Atul Limited Earnings Summary — Q1 FY2027
Atul Limited Reports Robust 92% YoY Growth in Consolidated Net Profit Supported by Strong Performance Chemicals Volume
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue has increased for 10 consecutive quarters.
- Revenue of ₹1,848 Cr is 25.0% higher year-on-year.
- Revenue has compounded at 20.6% annualised over the last 10 quarters.
- Revenue is at its highest level in 10 quarters.
- Net profit has reached its highest level in 10 quarters.
- Net profit of ₹245 Cr is 92.0% above the same quarter last year.
- Profit growth is outpacing revenue growth, pointing to positive operating leverage.
- Net profit has compounded at 89.2% annualised across the period.
- Operating margin stands at 21.3% in Q1 FY2027.
- Operating margin expanded by 537 bps year-on-year.
- Over the last two years operating margin has expanded by 441 bps.
- PBT margin is 18.8%.
- Expense growth of 17.1% remained below revenue growth of 25.0%.
- Operating profit of ₹394 Cr is 67.1% higher year-on-year.
- Operating leverage continues to improve.
- 6 of the last 6 measured quarters delivered year-on-year revenue growth.
- Overall quarterly business momentum scores 88/100 (Excellent) on the latest 10 quarters.
- Business momentum remains positive heading into the next quarter.
Quarterly Financials
Last 10 Reported Quarters • All figures in ₹ Crore • Margins in %
| Metric | Trend | Latest Q1 FY2027 | Q4 FY2026 | Q3 FY2026 | Q2 FY2026 | Q1 FY2026 | Q4 FY2025 | Q3 FY2025 | Q2 FY2025 | Q1 FY2025 | Q4 FY2024 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | Improving | 1,848 | 1,670 | 1,574 | 1,552 | 1,478 | 1,452 | 1,417 | 1,393 | 1,322 | 1,212 |
| Expenses | Improving | 1,454 | 1,389 | 1,327 | 1,284 | 1,243 | 1,229 | 1,193 | 1,150 | 1,099 | 1,065 |
| Operating Profit | Improving | 394 | 281 | 247 | 267 | 236 | 223 | 224 | 243 | 223 | 148 |
| Operating Margin | Improving | 21.3% | 16.8% | 15.7% | 17.2% | 15.9% | 15.4% | 15.8% | 17.4% | 16.9% | 12.2% |
| Other Income | Volatile | 35 | 92 | 40 | 50 | 28 | 50 | 19 | 35 | 16 | 16 |
| Interest | Stable | 4 | 4 | 4 | 5 | 5 | 5 | 4 | 9 | 5 | 5 |
| Depreciation | Stable | 78 | 79 | 80 | 81 | 82 | 82 | 81 | 78 | 77 | 76 |
| Profit Before Tax | Improving | 347 | 289 | 203 | 231 | 177 | 186 | 158 | 191 | 158 | 83 |
| Tax | Accelerating | 93 | 78 | 40 | 49 | 45 | 56 | 41 | 51 | 46 | 24 |
| Net Profit | Strong Uptrend | 245 | 210 | 161 | 179 | 128 | 127 | 109 | 137 | 112 | 58 |
| Net Margin | Improving | 13.3% | 12.6% | 10.2% | 11.6% | 8.6% | 8.7% | 7.7% | 9.8% | 8.5% | 4.8% |
Key Takeaways
- Consolidated revenue increased 25% YoY to ₹1,848 cr, driven largely by the Performance and Other Chemicals segment which grew 34% YoY.
- The Performance and Other Chemicals segment saw significant margin improvement, with segment results jumping from ₹100 cr in Q1 FY26 to ₹240 cr in Q1 FY27.
- Life Science Chemicals segment revenue grew a modest 4% YoY, but segment profitability improved 36% compared to the same quarter last year.
- Consolidated PBT rose 96% YoY to ₹346.83 cr, reflecting improved operational efficiencies and better realizations in key chemical verticals.
- Inventory levels showed a significant build-up, with a consolidated inventory change of ₹(187.77) cr, indicating anticipation of higher sales or strategic stock positioning.
- The Board appointed Mr. Vinayak Deshpande, former CEO of Tata Projects, as an Independent Director to strengthen infrastructure and engineering oversight.
Management Guidance
While specific numerical guidance wasn't provided in the brief press release, the results reflect a recovery from the cyclical headwinds recently faced by the chemical industry, with a strategic shift toward performance-oriented products.
Sentiment Shift
Improving
Significant YoY recovery in both top and bottom lines suggests the company is moving past the normalization of global chemical supply gluts that impacted prior periods.
Outlook
The outlook remains healthy with a strong focus on high-margin Performance Chemicals and a stabilized raw material environment supporting margin expansion. Growth is likely to be driven by capacity utilization in new product lines and export demand.
From the Annual Report (Key Quotes)
“The Board of Directors has appointed Mr Vinayak Deshpande... for a period of five consecutive years.”
“These results have been reviewed and recommended for adoption by the Audit Committee... and approved by the Board of Directors.”
Official Quarterly Documents
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This summary is AI-generated from Atul Limited's latest quarterly filing and earnings call. For informational purposes only — not investment advice.