Federal-Mogul Goetze Q1 FY27: PAT flat YoY at ₹45.3 Cr as material costs erode margins
PAT +0.39% YoY · revenue +8.81% · margins compressing
₹526.27 Cr
+8.81% YoY
₹45.33 Cr
+0.39% YoY
8.34%
-0.7pp YoY
₹7.81
Consolidated revenue rose 8.8% YoY to ₹526.27 Cr, but PAT of ₹45.33 Cr was essentially flat (+0.4% YoY) as both margins compressed. Sequentially, revenue was up 7.7% QoQ but PAT fell 10.8% versus Q4 FY26 — a swing that is partly seasonal, since Q4 (Jan-Mar) is typically the stronger quarter for auto-component makers ahead of fiscal year-end.
Q1 FY-2027 vs prior quarters
The compression is a cost story, not a base-effect artifact: OPM fell to 12.82% from 14.59% YoY (and from 16.82% in Q4 FY26), while NPM slipped to 8.34% from 9.08% YoY (10.13% in Q4 FY26) — margins are down both year-on-year and sequentially, for a second straight quarter. The driver is raw materials: net cost of materials consumed (adjusted for inventory build) rose to roughly 39.2% of revenue from about 36.9% a year ago, outpacing the 8.8% topline growth. Employee costs actually improved as a share of revenue (21.5% vs 22.3%), and the effective tax rate held steady near 26%, so neither offset the material-cost squeeze.
The stock went into the print at ₹489, up 4.3% over the past month of trading.
For context: revenue is at a 6-quarter high.
What the summary numbers don't show
No exceptional items in this quarter or the year-ago quarter — the ₹2.47 Cr Labour Codes provision sat entirely in Q4 FY26, so the YoY comparison is clean, not base-effect driven
Sequential PAT fall of 10.8% vs Q4 FY26 reflects typical Q4-strong/Q1-soft seasonality for auto-component makers rather than fresh deterioration
Standalone tells a consistent story — revenue ₹515.81 Cr (+8.5% YoY) against PAT of ₹41.36 Cr, down marginally (-0.2% YoY) — so standalone and consolidated growth rates diverge by under a percentage point, with no basis-driven inconsistency to flag. We found no analyst consensus or brokerage preview specifically for this quarter; Federal-Mogul Goetze carries thin sell-side coverage and street positioning is unknown. The company has no formal guidance on record in our database or via public search, so this print cannot be graded against a stated outlook. No management press release accompanying the filing was available to cross-check the company's own framing. On the corporate side, Dr. Khalid Iqbal Khan ceased as Whole-time Director-Legal & CS effective 31 July 2026 and the AGM was pushed to 24 September 2026 — both unrelated to the operating numbers.
W1
Net material cost ratio (~39.2% of revenue this quarter vs ~36.9% YoY and lower in Q4 FY26) — the key swing factor for OPM recovery in Q2 FY27
W2
OPM trend, which has now fallen for two straight quarters (16.82% in Q4 FY26 to 12.82% in Q1 FY27) — watch for stabilization vs further erosion
W3
Standalone-vs-consolidated PAT growth gap (currently under 1pp) as subsidiary Federal-Mogul TPR's NCI contribution (₹1.87 Cr this quarter) evolves
Clean text-based filing, both statements clearly labelled and legible; figures converted from lakhs to crore. No exceptional item in Q1 FY27 (or year-ago Q1 FY26) for either basis — the company's only exceptional charge (Rs 2.47 Cr, Labour Codes provision) sat in Q4 FY26, so YoY comparison is like-for-like. Consolidated PAT of Rs 45.33 Cr includes NCI of Rs 1.87 Cr; owner's share is Rs 43.46 Cr (EPS Rs 7.81 is computed on owner's profit).