Nesco Limited Earnings Summary — Q1 FY2027
Nesco Reports Q1 Profit of ₹100 Crore with Steady Growth in Realty and Foods Segments
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue declined 15.8% sequentially in Q1 FY2027.
- Revenue of ₹212 Cr is 9.5% higher year-on-year.
- Revenue has compounded at 5.2% annualised over the last 10 quarters.
- Net profit of ₹100 Cr is 4.0% above the same quarter last year.
- Profit growth is trailing revenue growth this quarter.
- Net profit has compounded at -2.2% annualised across the period.
- Operating margin stands at 48.3% in Q1 FY2027.
- Operating margin compressed by 874 bps year-on-year.
- Over the last two years operating margin has contracted by 1257 bps.
- PBT margin is 60.0%.
- Expenses grew 31.8% against revenue growth of 9.5%.
- Operating profit of ₹102 Cr is 7.2% lower year-on-year.
- Operating leverage has been under pressure recently.
- 6 of the last 6 measured quarters delivered year-on-year revenue growth.
- Overall quarterly business momentum scores 53/100 (Moderate) 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 | Stable | 212 | 252 | 248 | 239 | 193 | 192 | 207 | 192 | 141 | 189 |
| Expenses | Improving | 109 | 134 | 122 | 103 | 83 | 85 | 81 | 73 | 55 | 72 |
| Operating Profit | Stable | 102 | 118 | 126 | 136 | 110 | 107 | 125 | 120 | 86 | 117 |
| Operating Margin | Stable | 48.3% | 46.9% | 50.8% | 56.9% | 57.1% | 55.5% | 60.7% | 62.2% | 60.9% | 62.1% |
| Other Income | Accelerating | 44 | 21 | 27 | 24 | 28 | 20 | 31 | 33 | 30 | 31 |
| Interest | Volatile | 7 | 8 | 8 | 5 | 4 | 1 | 2 | 6 | 3 | 0 |
| Depreciation | Stable | 12 | 14 | 13 | 12 | 11 | 13 | 13 | 12 | 12 | 12 |
| Profit Before Tax | Stable | 127 | 116 | 132 | 143 | 124 | 112 | 142 | 135 | 100 | 136 |
| Tax | Stable | 27 | 23 | 27 | 25 | 28 | 23 | 32 | 28 | 31 | 31 |
| Net Profit | Stable | 100 | 93 | 105 | 119 | 96 | 89 | 110 | 107 | 70 | 105 |
| Net Margin | Stable | 47.2% | 37.0% | 42.2% | 49.7% | 49.7% | 46.1% | 53.2% | 55.6% | 49.4% | 55.6% |
Key Takeaways
- Consolidated Revenue from Operations grew 9.55% YoY to ₹211.80 crore, led by strong performance in the Foods and Indabrator segments.
- Realty remains the largest contributor with ₹98.39 crore in revenue and stable margins of 84.2%, though growth was flat YoY.
- Bombay Exhibition Center (BEC) revenue increased 10.4% YoY to ₹44.62 crore despite a significant sequential decline from Q4.
- Other Income saw a sharp spike to ₹43.60 crore, partially boosted by an ₹11.22 crore gain from surrendering leased premises.
- Foods segment revenue surged 22.7% YoY to ₹57.68 crore, maintaining its position as a key growth driver for the company.
- Finance costs nearly doubled YoY to ₹7.26 crore, reflecting the increased strategic borrowing initiated for portfolio expansion projects.
- Standalone and Consolidated results are largely identical, indicating minimal financial impact from the subsidiary Nesco Retail Private Limited.
Management Guidance
Management remains focused on maintaining high occupancy (>98%) in IT Park assets and scaling Tower 4 through internal accruals and strategic debt. Commentary emphasizes a focus on professional execution and asset creation over short-term distributions.
Sentiment Shift
Stable
The company continues its steady performance as a high-quality compounder with robust margins, though sequential revenue volatility in the Exhibition segment is expected.
Outlook
Positive long-term outlook supported by prime real estate holdings in Mumbai and tower occupancy stability. High liquid investments exceeding ₹1,500 Cr provide a significant safety net for ongoing capital expenditure.
From the Annual Report (Key Quotes)
“The Company has during the quarter surrendered certain premises... resulting into net gain of Rs 11.22 Cr.”
“Nesco demonstrates a robust business profile characterized by a premium real estate and services portfolio.”
“Management focus remains on 'occupancy' and 'chargeable area' as key KPIs.”
Official Quarterly Documents
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This summary is AI-generated from Nesco Limited's latest quarterly filing and earnings call. For informational purposes only — not investment advice.