Premier Explosives LimitedDefense & Aerospace (Note: 'Defense' not in list; using closest 'Capital Goods & Engineering' as per energetic materials/rocket motors production)PREMEXPLN
Q1 FY27 earnings callPremier Explosives Limited
Revenue declined sharply due to supply chain and export license delays, but a large defense order book provides visibility, and management expects a stronger recovery in subsequent quarters.
Numbers
| Metric | This quarter | Change | Five-quarter trend |
|---|---|---|---|
| Revenue | INR102.6 crores | -28% YoY | |
| EBIT | INR4.8 crores | -80% YoY | |
| EBIT Margin | 4.7% | — | |
| Net Profit | INR3 crores | -80% YoY | |
| PAT Margin | 3% | — | |
| Order Book | INR1,393 crores | — |
Financials
| Quarter | Revenue | Net profit (PAT) | Basic EPS |
|---|---|---|---|
| Q3 FY25 | ₹165.91 Cr+272.3% YoY+75.4% QoQ | ₹9.23 Cr+436.6% YoY+9.5% QoQ | ₹1.71+8.2% YoY+8.9% QoQ |
| Q2 FY25 | ₹94.60 Cr+20.6% YoY+14.2% QoQ | ₹8.43 Cr-27.7% YoY+15% QoQ | ₹1.57-85.5% YoY+15.4% QoQ |
| Q1 FY25 | ₹82.86 Cr+33.8% YoY-4.5% QoQ | ₹7.33 Cr-11.3% YoY+8.1% QoQ | ₹1.36-82.3% YoY-78.3% QoQ |
| Q4 FY24 | ₹86.79 Cr+65.9% YoY+94.8% QoQ | ₹6.78 Cr+179% YoY+294.2% QoQ | ₹6.28+180.4% YoY+297.5% QoQ |
| Q3 FY24 | ₹44.56 Cr+19.5% YoY-43.2% QoQ | ₹1.72 Cr+168.8% YoY-85.2% QoQ | ₹1.58+172.4% YoY-85.4% QoQ |
TL;DR
- Q1 revenue declined 28% YoY to INR102.6 crores due to dispatch and execution delays.
- Profitability severely impacted with EBIT down 80% and margins at 4.7%.
- Order book stands at INR1,393 crores, with 94% from defense, providing strong revenue visibility.
- Management retains FY27 revenue guidance of around INR600 crores.
- Expect export license delays to ease and execution to improve in Q2 and Q3.
Said on the call
“The healthy order backlog provides strong revenue visibility and reinforces our confidence in the company's growth trajectory.”
From the Q&A
| Topic | What management said |
|---|---|
| Costs and Margins | Other expenses decline attributed to lower provisions; a run rate of INR9-10 crores is sustainable. Management targets EBITDA margin of 15-20% for the year. |
| Order Execution and Guidance | A key INR430 crores order from Oct 2025 will be fully executed in FY27. Q1 execution was INR21 crores. FY27 revenue guidance of ~INR600 crores retained. |
| Export Licenses and Delays | Export licenses for pending orders have started coming in the past week; material is moving out. The Q1 revenue dip was due to maritime and import component delays for export and countermeasure orders. |
| Apollo Acquisition Synergies | Partnership expected to enhance access to complex defense programs, combine electronics with energetic materials, and open naval opportunities, with more details expected next quarter. |
| Capacity Expansion | RDX/HMX plant trials expected in Sept; a 2.5-tonne mixer plant delayed due to imported components, now expected by end-Sept. Andhra Pradesh expansion land price is under negotiation with the government. |
| Bulk Explosives Business | Expect ~INR80 crores revenue in FY27 from Singareni and other orders, but margins are low single-digit or negative due to competitive pricing. |
Guidance
- FY27 revenue target around INR600 crores.
- EBITDA margin target of 15% to 20% for the financial year.
- Expect order inflow of INR200-300 crores in FY27.
- Expect to complete an INR430 crores order within FY27.
- Target export revenue of INR150-200 crores in Q2 FY27.
- Expect a run rate of INR500-600 crores over the next 12-18 months from the order book.
Source
Summary written from the transcript filed by Premier Explosives Limited for the call held on 14 Aug 2026; published 20 Aug 2026, 23:25 IST.