Parag Milk Q1FY27: consol PAT down 20% YoY to ₹22 Cr on higher finance/depreciation costs

Parag Milk Foods' consolidated (primary) revenue for Q1 FY27 rose 10.9% YoY to ₹944.57 Cr (from ₹851.52 Cr in Q1 FY26) but was flat QoQ against ₹945.34 Cr in Q4 FY26. Consolidated PAT fell 20.1% YoY to ₹22.05 Cr from ₹27.58 Cr, and dropped 31.6% QoQ from ₹32.24 Cr — a sequential slowdown that, unlike the revenue line, isn't a seasonality artifact since it runs counter to the topline growth. Standalone PAT was ₹25.43 Cr on revenue of ₹920.47 Cr, also down YoY from ₹32.35 Cr a year ago; the two bases move together and no material divergence exists between them.

There is no exceptional item in either the current or comparison periods, so the profit decline is an operating and financing story, not a one-off. The bridge sits below the operating line: EBITDA margin (OPM) actually expanded to ~7.23% from 6.80% a year ago and 6.28% last quarter, as revenue growth outpaced material costs — gross margin came in near 27.3%, within management's guided 27-28% band from the Q4 FY26 call. But consolidated finance costs rose 9.4% YoY to ₹21.90 Cr and depreciation rose 13.2% YoY to ₹18.47 Cr, consuming the operating gains and pulling net profit margin down to ~2.33% from 3.21% a year ago — capex-driven cost creep offsetting an improving core business.

The stock went into the print at ₹224, down 0.3% over the past month of trading.

Consolidated basic EPS ₹1.76 vs ₹2.58 (QoQ) and ₹2.31 (YoY)

Management's Q4 FY26 call gave no formal quantitative guidance for FY27, only aspirations: double-digit volume growth in core categories, double-digit EBITDA margins "in the coming years," and 20-25% of revenue from the New Age business over 3-5 years — none independently verifiable from this filing's single-segment disclosure. No quarter-specific Street estimate for Q1 FY27 could be found; the closest available read is a broad analyst expectation of 15-20% full-year FY27 PAT growth, a bar this quarter's 20% YoY PAT decline runs counter to, though one quarter doesn't decide the full year. Alongside results, the board approved a fresh ₹105 Cr brownfield cheese capacity expansion (60 MT/day to 120 MT/day, by FY28) — a larger single commitment than the ₹60-70 Cr FY27 capex range guided in Q4 FY26 — and appointed Rakesh Kothari as CFO effective August 7, 2026, with MD Pritam Shah stepping down from the interim CFO role he had also held. No standalone management press release accompanied this filing.