace & Defence revenue rose 40.4% YoY to ₹123 Cr and EBITDA grew 25.4% to ₹26 Cr, but segment margin compressed to 21.2% from 23.7% — management attributes this to targeted R&D spend to capture the revenue ramp, and says margins will stabilize as programs reach steady state; that claim is unverified pending next quarter's print. Against the prior concall's guidance of 25% YoY growth in the Aerospace business, the actual 40.4% YoY growth is a clear beat, and the press release reiterates the ₹930 Cr Andhra Pradesh greenfield capex plan is "strictly on schedule." We found no specific street/consensus estimates published for this entity (distinct from the separately-listed Raymond Lifestyle and Raymond Realty, which did have previews) ahead of this print, so vsStreet is unknown. Management's own framing — a "healthy" quarter anchored by Aerospace/Defence and Precision Technology, per Chairman Gautam Hari Singhania — is consistent with the numbers: EBITDA and PAT both grew faster than revenue, evidencing operating leverage rather than just topline momentum. The quarter also saw two CEO/leadership appointments in the Aerospace vertical (Bhanu Prakash Srivastava as CEO-Defence, Deepal Shah as President-Strategy) and a new five-year statutory auditor (Price Waterhouse), alongside SEBI in-principle approval for a preferential warrant issue. Subsequent to quarter-end, the company allotted 66.57 lakh convertible warrants to promoter entity JK Investors at ₹497 each, receiving ₹82.72 Cr upfront (25% of issue price) — a promoter-backed capital infusion that, combined with the company's ₹129 Cr net cash surplus, funds the ongoing Aerospace capacity buildout without added leverage. The next print will be the first real test of whether Aerospace margins recover toward the 23-24% band as R&D spend normalizes.