Century Enka Q1 FY27: Revenue surges 38% to ₹554 Cr, PAT grows 301% to ₹62 Cr
Century Enka's Q1 FY27 revenue grew 38% YoY to ₹554 Cr, with PAT surging 301% YoY to ₹62 Cr. EBITDA margin expanded to 15.46%. Tyre cord sales rose 69% and filament yarn sales by 20%. The company reported a ₹46.24 Cr inventory gain and plans over ₹100 Cr CAPEX in FY27.
The substantial year-on-year growth in key financial metrics like revenue, EBITDA, and PAT, coupled with significant margin expansion, indicates a material positive impact on the company's financial performance and investor perception.
The company reported exceptionally strong financial results with significant year-on-year growth in revenue, EBITDA, and profit after tax, along with margin expansion. Positive commentary from management regarding operational performance and future outlook further supports a positive sentiment.
Century Enka Limited has announced its financial results for the first quarter of FY27, reporting a significant surge in performance. The company's operating revenue stood at ₹554 crore, marking a robust 38% year-on-year growth and a 15% increase quarter-on-quarter.
EBITDA for the quarter reached ₹86 crore, an exceptional growth of 331% year-on-year and a 55% sequential increase. This resulted in a substantial expansion of EBITDA margins to 15.46%, up 1050 basis points year-on-year and 400 basis points sequentially. Profit after tax (PAT) for the quarter was approximately ₹62 crore, reflecting a remarkable 301% year-on-year growth and a 57% increase quarter-on-quarter. PAT margin strengthened to 11.13%, an expansion of 729 basis points year-on-year and 298 basis points sequentially. Total volume for the quarter grew by 12% year-on-year to 19,199 metric tonnes, with tyre cord fabric sales increasing by 69% to ₹306 crore and filament yarn sales growing by 20% to ₹230 crore.
The company's management highlighted that the strong performance was driven by healthy volume growth across all business verticals, productivity improvements, and higher operating rates. Profitability was further boosted by a one-time inventory gain of ₹46.24 crore and increased utilization of renewable power, which helped offset rising energy costs. The tyre cord business saw robust demand due to GST cuts on automotive products, while the filament yarn business benefited from strong sales volumes and an improved product mix. The company expects its renewable power capacity to increase from over 40% to around 50% with the commissioning of its Bharuch plant in H2 FY27.
Looking ahead, Century Enka plans to invest over ₹100 crore in CAPEX for the current financial year, focusing on enhancing its mother yarn capacity (expected by FY28), developing value-added products, improving energy efficiency, and bolstering safety measures, particularly after the incident in Feb 25. The company also aims to maintain a normalized EBITDA margin of 7-10% in the long term, with efforts focused on value addition and cost reduction.
What to do with a filing like this
Century Enka Limited filed this with the NSE as a statutory disclosure, categorised under quarterly results. It is a primary document, not a recommendation, and the desk marks it high impact, which is the band that most often changes something.
That call is the part a filing cannot make for you. On RealCase, SEBI-registered research analysts and investment advisers read announcements like this one and turn the ones that matter into actions inside their model portfolios: a change in weight, a hold, or nothing at all. You are not left working out which of the roughly 250 filings published each day needs a response. The portfolio you follow is updated when a filing actually warrants it, with the reason written down.
See the model portfoliosA plain-language summary of a public exchange filing by Century Enka Limited. Read the original for the full detail.