South West Pinnacle Exploration Limited Earnings Summary — Q1 FY2027
South West Pinnacle Reports 288% YoY Profit Growth in Q1 FY2027 Amid Strong Exploration Demand
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue declined 20.6% sequentially in Q1 FY2027.
- Revenue of ₹62 Cr is 53.4% higher year-on-year.
- Revenue has compounded at 15.0% annualised over the last 10 quarters.
- Net profit of ₹9 Cr is 289.2% above the same quarter last year.
- Profit growth is outpacing revenue growth, pointing to positive operating leverage.
- Net profit has compounded at 70.8% annualised across the period.
- Operating margin stands at 24.2% in Q1 FY2027.
- Operating margin expanded by 979 bps year-on-year.
- Over the last two years operating margin has expanded by 856 bps.
- PBT margin is 19.3%.
- Expense growth of 35.8% remained below revenue growth of 53.4%.
- Operating profit of ₹15 Cr is 157.7% 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 73/100 (Strong) 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 | 62 | 78 | 63 | 62 | 40 | 74 | 49 | 27 | 29 | 45 |
| Expenses | Improving | 47 | 57 | 46 | 48 | 34 | 58 | 40 | 24 | 25 | 37 |
| Operating Profit | Volatile | 15 | 20 | 17 | 14 | 6 | 15 | 9 | 3 | 5 | 8 |
| Operating Margin | Improving | 24.2% | 26.2% | 27.4% | 23.1% | 14.4% | 20.8% | 18.1% | 12.7% | 15.6% | 17.3% |
| Other Income | Volatile | 2 | 2 | 1 | 2 | 1 | 2 | 1 | 2 | 3 | 1 |
| Interest | Softening | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 2 |
| Depreciation | Stable | 3 | 3 | 3 | 3 | 2 | 2 | 3 | 2 | 2 | 3 |
| Profit Before Tax | Volatile | 12 | 17 | 13 | 11 | 3 | 13 | 5 | 1 | 3 | 4 |
| Tax | Volatile | 3 | 4 | 3 | 3 | 1 | 3 | 1 | 0 | 1 | 1 |
| Net Profit | Volatile | 9 | 13 | 9 | 8 | 2 | 10 | 4 | 0 | 2 | 3 |
| Net Margin | Volatile | 15.1% | 16.8% | 14.7% | 13.4% | 6.0% | 13.5% | 8.6% | 1.5% | 6.3% | 6.2% |
Key Takeaways
- Revenue grew by 53% YoY to ₹61.68 Crore, though it experienced a seasonal sequential decline from Q4 FY2026.
- Consolidated Net Profit jumped nearly four-fold YoY on the back of significantly improved capacity utilization and higher share of profits from joint ventures.
- The subsidiary South West Resources Private Limited turned profitable this quarter (₹41.36 Lakhs), although it faces ongoing net-worth erosion and material uncertainty regarding going concern.
- The company has been notified as an accredited prospecting agency for coal and lignite exploration, significantly expanding its scope in the mining sector.
- Exploration of the recently allocated coal block in Jharkhand is nearing completion, with the Geological Report (GR) expected by late July 2026.
- Management re-appointed the core leadership team, including Vikas Jain (CMD) and Piyush Jain (Joint MD), for three-year terms starting November 2026.
- Joint venture contributions to profit increased substantially to ₹132.24 Lakhs compared to ₹30.53 Lakhs in the same period last year.
- Working capital remains a moderate pressure point, with auditors noting segment liabilities primarily concentrated in the Drilling & Exploration division.
Management Guidance
Management expects to fast-track the formal mining plan and environmental clearances for its Jharkhand coal block immediately following the submission of the Geological Report in July 2026.
Sentiment Shift
Improving
Massive YoY growth in profit and the turnaround of a key loss-making subsidiary indicate strong operating momentum compared to the prior year.
Outlook
The outlook remains strong as the company transitions into more direct coal mining and prospecting roles. However, the business remains subject to seasonal asset mobilization and demobilization effects which can create quarterly volatility.
From the Annual Report (Key Quotes)
“South West Pinnacle Exploration Limited has been notified as accredited prospecting agency for carrying out prospecting operations for the exploration of coal and Lignite.”
“The Exploration activities have been initiated promptly which have now been completed and preparation of definitive Geological report (GR) is presently underway.”
“The company being in the business of drilling and exploration, mobilization and demobilization of resources including rigs may sometimes have an effect on the revenue and profitability.”
Official Quarterly Documents
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This summary is AI-generated from South West Pinnacle Exploration Limited's latest quarterly filing and earnings call. For informational purposes only — not investment advice.
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