Q1 FY27 concall · earnings callEPL Limited
EPL delivered record underlying revenue growth of 20% this quarter, successfully passed through unprecedented cost inflation, and raised its growth guidance to high teens.
Numbers
| Metric | This quarter | Change | Five-quarter trend |
|---|---|---|---|
| Revenue Growth | 25.3% | — | |
| Underlying Revenue Growth | 20% | — | |
| EBITDA Growth | 15.2% | — | |
| Underlying EBITDA Margin | 19.6% | — | |
| Reported EBITDA Margin | 18.8% | — | |
| PBT Growth | 10% | — | |
| Return on Capital Employed | 18.5% | — | |
| Oral Care Growth | 20% | — |
Financials
From filed quarterly results. YoY and QoQ compare each metric on the same accounting basis.
| Quarter | Revenue | Net profit (PAT) | Basic EPS |
|---|---|---|---|
| Q3 FY25 | ₹1,014.30 Cr+4% YoY-6.6% QoQ | ₹94.10 Cr+7.8% YoY+6.6% QoQ | ₹2.93+8.1% YoY+7.3% QoQ |
| Q2 FY25 | ₹1,086.20 Cr+8.4% YoY+7.8% QoQ | ₹88.30 Cr+69.5% YoY+34.4% QoQ | ₹2.73+72.8% YoY+35.1% QoQ |
| Q1 FY25 | ₹1,007.40 Cr+10.7% YoY-2.1% QoQ | ₹65.70 Cr+18.2% YoY+335.1% QoQ | ₹2.02+18.1% YoY+188.6% QoQ |
| Q4 FY24 | ₹1,029.20 Cr+6.2% YoY+5.5% QoQ | ₹15.10 Cr-82.3% YoY-82.7% QoQ | ₹0.70-73.6% YoY-74.2% QoQ |
| Q3 FY24 | ₹975.10 Cr+3.2% YoY-2.6% QoQ | ₹87.30 Cr+38.6% YoY+67.6% QoQ | ₹2.71+36.9% YoY+71.5% QoQ |
TL;DR
- Revenue grew 25.3%, with underlying growth at 20% excluding raw material price pass-through.
- EBITDA grew 15.2% with underlying margin at 19.6%.
- All regions delivered double-digit growth, led by EAP at 34.3%.
- Guidance raised from 'early double digits' to 'high teens' for revenue growth, while holding underlying EBITDA margin guidance at 20%.
- Merger with Indovida progressing, expected to create opportunities in new formats and markets.
Said on the call
“We have recovered the entire cost impact, and we are absolutely confident that we will continue to do so in the future quarters as well.”
From the Q&A
| Topic | What management said |
|---|---|
| Working Capital Increase | Management clarified the INR 180 crore net working capital increase was driven by higher-priced raw material inventory, safety stock for supply security, and ahead-of-the-curve CapEx, not by a material increase in receivables. |
| Europe Margin Contraction | Europe delivered 20.2% revenue growth but margins were impacted by identified operational challenges and growth investments; these are receiving focus, and margins are expected to progressively recover to the mid-teens target range. |
| Revenue and Profit Guidance | Guidance raised to high teens revenue growth from early double digits, with underlying EBITDA margin guidance held at 20%; management expects PBT growth to follow revenue and EBITDA trends for the full year. |
| Indovida Merger Synergies | Management highlighted Indovida's strong Q1 performance (EBITDA of INR 383 crores, margin of 27%) as publicly available information but could not comment on specifics or synergies until the merger is approved. |
| Cost Recovery | Management stated they recovered the entire cost impact in Q1, including raw materials, freight, and currency depreciation, through customer pricing and are confident in their ability to continue doing so. |
| Tax Rate | The effective tax rate for the full year is expected to be between 20% to 22%, compared to 18% last year and 22% this quarter. |
Guidance
- Raised revenue growth guidance to 'high teens' for the next few quarters.
- Holding underlying EBITDA margin guidance at 20%.
- Expect to deliver double-digit PAT growth for the full year.
- Expect full-year effective tax rate between 20% to 22%.
Source
Summary written from the transcript filed by EPL Limited for the call held on 11 Aug 2026; published 1 Sept 2026, 16:28 IST.
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