Baheti H1 PAT More Than Doubles as EBITDA Margin Reaches 9.7%

Baheti Recycling Industries Limited reported first-half FY27 (H1FY27) profit after tax (PAT) from operations of Rs 19.08 crore, up 105.83% year on year, as revenue from operations rose 67.70% to Rs 528.47 crore and earnings before interest, tax, depreciation and amortisation (EBITDA) margin reached 9.70% from 9.05%.

What did Baheti report for H1FY27?

Baheti reported revenue from operations of Rs 528.47 crore in H1FY27, compared with Rs 315.14 crore in H1FY26, an increase of 67.70%. First-half revenue was about 72.9% of the Rs 724.85 crore reported for full-year FY26, meaning H1FY27 sales had moved beyond two-thirds of the prior full-year total.

Baheti’s profit before tax (PBT) was Rs 25.71 crore in H1FY27, up 114.61% from Rs 11.98 crore in H1FY26. Tax expense increased to Rs 6.63 crore from Rs 2.71 crore, while PAT from operations rose to Rs 19.08 crore from Rs 9.27 crore. The company reported diluted earnings per share of Rs 18.26 for H1FY27, compared with Rs 8.94 a year earlier.

Baheti’s PAT from operations increased faster than revenue, rising 105.83% against the 67.70% gain in sales. The reported PAT margin rose to 3.61% from 2.94%, an improvement of 0.67 percentage points. However, the H1FY27 margin was below the 3.73% reported for FY26, despite first-half PAT from operations reaching Rs 19.08 crore.

How did Baheti’s operating margin change in H1FY27?

Baheti reported EBITDA of Rs 42.37 crore for H1FY27, nearly double the Rs 21.24 crore reported in H1FY26. EBITDA rose 99.48%, faster than the 67.70% increase in revenue, and EBITDA margin improved to 9.70% from 9.05%, an expansion of 0.65 percentage points.

Baheti’s H1FY27 EBITDA margin of 9.70% was also above its FY26 margin of 8.41%. EBITDA for the six-month period was Rs 18.60 crore below the Rs 60.97 crore reported for full-year FY26, while H1FY27 revenue was Rs 196.38 crore below FY26 revenue of Rs 724.85 crore. These comparisons use the presentation’s stated H1FY27 and FY26 figures and do not constitute a full-year forecast.

The operating result came alongside higher input and overhead costs. Cost of materials consumed rose to Rs 432.31 crore in H1FY27 from Rs 231.98 crore in H1FY26, employee expenses increased to Rs 6.35 crore from Rs 5.67 crore, and other expenses rose to Rs 18.80 crore from Rs 12.16 crore. Baheti nevertheless reported a 9.70% EBITDA margin.

What costs affected Baheti’s H1FY27 earnings?

Baheti’s finance cost rose to Rs 14.59 crore in H1FY27 from Rs 8.40 crore in H1FY26, an increase of Rs 6.19 crore. Depreciation increased to Rs 2.41 crore from Rs 0.88 crore. Both charges came after Baheti reported EBITDA of Rs 42.37 crore.

Finance cost represented about 34.4% of H1FY27 EBITDA, compared with about 39.5% in H1FY26, calculated from the presentation’s figures. In absolute terms, finance cost was Rs 14.59 crore against EBITDA of Rs 42.37 crore. PBT was Rs 25.71 crore, and tax expense of Rs 6.63 crore reduced PAT from operations to Rs 19.08 crore.

Material consumption increased by Rs 200.33 crore year on year, compared with a Rs 213.33 crore increase in revenue from operations. Employee expenses increased by Rs 0.68 crore, while other expenses rose by Rs 6.64 crore. Baheti reports these cost lines and EBITDA separately, without providing a detailed bridge between each expense category and EBITDA.

What does Baheti’s March 2026 balance sheet show?

Baheti reported total assets and total liabilities of Rs 376 crore as of March 2026, compared with Rs 249 crore as of March 2025. The Rs 127 crore increase included other assets, which rose to Rs 335 crore from Rs 227 crore, and borrowings, which increased to Rs 229 crore from Rs 158 crore.

Equity capital was unchanged at Rs 10 crore in both March 2026 and March 2025. Reserves increased to Rs 80.38 crore from Rs 49 crore, while other liabilities rose to Rs 53 crore from Rs 32 crore. Fixed assets were Rs 34 crore, up from Rs 20 crore, and capital work in progress (CWIP) increased to Rs 6 crore from Rs 2 crore.

Baheti also reported investments of Rs 2 crore in March 2026, whereas the March 2025 balance-sheet table showed no investment figure. The Rs 71 crore increase in borrowings is relevant alongside H1FY27 finance cost of Rs 14.59 crore, but the presentation does not state the purpose, interest rate, maturity profile or terms of the borrowings.

Conclusion

Baheti’s H1FY27 presentation shows that revenue growth of 67.70% was accompanied by faster increases in EBITDA, PBT and PAT from operations. EBITDA rose 99.48% to Rs 42.37 crore, PAT from operations rose 105.83% to Rs 19.08 crore, and EBITDA margin increased to 9.70%. The reported PAT margin also improved year on year to 3.61%, although it remained below FY26’s 3.73%.

The next disclosures to watch are details of the Rs 229 crore of March 2026 borrowings, including their purpose, interest rate and repayment profile, which the presentation does not provide. Finance cost was Rs 14.59 crore in H1FY27 and material consumption was Rs 432.31 crore, so subsequent results would show whether the reported 9.70% EBITDA margin is maintained while these cost lines change.