Usha Martin Q1: consolidated PAT ₹142 Cr, up 41% YoY as EBITDA margin nears 20% target
PAT +40.9% YoY · revenue +16.44% · margins expanding · beat vs street
₹1,033 Cr
+16.44% YoY
₹142.04 Cr
+40.9% YoY
13.64%
+2.5pp YoY
₹4.66
Usha Martin opened FY27 with a strong print. Consolidated revenue rose to ₹1,033 Cr, up 16.4% YoY (from ₹887 Cr) and 5.5% sequentially, while net profit climbed 40.9% YoY to ₹142.04 Cr from ₹100.81 Cr a year ago. Crucially there were no exceptional items on either side of the year-on-year comparison, so the reported growth is also the underlying growth — this is a clean beat, not a one-off flattered number. Net margin expanded to 13.75% from 11.17% a year ago, and operating (EBITDA) margin widened to roughly 19.8% from ~15.6% in Q1 FY26, driven by a richer value-added product mix and lower finance costs (₹3.9 Cr vs ₹6.25 Cr) off the net-cash balance sheet.
Q1 FY-2027 vs prior quarters
The print beats the Street: Univest/Uniresearch had modelled revenue near ₹953 Cr and PAT around ₹98 Cr, so both topline and bottom line came in comfortably ahead. It also validates management's April guidance — the ~19.8% EBITDA margin sits just under the raised ≥20% target and the mix-led value growth is consistent with the 10-12% volume-growth roadmap in high-value segments (oil & offshore, cranes, elevators). Segment detail confirms the story: Wire & Wire Ropes did essentially all the work, with segment result of ₹192.06 Cr versus a negligible Others contribution.
The stock went into the print at ₹502.1, up 6.1% over the past month of trading.
For context: this is the second-highest quarterly PAT of the last 6 quarters; revenue is at a 6-quarter high.
Management guides for 10-12% annual volume growth over the next 2-3 years, driven by a strategic shift towards high-value products in segments like oil & offshore, cranes, and elevators. They have raised their operating EBITDA margin guidance to a minimum of 20%, supported by a superior product mix and sustained cost e
— This quarter: met
The one soft optic — PAT down ~4% QoQ against Q4's ₹148 Cr — is not operational: Q4 carried ₹26.66 Cr of other income (including ₹19.63 Cr interest on a tax refund plus a Chennai land-sale gain) against just ₹8.56 Cr this quarter, and Q4 also booked a ₹3.52 Cr exceptional labour-code charge. Stripping the one-offs, sequential operating profit was roughly flat, so the QoQ dip is a comparison artefact, not a slowdown. Standalone told a slightly softer version (PAT ₹97.60 Cr, +37.7% YoY) — within range of the consolidated read, no material divergence.
W1
EBITDA margin vs the ≥20% guidance — this quarter's ~19.8% is closing on it; watch if Q2 crosses and holds
W2
Value-added volume growth against the 10-12% annual guide, and progress in oil & offshore / cranes / elevators flagged on the last call (July 28 concall detail)
W3
Progress of the ED/CBI/PMLA proceedings (₹190.37 Cr land attachment) with hearings listed Aug 1/5/13/17 — legal, but a live tail risk with no provision taken
Clean digital filing, both statements clearly labelled. Consolidated PBT includes ₹4.97 Cr share of JV profit; PAT ₹142.04 Cr is total-for-period (parent ₹141.98 Cr, NCI ₹0.06 Cr) — matches our netProfit convention. No exceptional item this quarter (prior Q4 had ₹3.52 Cr labour-code charge; Q4 other income was flattered by ₹19.63 Cr tax-refund interest + Chennai land-sale gain). SBB discontinued-ops receivable ₹64.98 Cr pending land registration. EoM: ongoing ED/CBI/PMLA proceedings on prior iron-ore-fines land attachment (₹190.37 Cr), no adjustment made.
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