Antony Waste Q1 FY27: Revenue Up 6%, PAT Slips

Key takeaway from the quarter

Antony Waste Handling Cell Limited started FY27 with steady revenue growth but a sharp compression in profitability. In Q1 FY27, total operating revenue rose 6% year-on-year to ₹260.1 crore, supported by higher municipal solid waste (MSW) volumes and tariff-linked escalation clauses. Consolidated total revenue stood at ₹268.8 crore versus ₹254.4 crore in Q1 FY26. However, EBITDA declined 27% to ₹45.0 crore and the EBITDA margin fell to 16.8% from 24.4% a year earlier. Profit after tax (PAT) dropped to ₹0.7 crore from ₹23.0 crore in Q1 FY26, reflecting a quarter shaped by higher labour, transport, and finance costs. Management also pointed to timing-related impacts from deferred transportation and disposal activities from the previous quarter.

Revenue growth: volumes and tariff escalation did the heavy lifting

The company attributed its 6% year-on-year operating revenue growth to higher volumes across project sites and contractual tariff-linked escalations. Collection and transportation remained the largest contributor to the revenue mix at 62% in Q1 FY27. MSW pre-processing contributed 28%, while other operating income accounted for 7% and contracts and other streams made up the remaining 3%. Operating revenue was reported around ₹269 crore in the earnings call commentary, while the company’s table specified ₹260.1 crore as total operating revenue and ₹268.8 crore as total revenue. The quarter showed resilience in the top line despite a challenging cost environment.

Profitability pressure: EBITDA down 27%, margin falls to 16.8%

EBITDA fell to ₹45.0 crore from ₹62.1 crore in Q1 FY26, a 27% decline. The EBITDA margin compressed to 16.8%, down from 24.4% in the year-ago quarter and also below 22.8% reported for the previous quarter. The company said profitability was hurt by one-time and timing-related costs, including deferred waste disposal work and refinancing charges. Employee costs rose 18% year-on-year and were cited as 34% of revenue versus 30% a year earlier, partly linked to new labour code changes. The result was a steep decline in operating leverage even as volumes improved.

PAT collapse: finance cost up, PBT nearly wiped out

PAT for Q1 FY27 came in at ₹0.7 crore compared with ₹23.0 crore in Q1 FY26, a 97% year-on-year fall. Profit before tax declined to ₹1.3 crore from ₹25.6 crore, while EBIT reduced to ₹22.8 crore from ₹41.5 crore, down 45%. Finance cost increased to ₹21.4 crore from ₹15.9 crore in the prior-year quarter. The company also highlighted a ₹7 crore prepayment charge as part of one-time expenses that affected the quarter’s profitability.

Operational performance: 1.4 million tonnes handled, processing ahead of transport

Operationally, Antony Waste handled approximately 1.40 million tonnes of MSW during Q1 FY27. Collection and transportation operations managed about 0.55 million tonnes, while processing facilities handled around 0.85 million tonnes. Management indicated year-on-year growth of about 5% in total tonnage, with collection and transportation up around 5% and processing up about 6%. These volume gains supported revenue growth, particularly in municipal collection and transportation activities. At the same time, product-linked realizations were mixed, with RDF sales down sharply.

RDF down 28%, compost stable

RDF sales declined 28% year-on-year, which the company linked to the completion of the CIDCO biomining project. Compost sales remained stable during the quarter. The weaker RDF performance was a headwind for the processing segment’s growth profile even as MSW volumes improved. This mix mattered because earnings in waste processing can be sensitive to realizations and offtake conditions for outputs such as RDF and compost. As a result, volume growth alone was not enough to protect margins.

PCMC waste-to-energy disruption and expected impairment

The quarter also saw a major disruption at the PCMC waste-to-energy (WTE) facility operated through subsidiary Antony Lara Renewable Energy. The company reported a tragic incident at the facility that resulted in nine fatalities and led to a temporary suspension of operations. It also indicated an expected impairment charge in the range of ₹22-24 crore. These developments added to investor focus on near-term earnings risk and one-off financial impacts.

Refinancing: 200 bps lower interest rate at WTE subsidiary

On the balance sheet side, Antony Waste refinanced the term loan of Antony Lara Renewable Energy, lowering the interest rate by 200 basis points. The company specified that the rate was reduced from 10.25% to 8.25%, which it expects to generate recurring interest savings. While finance costs were higher year-on-year in Q1 FY27, the refinancing is positioned as a step that can ease future finance costs. The company also reported net debt to equity at 0.4x, steady year-on-year, and debtor days at 114, also steady.

Stock reaction and investor communication

Following the disclosure of Q1 FY27 performance, the company’s shares fell 6.77% to ₹389.10, reflecting investor concern over the scale of profit decline despite revenue growth. The earnings call was held on August 11, 2026, and the company made the audio recording available through a filing to BSE and NSE under Regulation 30 of the SEBI Listing Regulations. The call time was 2:30 pm (IST) and it covered the Q1 FY27 period. Management commentary on the call reiterated the role of higher volumes and tariff escalations, alongside cost pressures and one-time items.

Snapshot table: financial and operating metrics (₹ crore)

Contract win: Greater Noida electric road sweeping order

Separately, the company disclosed a new ₹243 crore contract from Greater Noida for electric road sweeping machines. It expects this to add ₹46 crore in first-year revenue. This provides incremental visibility on revenue addition, although the Q1 FY27 conversation remained dominated by margin pressure, higher costs, and the WTE disruption. The contract data point also shows continued participation in municipal service opportunities.

Why the quarter matters for investors tracking waste management

Q1 FY27 highlighted the gap that can open up between revenue growth and profitability in municipal services when costs move sharply or when operations face disruption. Higher labour and transport costs, higher finance costs, and one-time charges collectively pulled down margins despite volume-led growth. At the same time, refinancing at the WTE subsidiary is a tangible move to reduce interest burden going forward. Operational tonnage growth suggests the core MSW platform remained active, but RDF decline and the temporary WTE suspension introduced meaningful near-term uncertainty around earnings quality.

Conclusion

Antony Waste reported 6% year-on-year growth in Q1 FY27 revenue and higher MSW volumes, but EBITDA and PAT contracted sharply due to cost inflation, one-time charges, and disruption at the PCMC WTE facility. The company’s refinancing at Antony Lara Renewable Energy lowered the interest rate by 200 bps, which is expected to support finance costs over time. Investors are likely to track updates on the WTE facility operations, any impairment recognition in the indicated ₹22-24 crore range, and execution of the Greater Noida contract in subsequent quarters.