Cosmo First Q1FY27: consol PAT +25% YoY on 46% revenue surge, but margins compress

Cosmo First's consolidated revenue rose 45.7% YoY to ₹1,165.54 Cr (+14.2% QoQ) and consolidated PAT grew 25.4% YoY to ₹53.75 Cr, with EPS at ₹20.71 versus ₹16.60 a year ago. The QoQ PAT jump of 45.6% looks dramatic but is flattered by a soft base — Q4FY26 carried a ₹7.20 Cr one-off provision (Netherlands subsidiary, unauthorised bank-transfer matter) that isn't repeated this quarter — so the YoY read is the one that matters, and on that basis profit growth trailed revenue growth by nearly 20 points, the clearest sign of margin dilution this print.

The driver sits squarely in input costs: cost of materials consumed rose 64.8% YoY (₹526.14 Cr to ₹867.36 Cr), well ahead of the 45.7% revenue increase, pulling consolidated NPM down to 4.61% from 5.20% and PBT margin to 6.07% from 6.81% a year ago. Packaging Films, still ~93% of segment revenue, saw its PBIT grow only 14.5% YoY (₹107.19 Cr to ₹122.78 Cr) against 44% segment revenue growth — margin dilution is concentrated in the core business, not the newer verticals. Petcare's segment loss widened to ₹14.84 Cr from ₹10.63 Cr even as its revenue grew 70% to ₹18.36 Cr, remaining a drag on group profitability. The one clear positive: Cosmo Plastech swung to a ₹2.46 Cr segment profit from a ₹6.63 Cr loss a year ago.

The stock went into the print at ₹877, up 8.1% over the past month of trading.

For context: this is the highest quarterly PAT in the last 6 quarters on our records; revenue is at a 6-quarter high.

No consensus/street estimates for this print turned up in a search as of August 6, 2026 — coverage on Cosmo First appears thin for this quarter, so vsStreet is unknown rather than inferred. Against management's own May 2026 guidance of double-digit FY27 topline growth, this quarter's 45.7% YoY revenue increase is a clear beat; but the guided profitability improvement (ROCE from 11% toward 14-15%, focus on high-margin products) is not showing through yet — margins moved the wrong way this quarter. No management press-release commentary was available in our records to cross-check framing. Standalone (parent-only) PAT was nearly flat YoY at ₹29.63 Cr despite a 41% revenue jump, underscoring that the consolidated profit uplift is disproportionately coming from subsidiaries rather than the parent entity.