BMW Industries Ltd. H1 FY27 EBITDA margin falls to 19.7%

BMWIL reported a 19.7% operating EBITDA margin in H1 FY27, down from 24.8% in FY26, while annualised net-debt-to-operating-EBITDA rose to 4.30 times from 2.20 times. Net debt was Rs 588.52 crore, and capital employed included Rs 307.5 crore of Bokaro Greenfield Project debt at 30 September 2026.

What changed in BMWIL’s H1 FY27 earnings?

BMWIL’s operating EBITDA margin was 19.7% in H1 FY27, compared with 24.8% in FY26 and 23.6% in FY25. Operating income for the six-month period was Rs 347.50 crore and operating EBITDA, or earnings before interest, tax, depreciation and amortisation, was Rs 68.50 crore. Since H1 FY27 covers only part of the year, these income-statement figures are not directly comparable with prior full-year revenue and EBITDA totals.

BMWIL reported profit before tax of Rs 53.80 crore and profit after tax, or PAT, attributable to owners of Rs 40.74 crore in H1 FY27. PAT margin was 10.9%, below FY26’s 11.9% but above FY24’s 10.6%. Other income was Rs 24.60 crore, finance costs were Rs 11.47 crore and depreciation was Rs 27.84 crore. The presentation does not state a specific reason for the H1 EBITDA-margin movement.

The longer record shows operating EBITDA margin reached 26.3% in FY24, fell to 23.6% in FY25, recovered to 24.8% in FY26 and then stood at 19.7% in H1 FY27. Reported PAT increased from Rs 63.75 crore in FY24 to Rs 81.12 crore in FY26 before reaching Rs 40.74 crore during the first half of FY27. BMWIL also reported earnings per share of Rs 1.81 for H1 FY27, against Rs 3.59 for FY26.

Which BMWIL businesses generated H1 FY27 revenue?

BMWIL’s CGL Complex was its largest reported revenue stream in H1 FY27, contributing Rs 174.55 crore of total revenue of Rs 347.50 crore. The CGL Complex includes proprietary sales, production and dispatch of galvanised iron products. Pipes and Tubes generated Rs 63.05 crore, while the Rolling Mill for TMT bars generated Rs 52.46 crore; the rolling-mill data excludes Bansal Super TMT Rebars dispatch and revenue.

The H1 FY27 mix also included Rs 28.46 crore from Logistics and Rs 28.98 crore from Others. In FY26, the CGL Complex recorded Rs 404.61 crore, Pipes and Tubes recorded Rs 84.09 crore, Logistics recorded Rs 41.56 crore and Others recorded Rs 88.11 crore. These FY26 figures cover a full year, whereas H1 FY27 is a six-month period, so they show the reported scale of each business rather than a like-for-like growth rate.

BMWIL’s Rolling Mill revenue was Rs 46.85 crore in FY26, following Rs 105.08 crore in FY25 and Rs 93.99 crore in FY24. Pipes and Tubes increased from Rs 49.29 crore in FY24 to Rs 72.96 crore in FY25 and Rs 84.09 crore in FY26. The presentation identifies the Bokaro platform as a flexible downstream facility intended to address demand for products including cold-rolled and coated steel, but it does not provide H1 FY27 Bokaro revenue or utilisation data.

How did Bokaro financing alter BMWIL’s balance sheet and leverage?

BMWIL reported net debt of Rs 588.52 crore at H1 FY27, up from Rs 363.82 crore at FY26 and Rs 142.11 crore at FY25. Its balance-sheet note states that capital employed as of 30 September 2026 includes Rs 307.5 crore of debt undertaken for the Bokaro Greenfield Project. Capital employed rose to Rs 1,472.04 crore from Rs 1,217.01 crore at FY26.

The annualised net-debt-to-operating-EBITDA ratio reached 4.30 times in H1 FY27, versus 2.20 times in FY26, 0.96 times in FY25 and 0.75 times in FY24. Net debt to equity was 0.70 times, compared with 0.45 times in FY26. Net worth increased to Rs 835.03 crore at H1 FY27 from Rs 804.00 crore at FY26, meaning both equity and debt increased during the period.

Net fixed assets increased to Rs 1,035.01 crore at H1 FY27 from Rs 833.78 crore at FY26, a rise of Rs 201.23 crore. Total assets rose to Rs 1,565.50 crore from Rs 1,290.56 crore, while net current assets rose to Rs 308.48 crore from Rs 244.34 crore. These movements coincide with the Bokaro project financing disclosure, although BMWIL does not provide a full project-cost reconciliation or a commissioning date in the presentation.

What happened to BMWIL’s returns, working capital and interest cover?

BMWIL’s annualised return on capital employed, or ROCE, was 9.7% in H1 FY27, down from 11.7% in FY26 and 12.8% in FY25. Annualised return on equity, or ROE, was 10.0%, compared with 10.6% in FY26 and 10.8% in FY25. The presentation calculates ROCE on average capital employed and ROE on average shareholders’ equity.

Sales to capital employed was annualised at 0.52 in H1 FY27, versus 0.61 in FY26 and 0.70 in FY25. The cash conversion cycle was annualised at 107 days, compared with 87 days in FY26 and 67 days in FY25. Interest coverage was 5.69 times in H1 FY27, compared with 6.76 times in FY26 and 7.96 times in FY25.

BMWIL states that FY26 regrouped operational suppliers’ credit under short-term borrowings and moved certain expenses from other expenses to finance costs. It retrospectively applied similar regrouping to earlier years to support ratio comparability. This disclosure applies to comparisons including the increase in net debt to equity from 0.19 times in FY25 to 0.45 times in FY26 and 0.70 times in H1 FY27.

Conclusion

BMWIL’s H1 FY27 results combine a 19.7% operating EBITDA margin with higher project-related funding, taking annualised net-debt-to-operating-EBITDA to 4.30 times. Revenue was Rs 347.50 crore and PAT was Rs 40.74 crore in the six-month period, while annualised ROCE was 9.7% and the cash conversion cycle was 107 days.

The next disclosures should show how the Bokaro Greenfield Project, for which BMWIL reported Rs 307.5 crore of debt within capital employed at 30 September 2026, affects fixed assets, downstream-product revenue and leverage. The presentation sets out Bokaro as an expansion into value-added steel products, but does not disclose a project completion date, utilisation level or revenue contribution.