Ardee Industries LimitedMetals & MiningARDEE
Q1 FY27 concall · earnings callArdee Industries Limited
Ardee Industries reported robust YoY revenue growth supported by volume and exports, but faces margin pressure and a cautious outlook due to geopolitical disruptions impacting raw material procurement and costs.
Numbers
| Metric | This quarter | Change | Five-quarter trend |
|---|---|---|---|
| Revenue | ₹338.8 Cr | — | |
| Revenue YoY Growth | 35.2% | 35.2% | |
| EBITDA | ₹33.8 Cr | — | |
| EBITDA Margin | 10% | — | |
| PBT YoY Growth | 5% | 5% | |
| PAT YoY Growth | 6% | 6% | |
| PAT Margin | 5.9% | — | |
| Sales Volume | 17,645 metric tons | — |
TL;DR
- Revenue grew 35.2% YoY to Rs 338.8 Cr, driven by volume growth and strong customer offtake.
- EBITDA margin contracted to 10% from higher levels in FY26, impacted by increased raw material and freight costs.
- Installed capacity expanded by 50.9% to 156,950 MTPA, providing a platform for future growth.
- Management provided conservative guidance of 10-20% revenue growth and ~10% EBITDA margin for FY27, citing geopolitical supply chain issues.
- Export revenue mix was 38.7%; LME listing is seen as enhancing global credibility and inquiry flow.
Said on the call
“It is better to be conservative this year rather than say a number.”
From the Q&A
| Topic | What management said |
|---|---|
| Sequential Volume Decline | Attributed sequential volume decline to disruptions from war impacting raw material imports, leading to a strategic, purposeful decision to not be aggressive. |
| Capacity Utilization | Stated optimum plant utilization is 70-75% but expects lower than that this year due to market scenario, with higher utilization targeted next year. |
| Growth Guidance | Guided for 10-20% revenue and volume growth for the year, citing geopolitical issues and supply chain disruptions, preferring a conservative stance. |
| Inventory and Margins | Confirmed inventory build-up was temporary and quarter-specific, dependent on customer needs. |
| Customer Concentration | Stated largest customer concentration has reduced from 70% to around 40% and will go down further, but top few clients will always cater to most business. |
| Return Ratios | Aimed to maintain return ratios in the '20-plus range' in coming years, acknowledging they will reduce from historically high levels due to new equity. |
| Margin Outlook | Guided for EBITDA margins around 10% for FY27 due to geopolitical scenario, versus 13% in FY26. |
| Lithium-ion Recycling | Confirmed no concrete plans to enter lithium-ion battery recycling, only evaluating opportunities. |
Guidance
- Revenue growth targeted in 10% to 20% range for the year.
- EBITDA margin guidance of around 10% for FY27, reflecting conservative view due to geopolitical scenario.
- Volume growth targeted in 10% to 20% range, dependent on supply chain conditions.
- Working capital cycle expected to remain around 90 to 100 days.
- Capacity utilization expected to be lower than the optimum 70-75% range this year, aiming higher next year.
- Return ratios expected to be maintained in the 20-plus range in coming years.
Source
Summary written from the transcript filed by Ardee Industries Limited for the call held on 31 Aug 2026; published 3 Sept 2026, 13:27 IST.
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