Rajnish Wellness Q1 FY27: PAT falls 43% YoY, margins near-zero despite revenue surge
PAT -42.8% YoY · revenue +580.6% · margins compressing
₹31.01 Cr
+580.6% YoY
₹0.12 Cr
-42.8% YoY
0.4%
-4.2pp YoY
₹0.0012
Rajnish Wellness Ltd (Dava Discount pharma retail/distribution) posted standalone revenue of ₹31.01 Cr for Q1 FY27, up 580.6% YoY from a thin ₹4.56 Cr base a year ago, but net profit fell to ₹0.12 Cr from ₹0.22 Cr YoY — a 42.8% decline — even as the top line multiplied. The disconnect sits entirely in the margin line: net profit margin (on total income) compressed to about 0.40% from 4.60% a year ago, and operating margin (EBITDA/revenue) fell to roughly 0.16% from 3.91%. Purchases of stock-in-trade of ₹30.30 Cr made up 97.8% of the quarter's ₹30.97 Cr total expenses, confirming this is a low-margin trading/distribution business where a larger top line does not automatically translate to proportionate profit — cost of goods scaled in lockstep with revenue, leaving almost no operating cushion. Tax expense was nil for the quarter (both current and deferred), so pre-tax and post-tax profit are identical at ₹0.12 Cr.
Q1 FY-2027 vs prior quarters
Sequentially, the picture is more volatile than the YoY numbers suggest: Q4 FY26 (quarter ended March 2026) carried revenue of ₹101.95 Cr — over 3x this quarter's level — but ended in a net loss of ₹4.70 Cr, cushioned only by a ₹2.13 Cr deferred tax credit; Q1 FY27's revenue fell 69.6% QoQ from that elevated base while the company returned to a marginal profit, a reversion from an unusually loss-making prior quarter rather than a trend improvement. There is no management guidance or prior concall commentary on record for this company, and no press release accompanied this filing, so there is nothing to grade the print against; as a micro-cap with negligible EPS (₹0.0012 basic), it also carries no visible analyst/street coverage, so vsStreet cannot be assessed. Only a standalone unaudited statement, subjected to a limited review (not a full audit) by the statutory auditor, was filed — no consolidated results exist for this entity.
The stock went into the print at ₹0.41, down 0% 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.
W1
Whether revenue settles nearer the elevated Q4 FY26 run-rate (₹101.95 Cr) or stays near this quarter's ₹31 Cr level
W2
NPM/OPM trajectory — margins at 0.40%/0.16% leave almost no cushion; watch for recovery toward the ~4-6% seen a year ago
W3
No management guidance on record — watch for commentary in the next filing on drivers of the large QoQ revenue swing