GRP Ltd Q1 FY27 Results: Income up 26%, PAT 140%

What GRP reported for Q1 FY27

GRP Limited started FY27 with a sharp improvement in profitability, supported by higher volumes and better realizations. For the quarter ended June 30, 2026, the company reported consolidated total income of INR 1,573 million, up 26% year-on-year (YoY). The management commentary linked the growth primarily to a 24% consolidated volume increase and a 5% improvement in realizations. Profitability expanded faster than revenue, with EBITDA rising 60% YoY and margins improving.

The results and management commentary were also discussed in GRP’s Q1 FY27 earnings conference call held on July 27, 2026, with participation from Managing Director Harsh Gandhi and CFO Shilpa Mehta. The company made the call’s audio recording available on its investor relations portal (www.grpweb.com) under disclosures made pursuant to Regulation 30 of SEBI (LODR) Regulations, 2015.

Total income growth and the volume-led mix

Consolidated total income increased to INR 1,573 million in Q1 FY27 from INR 1,247 million in Q1 FY26, a 26% YoY rise. Management attributed the increase largely to volume-led growth, with consolidated volumes up 24% over the year-ago quarter. The company also indicated a 5% improvement in realizations, which supported the revenue line alongside volumes.

Alongside the YoY performance, the quarter also showed sequential improvement. Consolidated revenue from operations grew 8.52% quarter-on-quarter (QoQ) to INR 1,568 million from INR 1,445 million in Q4 FY26. Consolidated total income rose 8.47% QoQ to INR 1,573 million from INR 1,450 million.

Profitability: EBITDA up 60% and margin expands

GRP reported a faster expansion in operating profit than revenue. Consolidated EBITDA rose 60% YoY to INR 174 million from INR 109 million. EBITDA margin expanded to 11.0% from 8.7% (also described as 9% in the presentation summary), reflecting operating leverage as volumes increased.

Profit before tax (before exceptional items and tax) increased to INR 84 million from INR 32 million, a 161% YoY increase. Depreciation stood at INR 50 million (vs INR 42 million), while finance cost increased to INR 40 million (vs INR 34 million). Tax expense rose to INR 42 million (vs INR 15 million), as profits improved.

Net profit: consolidated PAT rises 140% YoY

On the bottom line, consolidated profit after tax (PAT) increased to INR 42 million in Q1 FY27 from INR 17 million in Q1 FY26, a 140% YoY rise. PAT margin improved to about 2.7%-3% from about 1.4%-1% in the year-ago period, based on the company’s summaries.

The quarter also marked a turnaround versus Q4 FY26, when the consolidated entity reported a loss of INR 13.383 million. For Q1 FY27, consolidated PAT was INR 41.984 million, compared with INR 17.480 million in Q1 FY26. Basic EPS (consolidated) was INR 7.87 versus INR 3.28 in Q1 FY26.

Gross margin pressure and raw material costs

While EBITDA margin expanded, gross margin saw pressure. The company reported gross margin of 48.3% in Q1 FY27 versus 50.1% in Q1 FY26, a decline of 179 basis points. In its investor presentation, GRP said raw material costs rose 31% due to higher prices of select rubber grades, contributing to the gross margin decline.

On a consolidated basis, cost of goods sold increased to INR 813 million from INR 622 million (up 22%). Gross profit increased to INR 760 million from INR 624 million, while gross profit margin declined from about 50% to about 48%.

Segment and geography cues: recycling business and exports

GRP’s rubber recycling business remained a key driver, with segment revenues reported at INR 1,437 million in Q1 FY27, up 34% from INR 1,071 million in Q1 FY26. The company also noted reclaim rubber volume growth of 12% YoY.

Exports were a significant contributor to growth. Exports increased to INR 791 million from INR 586 million. The company linked export strength to a 20% growth in export volumes after removal of US tariffs, as per its segment commentary.

GRP also reported EPR income of INR 49 million in Q1 FY27 versus INR 46 million in Q1 FY26.

Standalone snapshot: profit rises 48% YoY

On a standalone basis, GRP reported net profit of INR 48.203 million in Q1 FY27 versus INR 32.544 million in Q1 FY26, a 48% YoY increase. Standalone revenue from operations increased to INR 1,557 million from INR 1,192 million.

The company also disclosed that it has renamed its reportable segment as “Rubber Recycling” and grouped smaller, non-separately reportable business segments under “Others”, based on internal assessment.

Key numbers at a glance

Corporate events and disclosures

GRP held its earnings call on July 27, 2026 (3:00 p.m. IST), with management participation disclosed in the call details. The company also indicated that investors can access the call recording through its official investor relations portal. Separately, at its 52nd Annual General Meeting on July 23, 2026, GRP adopted its audited FY26 financial statements and declared a dividend of INR 3.50 per share.

Why the quarter matters for investors

The Q1 FY27 outcome shows a clear shift in operating momentum, with profits improving faster than income. The combination of higher volumes, improved realizations, and margin expansion at the EBITDA line helped lift earnings materially. At the same time, the decline in gross margin highlights the sensitivity to rubber input costs, which the company explicitly linked to higher prices in select rubber grades.

For market participants tracking GRP, the conference call and investor presentation provide the most direct context on volume drivers, export trends, and margin movements. Management’s commentary on export volumes following removal of US tariffs is also a key operating datapoint disclosed for the quarter.

Closing summary

GRP’s Q1 FY27 results delivered 26% growth in consolidated total income to INR 1,573 million and a 60% rise in EBITDA to INR 174 million, with EBITDA margin expanding to 11%. Consolidated PAT increased 140% YoY to about INR 42 million, aided by strong volumes and improved realizations. Investors looking for management’s detailed explanations can refer to the company’s audio recording and disclosures filed under SEBI (LODR) requirements on its investor portal.