Marushika Technology Limited H1 FY27 revenue rises 72% YoY

Marushika Technology Limited increased H1 FY27 revenue 71.59% year on year to Rs 83.4621 crore and profit after tax 126.29% to Rs 7.0419 crore, as EBITDA margin rose to 12.29% from 11.71% and PAT margin reached 8.44% from 6.40%.

How did MTL's H1 FY27 revenue and profit change?

MTL increased revenue from operations to Rs 83.4621 crore in H1 FY27 from Rs 48.6394 crore in H1 FY26, a year-on-year increase of 71.59%. Earnings before interest, tax, depreciation and amortisation, or EBITDA, rose 80.02% to Rs 10.2537 crore from Rs 5.696 crore, exceeding the rate of revenue growth.

Profit after tax, or PAT, more than doubled to Rs 7.0419 crore from Rs 3.1118 crore, an increase of 126.29%. Profit before tax, or PBT, increased 116.05% to Rs 9.023 crore from Rs 4.1763 crore, while tax expense rose to Rs 1.9811 crore from Rs 1.0645 crore.

The reported increase in earnings followed a Rs 34.8227 crore increase in revenue. Earnings before interest and tax, or EBIT, rose to Rs 9.604 crore from Rs 5.5464 crore after depreciation expense increased to Rs 70.90 lakh from Rs 22.26 lakh. Other income declined to Rs 5.93 lakh from Rs 7.30 lakh.

Did MTL's operating and net margins improve?

MTL's EBITDA margin improved to 12.29% in H1 FY27 from 11.71% in H1 FY26, an expansion of 58 basis points. Its EBIT margin increased by 11 basis points to 11.51%, while PAT margin rose by 204 basis points to 8.44% from 6.40%; one basis point is one-hundredth of a percentage point.

The cost base rose alongside revenue, with purchases of stock-in-trade increasing to Rs 40.437 crore from Rs 30.0827 crore. The cost of subcontract technical services rose to Rs 29.8421 crore from Rs 10.522 crore, while employee expenses increased to Rs 1.7721 crore from Rs 1.4176 crore and other expenses reached Rs 1.1572 crore from Rs 92.11 lakh.

Finance cost fell to Rs 58.10 lakh in H1 FY27 from Rs 1.3701 crore in H1 FY26. Alongside the 73.16% increase in EBIT, that movement coincided with PBT growing faster than EBIT, although the presentation does not explain why finance cost declined.

What changed in MTL's balance sheet by H1 FY27?

MTL's total assets increased to Rs 97.7564 crore at H1 FY27 from Rs 87.1591 crore at FY26, while equity rose to Rs 54.3304 crore from Rs 47.2885 crore. Other equity was Rs 45.7936 crore at H1 FY27 compared with Rs 38.752 crore at FY26, while equity share capital was broadly unchanged at Rs 8.5368 crore.

Non-current liabilities rose to Rs 6.6272 crore from Rs 2.6981 crore, led by non-current borrowings of Rs 6.5374 crore versus Rs 2.5963 crore. Current borrowings increased to Rs 9.9573 crore from Rs 4.3731 crore, while total current liabilities declined to Rs 36.7988 crore from Rs 37.1725 crore as trade payables fell to Rs 21.4794 crore from Rs 25.5614 crore.

Current assets reached Rs 84.5131 crore from Rs 75.6953 crore. Trade receivables, at Rs 58.2304 crore versus Rs 57.9826 crore at FY26, were the largest disclosed current-asset item; loans and advances increased to Rs 23.6703 crore from Rs 14.8428 crore, while cash and cash equivalents declined to Rs 2.3095 crore from Rs 2.6505 crore.

Which MTL projects could affect the next reporting periods?

MTL said its Delhi Metro Phase-IV communication-systems project, with a contract value of about Rs 31.19 crore, was about 85% complete. The scope includes Internet Protocol private branch exchange, or IP-PBX, and communication infrastructure, while the Rs 24.83 crore Rail Cloud order was stated to be 100% completed in the half year.

The Rail Cloud project covered data-centre hardware including server storage and a storage area network switch. The presentation does not state the revenue-recognition schedule for the Delhi Metro project or disclose the amount of revenue recognised from either contract in H1 FY27.

MTL also disclosed a smart-parking order for the Nasik Kumbh valued at Rs 30 crore with consortium partners, with execution planned by July 2027. Multiple centralised control and monitoring street-light orders from the National Highways Authority of India were valued at around Rs 2.50 crore and have a March 2027 execution timeline.

What new business areas has MTL disclosed?

MTL disclosed a strategic partnership with Sanare Medical Private Limited to extend its artificial intelligence-led portfolio into healthcare and rehabilitation through medical robotics and advanced clinical technology. MTL said it had been appointed exclusive distributor and reseller for government institutions across India under the partnership.

The company describes its existing activities as data-centre infrastructure, networking, telecom systems, surveillance, data protection, cybersecurity, power management and defence auto-tech solutions. MTL reported more than 150 successfully completed projects, presence in 17 states and more than 20 products and services, but gave no revenue split by business vertical for H1 FY27.

Conclusion

MTL's H1 FY27 results combined 71.59% revenue growth with EBITDA growth of 80.02% and PAT growth of 126.29%, resulting in higher operating and net margins. The balance sheet also expanded by Rs 10.5973 crore from FY26, but included increases in both current and non-current borrowings, while trade receivables remained at Rs 58.2304 crore and cash declined by Rs 34.10 lakh.

What to watch next is the completion of the Delhi Metro Phase-IV project, which MTL said was 85% complete, and execution against the March 2027 street-light and July 2027 Nasik Kumbh timelines. MTL has not disclosed a revenue-recognition schedule for these projects or financial targets from its Sanare Medical Private Limited partnership.