Glottis Q2 revenue rises 28.8% as EBITDA margin hits 1.2%

In Q2 FY27, Glottis reported revenue from operations of Rs 276.5 crore, up 28.8% year on year, but EBITDA fell to Rs 3.4 crore and its margin declined to 1.2% from 8.4%. The quarter ended with a Rs 2 lakh profit-after-tax loss, versus a Rs 12.4 crore profit a year earlier.

Why did Glottis revenue increase in Q2 FY27?

Glottis increased revenue from operations to Rs 276.5 crore in Q2 FY27 from Rs 214.7 crore in Q2 FY26 and Rs 234.5 crore in Q1 FY27. Management reported year-on-year growth of 28.8% and quarter-on-quarter growth of 17.9%, attributing the expansion principally to a significant increase in sea-export activity.

Ocean Freight - Export revenue grew 344.4% year on year, increasing its contribution to Q2 FY27 revenue to 42% from 12% in Q2 FY26. Ocean Freight - Import remained the largest vertical at 50% of revenue, but its share declined from 81% a year earlier as Glottis expanded its export-led business.

Air Freight - Import revenue rose 68.9% year on year and Air Freight - Export revenue rose 420%, according to management. Each air-freight category contributed 3% of Q2 FY27 revenue, while Road Transport contributed 2% and Warehousing was recorded at 0%; together, the two ocean-freight categories accounted for 92%.

Why did Glottis EBITDA margin decline to 1.2%?

Glottis' earnings before interest, tax, depreciation and amortisation, or EBITDA, declined 81.2% year on year to Rs 3.4 crore in Q2 FY27 from Rs 18.1 crore in Q2 FY26. The margin fell 7.2 percentage points to 1.2% from 8.4%, despite the Rs 61.8 crore increase in quarterly revenue. The presentation states that EBITDA excludes other income.

The deterioration also occurred sequentially, with EBITDA falling from Rs 16.3 crore and a 6.9% margin in Q1 FY27. Management said the Q2 FY27 outcome reflected changes in business mix, freight realisations and operating costs, and said it was focused on improving shipment-level profitability, managing costs and maintaining working-capital discipline.

The presentation identifies the shift toward export activity but does not disclose profitability by vertical or costs by category. Ocean Freight - Export's revenue share increased by 30 percentage points year on year to 42%, while Ocean Freight - Import's share fell by 31 percentage points to 50%; management cited the resulting mix, freight realisations and operating costs as the profitability factors.

Did Glottis make a loss in Q2 FY27?

Glottis recorded a profit after tax, or PAT, loss of Rs 2 lakh in Q2 FY27, compared with PAT of Rs 12.4 crore in Q2 FY26 and Rs 10.7 crore in Q1 FY27. The reported PAT margin was negative 0.0%, compared with 5.8% a year earlier and 4.6% in the preceding quarter.

H1 FY27 also showed revenue growth alongside lower earnings. Revenue from operations rose to Rs 511 crore from Rs 382.9 crore in H1 FY26, while EBITDA declined to Rs 19.6 crore from Rs 35 crore. EBITDA margin fell to 3.8% from 9.2%, and PAT decreased to Rs 10.7 crore from Rs 24.3 crore.

How did Glottis diversify its Q2 FY27 revenue base?

Glottis reduced the revenue contribution of its top five customers to 33% in Q2 FY27 from 41% in Q2 FY26. Management said it is seeking more business from existing accounts and a broader customer base across sea freight, air freight and transportation, alongside quarterly revenue of Rs 276.5 crore.

The industry mix changed materially from a year earlier. Renewable Energy accounted for 16% of Q2 FY27 revenue, down from 46% in Q2 FY26, while Logistics contributed 20% versus 4% and Home Appliance contributed 18% versus 11%. Engineering Products represented 10%, Chemicals 7%, Agro Products 6% and other industries 22%.

Asia generated 77% of Q2 FY27 revenue, followed by North America at 12%, Europe at 4%, and Africa and South America at 3% each. Australia accounted for 1%. Glottis handled 21,375 twenty-foot equivalent units, or TEUs, during the quarter, providing a volume measure alongside the reported revenue increase.

What is Glottis planning after the Q2 FY27 margin decline?

Glottis plans to begin deploying containers in Q3 FY27 after adding trailers in Q1 FY27, according to management. It intends to complete its planned FY27 capital-expenditure programme using initial public offering proceeds outlined earlier, while maintaining a stated focus on shipment-level profitability, cost management and working capital.

The broader plan includes freight transport and container-procurement services, a larger owned commercial-vehicle fleet, and cross-selling warehousing and distribution services. During Q2 FY27, Glottis also incorporated Glottis Logistics SDN. BHD., a wholly owned subsidiary in Malaysia, to expand freight-forwarding and logistics-support services; the presentation gives no revenue or earnings target for that operation.

Conclusion

Glottis' Q2 FY27 result combined 28.8% revenue growth with a pronounced decline in earnings: EBITDA fell from Rs 18.1 crore to Rs 3.4 crore and the margin moved from 8.4% to 1.2%, while PAT shifted to a Rs 2 lakh loss. The disclosed mix change, freight realisations and operating costs coincided with the lower profitability.

The next stated operational milestone is container deployment from Q3 FY27, followed by completion of the planned capital-expenditure programme during FY27. Management's stated priorities are shipment-level profitability, operating costs, business from existing customers and working capital, after H1 FY27 EBITDA margin declined to 3.8% from 9.2% a year earlier.