Glottis slips to a consolidated loss as margins crash to ~1.2%, even as revenue grows 29%
PAT -100.2% YoY · revenue +28.8% · margins compressing
₹276.48 Cr
+28.8% YoY
₹-0.02 Cr
-100.2% YoY
-0.01%
-5.8pp YoY
₹0
Glottis Ltd's consolidated Q2 FY27 print is a margin story, not a revenue one: revenue from operations rose to ₹276.48 Cr (+17.9% QoQ, +~28.8% YoY against ₹214.71 Cr a year ago on a standalone basis, since consolidation only began in March 2026), but consolidated operating margin collapsed to 1.21% from 6.94% in Q1 FY27 and 8.44% a year ago, dragging the group to a marginal net loss of ₹(0.02) Cr versus a ₹10.68 Cr profit in Q1 FY27 and ₹12.36 Cr a year ago — both a YoY and QoQ swing of roughly -100%. Half-year consolidated PAT is still positive at ₹10.66 Cr, entirely carried by Q1; Q2 on its own essentially broke even at the group level.
Q2 FY-2027 vs prior quarters
The margin bridge sits on the cost-of-services line: management's own filing note (Note 10, both standalone and consolidated) attributes the squeeze to "continued margin pressures arising from prevailing global economic uncertainties and prolonged geopolitical conflicts," which drove volatility in bunker charges and freight rates that could not be fully passed through under pre-agreed contractual pricing, compounded by lower volumes of project cargo, bulk shipments and sea-import shipments. Standalone (parent-only) PAT stayed positive at ₹0.25 Cr; it was a ₹0.27 Cr quarterly loss at the two wholly-owned overseas units (Glottis Inc. and Glottis Logistics Sdn Bhd — per the auditors' consolidation note) that tipped the consolidated number into negative territory, a divergence readers should know about since the standalone and consolidated bottom lines point in opposite directions this quarter.
The stock went into the print at ₹60, up 9% over the past month of trading.
What the summary numbers don't show
Prior guidance (Q1 FY27 call) was for margins to improve from 6.9% OPM — missed, with OPM instead falling to ~1.2-1.3%.
EPS (consolidated, basic) fell to ~₹0.00 for the quarter from ₹1.16 in Q1 FY27 — standalone EPS was ₹0.03 vs ₹1.16 in Q1.
FY27 revenue to exceed FY25 numbers (unquantified). Margins to improve slightly from current 6.9%. Full ₹132 Cr capex deployment by end-March FY27; fleet now 80 vehicles, containers in Q3. Target top-5 customer concentration to 15-20% in 2-3 years (from 29%).
— This quarter: missed
On the August 2026 concall, management had guided to margins improving slightly from the then 6.9% OPM — the opposite happened, a clear miss. No formal Street consensus or brokerage estimate for this specific quarter could be found (Glottis listed only in October 2025 and has limited analyst coverage), so vs-Street is unknown rather than assumed; a pre-result preview (Univest) flagged the same risk factors — freight-rate/shipping-capacity volatility and customer concentration — as watch items rather than giving numeric estimates, and this quarter's print confirms that risk materialised. On capex, only ₹6.41 Cr of the ₹132 Cr FY27 capex plan shows up in the H1 FY27 cash flow (purchase of PP&E and intangibles), leaving the bulk of the guided spend still to come in H2; the quarter's one operational update (a new Hyderabad branch) and the Malaysia subsidiary incorporation do not yet show up as a numbers-moving driver.
W1
Whether consolidated OPM recovers toward the 6.9%+ management had guided, after compressing to 1.21% this quarter.
W2
Pace of the ₹132 Cr FY27 capex plan — only ~₹6.4 Cr deployed in H1 FY27; fleet expansion to 80 vehicles and container additions were flagged for Q3.
W3
Top-5 customer concentration trend (targeted at 15-20% from 29% over 2-3 years) — not disclosed this quarter, watch for data in the next print.
Consolidated PAT (₹-0.0219 Cr) is ~₹0.004 Cr off PBT-minus-tax, likely rounding/OCI in source; standalone PAT ₹0.2474 Cr ties exactly. Consolidated figures not available for Sep-2025 (consolidation applies only from 18-Mar-2026), so YoY uses standalone-vs-standalone proxy from context.