NANTA H1 revenue nearly doubles as EBITDA margin reaches 23.3%

NANTA reported H1 FY27 revenue of Rs 42.55 crore, up 97.7% year on year, while earnings before interest, tax, depreciation and amortisation, or EBITDA, rose 221.2% to Rs 9.89 crore and its margin reached 23.3%. The result came as gross profit margin declined 18.5 percentage points to 42.2%.

How fast did NANTA's H1 FY27 revenue grow?

NANTA's revenue from operations nearly doubled to Rs 42.55 crore in H1 FY27 from Rs 21.53 crore in H1 FY26, an increase of 97.7%. The presentation reports this measure as revenue from operations and does not provide a product, customer or business-segment split for the increase. The H1 FY27 result therefore establishes the pace of top-line expansion but does not identify which activities generated it.

The year-on-year comparison differs from the sequential pattern. H1 FY27 revenue was 12.4% below the Rs 48.58 crore reported in H2 FY26, meaning the first-half sales total remained below the immediately preceding half-year despite the near-doubling from H1 FY26. NANTA's reported half-year figures show that year-on-year growth and half-on-half revenue movement pointed in different directions.

How did NANTA raise EBITDA margin to 23.3%?

NANTA raised EBITDA to Rs 9.89 crore in H1 FY27 from Rs 3.08 crore in H1 FY26, a 221.2% increase that exceeded the 97.7% revenue growth rate. EBITDA margin consequently rose by 900 basis points to 23.3% from 14.3%. A basis point is one-hundredth of a percentage point.

The reported operating-expense movement helps explain why EBITDA grew faster than gross profit. Other expense declined to Rs 6.46 crore in H1 FY27 from Rs 9.42 crore a year earlier, a reduction of Rs 2.96 crore, while gross profit increased by Rs 4.89 crore. Employee benefit expense was Rs 1.59 crore in H1 FY27, and the presentation records no separate explanation for changes in either employee or other expense.

Why did NANTA's gross profit margin decline?

NANTA's gross profit margin declined to 42.2% in H1 FY27 from 60.7% in H1 FY26, a fall of 1,850 basis points, even though gross profit rose 37.5% to Rs 17.95 crore. This was materially slower than the 97.7% rise in revenue, which reduced the gross-margin percentage. The presentation calculates gross profit after purchase of stock-in-trade and changes in inventories of stock-in-trade.

Purchase of stock-in-trade increased to Rs 28.45 crore in H1 FY27 from Rs 10.15 crore in H1 FY26. Changes in inventories of stock-in-trade were negative Rs 3.85 crore in H1 FY27, compared with negative Rs 1.68 crore a year earlier. Against H2 FY26, gross profit was 14.5% lower and gross margin was 100 basis points below the preceding half-year's 43.2%.

What happened to NANTA's profit below EBITDA?

NANTA's profit after tax, or PAT, rose 131.4% year on year to Rs 5.07 crore in H1 FY27 from Rs 2.19 crore in H1 FY26. PAT margin increased by 170 basis points to 11.9% from 10.2%, although its expansion was smaller than the 900-basis-point improvement in EBITDA margin. Earnings per share increased to Rs 9.89 from Rs 5.95 over the same periods.

Depreciation and amortisation increased to Rs 2.53 crore in H1 FY27 from Rs 10.3 lakh in H1 FY26, while finance cost rose by Rs 58.8 lakh to Rs 60.9 lakh. Even so, earnings before interest and tax, or EBIT, rose 145.8% to Rs 7.38 crore and profit before tax increased 127.1% to Rs 6.77 crore. Tax was Rs 1.70 crore, compared with Rs 79 lakh in H1 FY26.

How did NANTA's H1 FY27 profitability compare with H2 FY26?

NANTA's EBITDA improved sequentially, but PAT and revenue declined from H2 FY26. EBITDA increased 17.6% from Rs 8.41 crore in H2 FY26 to Rs 9.89 crore in H1 FY27, and EBITDA margin rose 600 basis points from 17.3% to 23.3%. The operating-profit measure therefore increased despite the 12.4% reduction in revenue from the preceding half-year.

Below EBITDA, the comparison was different. EBIT declined 9.0% from Rs 8.11 crore in H2 FY26, while profit before tax fell 15.6% from Rs 8.03 crore and PAT declined 15.2% from Rs 5.98 crore. PAT margin also decreased by 40 basis points from 12.3%, indicating that the sequential EBITDA-margin gain did not fully carry through to after-tax profitability.

Conclusion

NANTA's H1 FY27 figures show different movements in gross and operating profitability. Revenue rose to Rs 42.55 crore and gross profit increased to Rs 17.95 crore, but gross margin fell to 42.2%. At the same time, the Rs 2.96 crore reduction in other expense accompanied EBITDA of Rs 9.89 crore and a 23.3% margin.

The next half-year comparison will matter because H1 FY27 revenue was below the Rs 48.58 crore reported in H2 FY26, while EBITDA was higher than the prior half-year's Rs 8.41 crore. The presentation does not disclose an FY27 revenue or margin target, leaving unresolved whether the 23.3% EBITDA margin can continue alongside the 42.2% gross margin.