Voltamp Transformers Limited Earnings Summary — Q1 FY2027
Voltamp Transformers Announces Major Expansion via Internal Accruals Amidst Strong Profit Growth
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue declined 11.9% sequentially in Q1 FY2027.
- Revenue of ₹544 Cr is 28.4% higher year-on-year.
- Revenue has compounded at 3.4% annualised over the last 10 quarters.
- Net profit of ₹91 Cr is 14.7% above the same quarter last year.
- Profit growth is trailing revenue growth this quarter.
- Net profit has compounded at -1.1% annualised across the period.
- Operating margin stands at 14.8% in Q1 FY2027.
- Operating margin compressed by 238 bps year-on-year.
- Over the last two years operating margin has contracted by 293 bps.
- PBT margin is 21.7%.
- Expenses grew 32.1% against revenue growth of 28.4%.
- Operating profit of ₹80 Cr is 10.5% higher year-on-year.
- Operating leverage has been under pressure recently.
- 4 of the last 6 measured quarters delivered year-on-year revenue growth.
- Overall quarterly business momentum scores 57/100 (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 | Stable | 544 | 617 | 630 | 483 | 424 | 625 | 484 | 398 | 428 | 504 |
| Expenses | Improving | 463 | 536 | 523 | 389 | 351 | 508 | 384 | 323 | 352 | 403 |
| Operating Profit | Stable | 80 | 81 | 108 | 94 | 73 | 116 | 99 | 75 | 76 | 101 |
| Operating Margin | Stable | 14.8% | 13.2% | 17.1% | 19.4% | 17.1% | 18.6% | 20.5% | 18.9% | 17.7% | 20.0% |
| Other Income | Volatile | 42 | -10 | 26 | 15 | 36 | 17 | 7 | 32 | 29 | 23 |
| Interest | Volatile | 0 | 0 | 0 | 1 | 0 | 0 | 0 | 0 | 0 | 1 |
| Depreciation | Stable | 4 | 4 | 4 | 4 | 3 | 4 | 3 | 3 | 3 | 3 |
| Profit Before Tax | Accelerating | 118 | 67 | 130 | 104 | 105 | 129 | 102 | 104 | 101 | 119 |
| Tax | Improving | 27 | 19 | 31 | 25 | 25 | 33 | 29 | 28 | 22 | 26 |
| Net Profit | Accelerating | 91 | 48 | 99 | 79 | 80 | 97 | 73 | 76 | 79 | 94 |
| Net Margin | Accelerating | 16.8% | 7.8% | 15.7% | 16.3% | 18.8% | 15.5% | 15.2% | 19.0% | 18.6% | 18.6% |
Key Takeaways
- Revenue grew significantly by 28.4% YoY to ₹543.78 Cr, though it saw a seasonal QoQ dip from Q4.
- Net Profit surged 90% sequentially to ₹91.22 Cr, benefiting from a normalization of other income compared to the previous quarter's loss.
- The Board approved a fresh ₹90 crore capital expenditure for a new state-of-the-art facility for dry type transformers near Vadodara.
- Capacity utilization remains at '100% plus', prompting the 2,300 MVA capacity addition to be completed within 12-14 months.
- The entire expansion project is being funded through internal accruals, maintaining the company's debt-free status.
- Material costs remain the dominant expense, totaling ₹488 Cr before accounting for inventory changes of ₹77.9 Cr.
- Other income contributed significantly to the bottom line this quarter at ₹41.6 Cr compared to a loss in the preceding quarter.
Management Guidance
Management is expanding capacity specifically to meet 'increasing demand for transformers projected over the next 5 to 6 years,' focusing on high-end dry type transformers.
Sentiment Shift
Improving
A strong recovery in net profit and EPS from the previous quarter, combined with a major self-funded CAPEX plan, signals high management confidence in the demand cycle.
Outlook
The company is positioned for medium-term growth with a 2,300 MVA capacity addition coming online in 12-14 months, targeting niche dry type transformer demand while maintaining a lean, debt-free balance sheet.
From the Annual Report (Key Quotes)
“Fresh Capital Expenditure up to INR 90 crores (appx.), which is primarily aimed to build a grass route new state-of-the-art facility.”
“Existing Capacity Utilization: 100% plus.”
“Rationale: To meet increasing demand for transformers projected over the next 5 to 6 years.”
Official Quarterly Documents
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This summary is AI-generated from Voltamp Transformers Limited's latest quarterly filing and earnings call. For informational purposes only — not investment advice.