CMR Green Technologies Q1 FY27 Results

Revenue from operations surged 65% year-on-year to INR 3,122 crore for the quarter ended June 30, 2026. Profit After Tax (PAT) grew 22% to over INR 68 crore.

Reader Takeaway: Strong volume growth and capacity expansion are positives; normalizing working capital and debt are key watch points.

What just happened

CMR Green Technologies announced its financial results for the first quarter of FY27. The company reported a significant 65% year-on-year increase in revenue from operations, reaching INR 3,122 crore. EBITDA saw a 27% rise to INR 139 crore, and Profit After Tax (PAT) grew by 22% to over INR 68 crore. The company also recorded a INR 36 crore expense related to cash flow hedging, attributed to accounting standards.

Why this matters

This performance highlights strong top-line growth driven by volume expansion, particularly in the aluminium business. Capacity expansion projects are on track, positioning the company for future growth. However, the increase in working capital due to higher sale prices has led to negative operating cash flow and a debt-equity ratio above the target, which requires monitoring.

The backstory

CMR Green Technologies has been focusing on increasing its installed capacity and enhancing its product mix, with liquid aluminium now contributing over 50% of total aluminium sales. The company has also been investing in technology, such as an AI-enabled import tracking system, to improve inventory management. Recent investments include INR 53 crore in greenfield projects.

What changes now

The company reaffirms its 25% volume growth guidance for FY27. The ramp-up of the new Odisha plant, a partnership with Hindalco, is underway. A new customer, Ather Energy, signifies the company's alignment with the EV transition.

Risks to watch

Investors should monitor the company's operating cash flow conversion and its ability to reduce the debt-equity ratio, currently at 0.86, back towards its target of 0.5. The increasing challenge in global scrap sourcing due to export restrictions is another point to watch.

Peer comparison

(No peer comparison data available in the filing).

Context metrics (time-bound)

• Sales volume grew 25% year-on-year.
• Aluminium business volumes increased by 32%.
• Installed capacity is expected to exceed 7 lakh tons per annum by the end of FY27.
• Inventory days reduced from 45 to 40 days.
• Debt-equity ratio stands at 0.86.

What to track next

Investors will be closely watching the company's progress in managing its working capital, reducing its debt levels, and navigating global sourcing challenges. The successful ramp-up of new capacities and customer acquisitions, especially in the evolving EV market, will also be key indicators.