3 weeks ago
Carborundum Universal Q1FY27 revenue up 19%, margin pressure persists
Carborundum Universal is a company that makes machines and parts used in factories and power plants.
It told everyone how much money it earned in the first three months of its financial year.
The company earned more revenue than last year, but the profit part got smaller compared to what it made.
That happened because some orders were delayed when shipping costs went up by three to four times.
Customers in India are taking longer before placing new orders.
Buyers in other countries, like the United States and Southeast Asia, are still showing interest.
The company also does repair and upkeep work for old machines, called the 'aftermarket' business, and that grew a lot.
The company says the year should end better, with more growth coming in the second half.
Experts who study stocks still think it is a good company to buy gradually, and they believe its shares could be worth more later.
So the short term is a little bumpy, but people watching the company are hopeful about the future.
Carborundum Universal's Q1FY27 revenue rose 19.2% YoY to Rs 4.43bn, with PAT at Rs 511mn.
EBITDA margin fell to 11.6% from 19.8% in Q1FY26 on order mix, strategic-order phasing and higher domestic execution.
Q1FY27 order booking grew 6.1% YoY to Rs 5.68bn, led by exports and aftermarket (each up 53% YoY), while domestic order booking declined 35%.
Closing order book stood at Rs 21.8bn (+5.1% YoY), with exports at 57% and aftermarket orders of Rs 6.24bn contributing 29%.
The brokerage maintained an 'Accumulate' rating with a Rs 691 target price, expecting back-ended FY27 growth with margin recovery in H2.
- Who
- Carborundum Universal, with its management confident of FY27 growth, and a brokerage rating the stock 'Accumulate'.
- What
- Q1FY27 results showed 19.2% YoY revenue growth to Rs 4.43bn but EBITDA margin pressure at 11.6%, with a Rs 691 target price maintained.
- Where
- Domestic (India-based) operations, with exports to international markets including the United States and Southeast Asia.
- When
- Q1FY27, reported around 12 August 2026.
- Why
- Margins were hit by order mix, strategic-order phasing, deferred export dispatches and 3-4x higher freight rates, with growth expected to be back-ended toward H2FY27.
Key facts
- Current Market Price
- Rs 597
- Target Price
- Rs 691
- Rating
- Accumulate
- Q1FY27 Revenue
- Rs 4.43bn (+19.2% YoY)
- EBITDA Margin
- 11.6% vs 19.8% in Q1FY26
- Profit After Tax
- Rs 511mn
- Closing Order Book
- Rs 21.8bn (+5.1% YoY)
- Aftermarket Order Book
- Rs 6.24bn (+115% YoY)









