MPK Steels H1 FY27 revenue rises 10% to Rs 101.84 crore

MPK Steels (I) Limited reported revenue from operations of Rs 101.84 crore for the half year ended September 30, 2026, up 10.1% from Rs 92.53 crore, while profit for the period rose 15.8% to Rs 1.88 crore and total expenditure increased 10.5% to Rs 99.74 crore.

How did MPK Steels' revenue and profit change in H1 FY27?

MPK Steels recorded higher revenue and profit in H1 FY27, with revenue from operations increasing by Rs 9.31 crore and profit for the period increasing by Rs 25.66 lakh from H1 FY26. Revenue was Rs 101.84 crore for the period ended September 30, 2026, compared with Rs 92.53 crore in the corresponding half year ended September 30, 2025.

Other income rose to Rs 72.95 lakh from Rs 21.73 lakh, taking total income to Rs 102.57 crore from Rs 92.75 crore. Profit before tax increased to Rs 2.82 crore from Rs 2.48 crore, while profit for the period reached Rs 1.88 crore, compared with Rs 1.62 crore a year earlier. The Audit Committee and Board approved the unaudited results on November 13, 2026.

Profit for the period increased 15.8%, compared with 10.1% growth in operating revenue, although expenditure rose 10.5%. The filing does not include management commentary, an earnings forecast or a full-year target, so it records the half-year movement in income and costs without setting an outlook beyond September 30, 2026.

Which costs changed during MPK Steels' half year?

MPK Steels' cost of materials consumed rose by Rs 6.94 crore to Rs 88.96 crore in H1 FY27, remaining the largest expense in its structural-steel manufacturing and trading business. Materials accounted for about 89% of total expenditure of Rs 99.74 crore, based on the figures in the financial statement.

Purchases of trading goods increased to Rs 1.97 crore from Rs 61.01 lakh, while employee benefits expense rose to Rs 1.66 crore from Rs 1.36 crore. Depreciation and amortisation increased to Rs 95.83 lakh from Rs 28.88 lakh, and administrative and other expenses rose to Rs 7.84 crore from Rs 4.60 crore.

The inventory-change line moved between the two periods. MPK Steels reported a Rs 2.85 crore reduction in finished-goods inventories in H1 FY27, compared with a Rs 60.51 lakh increase in H1 FY26. The latest-period reduction was presented as a negative expense and partly offset increases in material consumption, purchases, employee costs and administrative expenses.

Tax expense totalled Rs 94.48 lakh in H1 FY27, comprising Rs 36.61 lakh of current-year income tax, Rs 3.20 lakh of previous-year tax and a Rs 54.67 lakh deferred-tax charge. In H1 FY26, current-year tax was Rs 56.18 lakh and the deferred-tax charge was Rs 25.29 lakh, making the stated tax total Rs 81.47 lakh.

What does MPK Steels' balance sheet show at September 2026?

MPK Steels' total assets stood at Rs 106.95 crore on September 30, 2026, down from Rs 117.46 crore on March 31, 2026, while current assets declined to Rs 88.49 crore from Rs 101.73 crore. The asset movement included lower cash balances and trade receivables over the six-month period.

Cash and cash equivalents fell to Rs 3.76 crore from Rs 14.49 crore, while trade receivables declined to Rs 38.41 crore from Rs 47.00 crore. Inventories were broadly unchanged at Rs 25.76 crore against Rs 26.01 crore, but short-term loans and advances increased to Rs 19.87 crore from Rs 12.90 crore.

Long-term borrowings rose to Rs 14.94 crore from Rs 8.69 crore, while short-term borrowings increased to Rs 17.05 crore from Rs 8.22 crore. Shareholders' funds increased to Rs 53.96 crore from Rs 52.08 crore as surplus rose to Rs 43.78 crore from Rs 41.90 crore; share capital remained unchanged at Rs 10.18 crore.

What did MPK Steels report on cash flow and operations?

MPK Steels reported net cash outflow from operating activities of Rs 22.07 crore for the six months ended September 30, 2026. The cash-flow statement showed Rs 4.30 crore of operating profit before working-capital changes, but working-capital movements and Rs 1.90 crore of tax paid resulted in the operating outflow.

The largest stated working-capital movement was a Rs 26.13 crore decrease in trade payables. A Rs 6.97 crore increase in short-term loans and advances also used cash, partly offset by an Rs 8.59 crore reduction in trade receivables and a Rs 24.71 lakh reduction in inventories.

Investing activities used Rs 6.85 crore, including Rs 4.33 crore spent on fixed assets including work in progress and Rs 2.55 crore on investments. Financing activities supplied Rs 13.89 crore, comprising a Rs 8.82 crore increase in short-term borrowings and a Rs 6.26 crore increase in long-term borrowings, less Rs 1.20 crore of finance cost.

MPK Steels operates as a single reportable segment under Accounting Standard 17. Its disclosed activity is the manufacture and trade of structural-steel products, including mild-steel channels, beams, angles, squares, rounds and flats, and the filing does not provide product-level revenue or profit splits.

Conclusion

MPK Steels' H1 FY27 figures show that higher operating revenue and other income lifted profit for the period to Rs 1.88 crore, even as total expenditure reached Rs 99.74 crore. Material consumption of Rs 88.96 crore remained the principal cost, while the balance sheet reflected lower cash, lower receivables and higher borrowings than at March 31, 2026.

The unresolved matter in the filing is whether the working-capital movements seen during the six months will persist, particularly the Rs 26.13 crore reduction in trade payables, the Rs 6.97 crore increase in short-term loans and advances, and the Rs 10.73 crore fall in cash and cash equivalents. MPK Steels disclosed no production target, expansion plan or financial forecast beyond the September 30, 2026 results.