TVS SRICHAKRA LTD.-$ Q1 FY27 Results

TVS Srichakra's consolidated revenue for Q1 FY27 (quarter ended June 30, 2026) rose 30.3% YoY to ₹1,067.6 Cr (₹819.4 Cr in Q1 FY26) and 8.8% QoQ (₹980.9 Cr in Q4 FY26). Consolidated PAT climbed 165% YoY to ₹34.0 Cr (₹12.8 Cr a year ago), though it eased 5.7% QoQ from ₹36.1 Cr, with net margin at 3.2% versus 1.6% a year ago and 3.65% last quarter. Basic EPS was ₹44.43 versus ₹16.82 a year ago and ₹47.13 last quarter. Standalone PAT was ₹29.22 Cr, up 61% YoY on ₹997.4 Cr revenue (+30.9% YoY) — a materially slower PAT climb than the consolidated print, reflecting the subsidiaries' (chiefly the US-based Super Grip Corporation) contribution this quarter.

The headline YoY PAT jump actually UNDERSTATES the underlying operating improvement rather than flattering it. Q1 FY26's comparative base was lifted by a ₹17.56 Cr net one-off gain (an ₹18.81 Cr SIPCOT investment-subsidy grant, partly offset by a ₹1.25 Cr VRS cost) booked as an exceptional item; stripped of that, Q1 FY26's clean pre-tax profit was just ₹2.36 Cr. This quarter carries its own smaller net one-off benefit — a ₹1.00 Cr VRS cost (exceptional item) more than offset by a ₹7.21 Cr receivable recognized within other income for US IEEPA tariff refunds, following the February 2026 US Supreme Court ruling that invalidated those tariffs (the Group's US subsidiary, Super Grip Corporation, has already collected ₹6.65 Cr of actual refunds). Stripping all one-offs on both sides, clean pre-tax profit rose to roughly ₹39 Cr from ~₹2.4 Cr a year ago; the resulting adjusted PAT growth rate (~1,800%+) isn't economically meaningful given how close to breakeven the prior-year base was — the more informative read is the absolute swing of roughly ₹28 Cr in clean profit. Materials cost also fell to 52.2% of revenue from 55.9% a year ago, aiding the margin recovery alongside higher volumes.

The stock went into the print at ₹4,045, down 4% 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.

There is no management guidance or prior-quarter concall commentary on record to benchmark this print against, and the filing itself is a bare regulatory disclosure letter with no separate management commentary. No quarter-specific street consensus for TVS Srichakra was found either; the only available analyst context (Univest) points to a broader FY27 full-year PAT growth estimate of roughly 15-20%, well below the pace shown this quarter, though a single quarter and a full-year estimate aren't directly comparable. On the corporate-activity front, the quarter's Eurogrip retail expansion (five stores in Hyderabad, a 16th store in Panipat, plus three more announced just after quarter-end) supports the replacement/retail side of the tyre business reflected in the revenue growth; the 51% acquisition of Weber Drivetrain, announced July 19, 2026, falls after the June 30 quarter-end and is not yet reflected in these numbers.