Transpek Q2 FY27: PAT rises 63% YoY on margin rebound, still under 15-20% target band
PAT +62.74% YoY · revenue +20.77% · margins compressing
₹193.56 Cr
+20.77% YoY
₹20.57 Cr
+62.74% YoY
10.11%
+2.5pp YoY
₹36.82
Transpek's consolidated revenue of ₹193.56 Cr grew 20.8% YoY and 28.1% QoQ, while consolidated PAT of ₹20.57 Cr rose 62.7% YoY and 130.4% QoQ — a sharp rebound after Q1 FY27's near-flat revenue and 42.7% YoY PAT decline. No formal sell-side consensus for this small-cap could be located, so the print cannot be benchmarked against street estimates; this is marked unknown rather than guessed. Against management's own FY27 guidance of 15-20% revenue growth (set on the Q1 concall alongside a 15-20% EBITDA margin target), Q2's 20.8% YoY growth sits at the top of the band, but H1 FY27 revenue is up only 9.6% YoY, still trailing full-year pace after a weak first quarter.
Q2 FY-2027 vs prior quarters
Operating margin (OPM) recovered to 14.98% from 13.33% in Q1 FY27, but remains below both the year-ago quarter's 16.65% and management's own 15-20% target floor — the core chemicals business has not yet closed the gap flagged as a risk on the last (bearish-toned, defensive) concall. A meaningful share of the PAT jump came from other income, which nearly doubled YoY to ₹9.84 Cr from ₹5.03 Cr (likely treasury/dividend income off the company's ₹329 Cr investment book), plus a lower effective tax rate (24.1% vs 25.5% YoY) — net profit margin actually expanded YoY (7.65% to 10.11%) even as the operating margin compressed, so the headline profit growth overstates the improvement in core profitability.
The stock went into the print at ₹1,362.2, down 2% over the past month of trading.
For context: this is the highest quarterly PAT in the last 6 quarters on our records; PAT has now risen for 2 consecutive quarters; revenue is at a 6-quarter high.
FY27 revenue growth 15–20% (₹4Cr acid chloride ramping to ₹15Cr; new products ₹50Cr each rolling in FY28+). Odisha capex ₹250Cr over 5–6 years; commercial production FY29-30. EBITDA margin target 15–20% despite volatility.
— This quarter: met
On corporate activity, the company acquired 23 acres of land for ₹41 Cr on November 5, ahead of its previously flagged ₹250 Cr Odisha capacity expansion (commercial production guided for FY29-30); the FY26 AGM filing and insider-trading window closure earlier in the quarter were routine and unrelated to the print. No management press release accompanying this result was available in the record to cross-check against the reported numbers.
W1
Whether OPM closes the gap to management's 15-20% EBITDA margin target (currently 14.98%) as the acid chloride line (₹4 Cr to ₹15 Cr guided) and new products scale.
W2
H2 FY27 revenue run-rate needs to outpace H1's 9.6% YoY to hit the full-year 15-20% guided growth.
W3
Capital deployment pace on the ₹250 Cr Odisha capex (plus the new ₹41 Cr land buy) tracking toward FY29-30 commercial production.