Thomas Scott (India) Limited Earnings Summary — Q1 FY2027
Thomas Scott Reports Strong Revenue Growth but Sequential Decline in Margins for Q1 FY2027
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue declined 15.4% sequentially in Q1 FY2027.
- Revenue of ₹66 Cr is 22.1% higher year-on-year.
- Revenue has compounded at 51.8% annualised over the last 10 quarters.
- Net profit of ₹5 Cr is 56.8% above the same quarter last year.
- Profit growth is outpacing revenue growth, pointing to positive operating leverage.
- Net profit has compounded at 14.6% annualised across the period.
- Operating margin stands at 13.0% in Q1 FY2027.
- Operating margin expanded by 167 bps year-on-year.
- Over the last two years operating margin has expanded by 233 bps.
- PBT margin is 10.4%.
- Expense growth of 19.8% remained below revenue growth of 22.1%.
- Operating profit of ₹9 Cr is 40.1% 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 69/100 (Healthy) 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 | Strong Uptrend | 66 | 78 | 66 | 57 | 54 | 48 | 45 | 41 | 27 | 26 |
| Expenses | Strong Uptrend | 57 | 67 | 58 | 48 | 48 | 41 | 40 | 36 | 24 | 21 |
| Operating Profit | Improving | 9 | 11 | 8 | 8 | 6 | 7 | 6 | 4 | 3 | 4 |
| Operating Margin | Stable | 13.0% | 14.2% | 11.8% | 14.9% | 11.3% | 13.9% | 12.2% | 10.6% | 10.7% | 16.7% |
| Other Income | Declining | -0 | -1 | -0 | — | 0 | 0 | 0 | 1 | — | 0 |
| Interest | Strong Uptrend | 1 | 1 | 1 | 1 | 0 | 1 | 1 | 0 | 0 | 0 |
| Depreciation | Volatile | 1 | 1 | 1 | 1 | 1 | 0 | 1 | 1 | 1 | 0 |
| Profit Before Tax | Improving | 7 | 8 | 6 | 7 | 5 | 6 | 4 | 4 | 2 | 4 |
| Tax | Volatile | 1 | 2 | 1 | 3 | 2 | 2 | 1 | 1 | 1 | -0 |
| Net Profit | Improving | 5 | 6 | 5 | 5 | 3 | 4 | 3 | 3 | 1 | 4 |
| Net Margin | Stable | 8.3% | 7.7% | 7.5% | 8.3% | 6.4% | 8.7% | 6.6% | 7.0% | 5.1% | 15.6% |
Key Takeaways
- Revenue grew 22.14% year-over-year to ₹65.82 Cr, though it saw a sequential decline of 15.4% from Q4 FY2026.
- Net Profit surged 56.9% compared to the same quarter last year (₹5.44 Cr vs ₹3.47 Cr), despite a quarter-on-quarter dip.
- Operating expenses increased significantly, particularly 'Other Expenses' which rose to ₹27.37 Cr from ₹16.97 Cr YoY.
- The company continues its pivot from trading to a premium apparel brand, bolstered by recent licensing deals like Dockers.
- Finance costs rose nearly threefold year-over-year (₹98.90 Lacs vs ₹34.71 Lacs), reflecting increased debt levels.
- The company reported nil export turnover for the quarter, remaining entirely focused on the domestic Indian market.
Management Guidance
The company is focusing on premiumization through global brand management, specifically leveraging its 5-year exclusive license with ABG-Dockers for South Asia. Management aims to maintain double-digit operating margins while scaling the distribution infrastructure.
Sentiment Shift
Stable
While YoY growth remains robust, the sequential decline in revenue and profit alongside rising finance costs suggests a period of consolidation after aggressive FY2026 growth.
Outlook
Positive for the long-term brand scaling, though near-term concerns persist regarding the cash conversion cycle and increasing interest burden to fund inventories.
From the Annual Report (Key Quotes)
“The Company is primarily engaged in single business segment of manufacturing and trading of textile products.”
“The above results have been prepared in accordance with the Companies (Indian Accounting Standards) Rules, 2015 (Ind AS).”
“The export turnover of the Company is nil for the three month period ended June 2026.”
Official Quarterly Documents
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This summary is AI-generated from Thomas Scott (India) Limited's latest quarterly filing and earnings call. For informational purposes only — not investment advice.