SRM Contractors Limited Earnings Summary — Q1 FY2027
SRM Contractors Limited Reports Robust YoY Growth in Q1 FY2027 with Consolidated Profit Surging 55%
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue declined 56.0% sequentially in Q1 FY2027.
- Revenue of ₹196 Cr is 37.8% higher year-on-year.
- Revenue has compounded at 30.5% annualised over the last 10 quarters.
- Net profit of ₹20 Cr is 54.6% above the same quarter last year.
- Profit growth is outpacing revenue growth, pointing to positive operating leverage.
- Net profit has compounded at 67.6% annualised across the period.
- Operating margin stands at 19.5% in Q1 FY2027.
- Operating margin expanded by 514 bps year-on-year.
- Over the last two years operating margin has expanded by 157 bps.
- PBT margin is 12.4%.
- Expense growth of 29.6% remained below revenue growth of 37.8%.
- Operating profit of ₹38 Cr is 87.2% 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 72/100 (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 | Volatile | 196 | 446 | 231 | 206 | 142 | 228 | 150 | 95 | 55 | 108 |
| Expenses | Volatile | 158 | 371 | 187 | 177 | 122 | 194 | 128 | 80 | 45 | 95 |
| Operating Profit | Improving | 38 | 74 | 44 | 29 | 20 | 34 | 22 | 15 | 10 | 13 |
| Operating Margin | Improving | 19.5% | 16.7% | 19.1% | 14.2% | 14.3% | 14.9% | 14.9% | 15.9% | 17.9% | 11.8% |
| Other Income | Accelerating | 1 | 5 | 0 | 1 | 2 | 7 | 3 | 3 | 1 | -0 |
| Interest | Accelerating | 5 | 4 | 2 | 2 | 1 | 2 | 2 | 2 | 2 | 3 |
| Depreciation | Strong Uptrend | 10 | 6 | 5 | 3 | 2 | 6 | 3 | 3 | 2 | 3 |
| Profit Before Tax | Improving | 24 | 70 | 37 | 26 | 18 | 33 | 21 | 14 | 6 | 7 |
| Tax | Strong Uptrend | 5 | 16 | 13 | 6 | 5 | 9 | 5 | 3 | 1 | 1 |
| Net Profit | Improving | 20 | 54 | 24 | 20 | 13 | 24 | 16 | 10 | 5 | 6 |
| Net Margin | Improving | 10.0% | 12.1% | 10.4% | 9.7% | 8.9% | 10.6% | 10.6% | 10.9% | 8.7% | 5.7% |
Key Takeaways
- Consolidated Revenue for Q1 FY2027 grew by 37.8% year-on-year to ₹196.26 Crore, though it saw a seasonal sequential decline from Q4.
- Net Profit after tax increased significantly by 54.6% YoY to ₹19.71 Crore, reflecting strong execution momentum.
- The company maintains a high-growth trajectory in specialized infrastructure, focusing on high-difficulty terrains like J&K and Ladakh.
- Operational expenses rose YoY, notably employee benefits and depreciation, indicating investment in capacity and machinery.
- Finance costs increased sharply to ₹457 lakhs compared to ₹131 lakhs in the same quarter last year, reflecting higher debt utilization.
- The company continues to operate in a single segment (EPC/HAM) across its various subsidiaries and joint ventures.
Management Guidance
Management remains focused on high-barrier entry projects in challenging terrains, leveraging their technical expertise to maintain high ROCE and ROE targets.
Sentiment Shift
Stable
The year-on-year performance remains exceptionally strong, though sequential numbers reflect typical seasonality in construction work during the early fiscal quarters.
Outlook
The company is scaling rapidly with recent order wins exceeding ₹500 Crore and a strategic pivot toward international operations in Abu Dhabi to diversify geographic risk.
From the Annual Report (Key Quotes)
“SRM Contractors Limited is a specialized infrastructure development firm focusing on high-difficulty terrains such as Jammu & Kashmir, Ladakh, and Uttarakhand.”
“The Statutory auditors have carried out a Limited Review... and have issued an unmodified opinion on the above results.”
“As per Ind AS 108, the Company operates in single segment.”
Official Quarterly Documents
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This summary is AI-generated from SRM Contractors Limited's latest quarterly filing and earnings call. For informational purposes only — not investment advice.