Kaveri Seed Q1 FY27: consolidated PAT down 14% YoY on 13% revenue decline, margins flat
PAT -14.47% YoY · revenue -13.51% · margins flat
₹742.5 Cr
-13.51% YoY
₹279.84 Cr
-14.47% YoY
37.5%
-0.2pp YoY
₹54.4
Kaveri Seed's consolidated Q1 FY27 revenue came in at ₹742.50 Cr, down 13.5% YoY from ₹858.53 Cr, with consolidated PAT of ₹279.84 Cr, down 14.5% YoY from ₹327.16 Cr (basic EPS ₹54.40 vs ₹63.76). Standalone tells the same story — revenue ₹815.00 Cr (-13.8% YoY) and PAT ₹271.30 Cr (-14.3% YoY) — so the two statements are directionally aligned, and neither period carries an exceptional item, keeping the comparison clean.
Q1 FY-2027 vs prior quarters
Margins held up despite the topline drop: consolidated OPM was ~39.6% versus 39.4% a year ago, and NPM slipped only marginally to ~37.5% from 37.7%, because cost of materials consumed and the inventory-change line fell roughly in step with revenue. The one cost pressure was employee benefits expense, up 21.9% YoY to ₹44.64 Cr (₹36.62 Cr a year ago), which the company has absorbed without denting margins so far. Sequentially, consolidated PAT swung from a ₹27.81 Cr loss in Q4 FY26 to this quarter's ₹279.84 Cr profit, but that reflects the normal kharif-season concentration of sales in Q1 for a seed company rather than an operational turnaround, and should not be read as momentum.
The stock went into the print at ₹783.8, down 7.3% over the past month of trading.
For context: this is the second-highest quarterly PAT of the last 6 quarters.
What the summary numbers don't show
CFO retired effective July 31, 2026, a leadership transition landing just ahead of this results announcement
Management anticipates a strong FY27 with revenue growth projected at 15-20%, driven primarily by volume growth. Cotton is expected to outperform overall company growth, potentially exceeding 20%. While price increases are unlikely, lower production costs are expected to improve margins. The company is strategically in
— This quarter: missed
No numeric street consensus for the quarter turned up in a search; pre-print commentary (scanx.trade) had flagged expectations of robust growth from cotton, millet and hybrid-rice sales plus export strength, which the actual 13.5% YoY revenue decline runs counter to. Against management's own guidance from the May 2026 (Q4 FY26) concall — 15-20% FY27 revenue growth, cotton outperforming at over 20%, no price hikes, and margin gains from lower costs — this quarter's decline puts the full-year revenue target off-track one quarter in, even as the margin side of the guidance held roughly true. No company press release accompanying this filing was available to check management's own framing of the number against these figures. Corporate developments alongside the print include the CFO's retirement effective July 31, 2026, and a pending ITAT hearing (disclosed August 6, 2026) over a ₹69.5 Cr tax demand, a litigation item not yet reflected in the P&L.
W1
Whether FY27 revenue growth recovers toward the guided 15-20% band over Q2-Q4 after this quarter's 13.5% YoY consolidated decline
W2
Outcome of the ITAT hearing on the ₹69.5 Cr tax demand flagged August 6, 2026
W3
Employee cost run-rate (+21.9% YoY to ₹44.64 Cr consolidated) — whether it keeps outpacing revenue and starts pressuring margins
Converted ₹ Lakh → ₹ Cr (÷100); no exceptional items in current or year-ago quarter. Consolidated basic EPS is OCR-ambiguous in the scan (reads as '54,53'/'54.83' in two places) — recomputed from PAT attributable to equity holders (₹279.84 Cr) ÷ 5.1439 Cr shares = ₹54.40, used in place of the garbled print. NCI is negligible (-₹0.0016 Cr). QoQ swing from a Q4 FY26 consolidated loss to this quarter's profit is normal kharif-season seasonality for a seed company, not an operating turnaround.