Cosmo First Ltd reported a strong Q1 FY27 with net revenue up 45.8% to ₹1,166 Cr. Profitability also saw significant gains, driven by higher sales volumes and improved margins. Management expects overall revenue to grow 20% this fiscal year.
Cosmo First Ltd Q1 FY27 Performance
Cosmo First Ltd recorded a significant jump in net revenue for the first quarter of FY27, reaching ₹1,166 crore, a 45.8% increase compared to ₹800 crore in Q1 FY26.
Reader Takeaway: Strong revenue growth and improved profitability, but watch working capital and debt levels.
What just happened
Cosmo First Ltd has reported strong financial results for the first quarter of FY27. Net revenue surged by 45.8% year-on-year to ₹1,166 crore. Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) grew by 26.7% to ₹147 crore. Profit Before Tax (PBT) increased by 31.5% to ₹71 crore, and Profit After Tax (PAT) rose by 25.6% to ₹54 crore. Earnings Per Share (EPS) stood at ₹20.7, up 24.7% from ₹16.6.
Why this matters
The impressive topline expansion and improved profitability metrics indicate successful execution of the company's strategies. This performance was driven by higher sales volumes, better margins in BOPP and BOPET films, and a positive impact from reduced tariffs in the USA film business.
The backstory
The company's diversified business segments are showing strength. Specialty Chemicals saw 34% YoY revenue growth with a 25% EBITDA margin. Cosmo Plastech achieved EBIT positive status and plans a 50% capacity expansion. Zigly (Petcare) recorded 70% YoY revenue growth, expanding its retail footprint.
What changes now
Management has provided an optimistic growth outlook for the fiscal year. Overall revenue is projected to grow by 20%, with new businesses expected to expand by 60%. The company also plans to significantly reduce its net debt over the next two years.
Risks to watch
An increase of ₹85 crore in working capital was noted, attributed to rising raw material prices potentially influenced by the West Asia conflict, which could impact cash flow. The current debt stands at ₹1,166 crore, stable at 2.3x EBITDA, with a planned reduction.
Peer comparison
(No peer comparison data was provided in the filing.)
Context metrics (time-bound)
| Metric | Q1 FY27 | Q1 FY26 | Change |
|---|---|---|---|
| Net Revenue | ₹1,166 Cr | ₹800 Cr | +45.8% |
| EBITDA | ₹147 Cr | ₹116 Cr | +26.7% |
| PBT | ₹71 Cr | ₹54 Cr | +31.5% |
| PAT | ₹54 Cr | ₹43 Cr | +25.6% |
| EPS | ₹20.7 | ₹16.6 | +24.7% |
What to track next
Investors will be keen to monitor the company's working capital management, especially in light of raw material price volatility, and its progress in reducing debt as guided by the management.