Butterfly Q1 PAT up 38% YoY to ₹8.9 Cr as margins widen on 14% revenue growth
PAT +38.14% YoY · revenue +14.14% · margins expanding
₹213.87 Cr
+14.14% YoY
₹8.89 Cr
+38.14% YoY
4.1%
+0.7pp YoY
₹4.97
Butterfly Gandhimathi Appliances opened FY27 with a clean beat on profitability: standalone net profit rose 38.1% year-on-year to ₹8.89 Cr (Q1 FY26: ₹6.43 Cr) on revenue of ₹213.87 Cr, up 14.1% YoY. Net margin expanded to 4.16% from 3.40% a year ago, and operating margin firmed to ~7.0% from 6.82%, so profit growth outpaced the topline — the quarter's story is margin, not just volume. The lift came despite a sharp inventory build (changes in inventories of ₹-37.85 Cr vs ₹-8.93 Cr a year ago as finished goods stocked up); higher other expenses (₹40.82 Cr vs ₹37.41 Cr) were absorbed while finance costs fell to ₹0.21 Cr from ₹0.72 Cr, aiding the bottom line. There were no exceptional items this quarter, making the 38% YoY a genuine underlying gain rather than a base-effect artifact.
Q1 FY-2027 vs prior quarters
Sequentially the print looks softer — revenue eased 2.0% and PAT fell 22.3% from Q4 FY26's ₹11.44 Cr — but that is the normal seasonality of a domestic-appliances (kitchen/cookware) business, where the March quarter is the peak; the YoY comparison is the honest read, and it is firmly positive. The single-segment (Domestic Appliances) operation carries no formal guidance and no analyst consensus exists for a company of this size, so there is no external bar to grade against; against its own prior year, however, it built on FY26's 40% profit growth. Corporate developments this quarter — a gas-cooktop safety-knob patent and a Golden Peacock eco-innovation award — support the product/premiumisation angle but did not move Q1 numbers. Watch whether the inventory build converts to festive-season sales and whether the margin gain holds as the year progresses.
The stock went into the print at ₹735, up 3.1% over the past month of trading.
What the summary numbers don't show
Standalone only — no subsidiaries; single Domestic Appliances segment; results unaudited, limited review unmodified
W1
Whether the Q1 inventory build (₹-37.85 Cr) converts into festive-season Q2/Q3 sales
W2
Durability of margin gain — NPM held at 4.16% YoY; watch if OPM sustains above ~7% into H2
W3
YoY revenue momentum — 14% growth needs to hold given a flat-to-soft sequential trend
Standalone only — no subsidiary/associate/JV (Note 5). Source in ₹ Lakhs, converted to ₹ Cr. No exceptional item this quarter; PBT before-exceptional = PBT (₹11.93 Cr). Prior-year Q1 also clean, so YoY is like-for-like. EPS not annualized. Limited review, unmodified.