Rays of Belief Q1FY27 results: ₹2.79 cr turnaround

What changed in Q1FY27

Rays of Belief Limited reported a sharp improvement in consolidated performance for the quarter ended June 30, 2026 (Q1FY27), with profitability turning positive after a loss in the year-ago period. The company posted consolidated net profit of ₹2.79 crore (₹27.87 million) versus a net loss of ₹0.54 crore (₹5.37 million) in Q1FY26. Revenue from operations rose strongly to ₹25.31 crore (₹253.14 million), up from ₹10.71 crore (₹107.06 million) in the corresponding quarter last year. Operating profitability also expanded, with EBITDA at ₹5.00 crore (₹50 million) and an EBITDA margin of 19.86%.

A key feature of the quarter was the change in geographical revenue mix. The US segment revenue moved ahead of India for the first time in this period, with the two markets contributing almost equally to consolidated sales. The results are also notable because the company listed on NSE and BSE later, on September 8, 2026.

Headline financial performance

The quarter was marked by higher scale and improved margins. EBITDA surged 900% year-on-year to ₹5.00 crore, compared with ₹0.50 crore in Q1FY26, and margin expanded to 19.86% from 4.45%. Net sales (revenue from operations) increased 136.32% YoY to ₹25.31 crore. Profit before tax stood at ₹3.76 crore in Q1FY27, compared with a loss of ₹0.37 crore in Q1FY26.

Some market trackers also cited quarter-on-quarter movement, indicating net profit rose 16.74% QoQ from ₹2.39 crore and PBT increased 9.62% QoQ from ₹3.43 crore. Net sales were stated to be up 1.20% QoQ to ₹25.31 crore.

Key numbers at a glance

The cost line: employee and other expenses rose

The company’s expense base expanded alongside revenue. Employee benefits expense increased to ₹10.84 crore (₹108.44 million) from ₹6.58 crore (₹65.84 million) year-on-year. Other expenses rose to ₹9.44 crore (₹94.43 million) from ₹3.65 crore (₹36.52 million) in the year-ago quarter.

Additional cost details provided for Q1FY27 include interest expense of ₹0.24 crore, depreciation of ₹1.08 crore, and other income of ₹0.05 crore. Tax expense was ₹0.45 crore and deferred tax was ₹0.52 crore for the quarter, as reported in the same market snapshot.

US business edges past India in Q1FY27

Rays of Belief operates across two primary geographical segments: India and the USA. In Q1FY27, US segment revenue was ₹12.82 crore (₹128.23 million), slightly exceeding India segment revenue of ₹12.49 crore (₹124.91 million). This marked a shift from Q1FY26, when India accounted for over 91% of total revenue, as stated in the results note.

In the same quarter, the US segment reported profit before tax and finance costs of ₹1.81 crore (₹18.13 million). The India segment contributed ₹2.18 crore (₹21.81 million) on that measure. Another summary of the quarter described the split as near-equal, with India at 49.34% of revenue and the US at 50.66%.

Segment snapshot table

Listing context and comparability note

Rays of Belief was listed on the National Stock Exchange of India Limited and BSE Limited on September 8, 2026. The company also flagged that comparative figures for the quarter ended June 30, 2025 were prepared by management and were not subject to audit or review, as it was unlisted at that time.

This disclosure matters when readers compare quarterly trends, because Q1FY26 and earlier data points may carry different assurance levels depending on the source and presentation. The Q1FY27 numbers cited in the release were presented as unaudited financial results for the quarter ended June 30, 2026.

Market reaction and what investors tracked

Following the results, Rays of Belief shares rose 13.05% to ₹252.10, according to the market update included with the earnings snapshot. The market commentary highlighted the swing to a ₹2.79 crore profit versus a loss in Q1FY26 and the sharp increase in EBITDA and margin.

Investors also tracked the change in revenue mix, with the US becoming the larger geographical segment in Q1FY27. Alongside that, the expense trajectory remained in focus given the increase in employee costs and other expenses, even as margins expanded substantially year-on-year.

EPS and quarterly markers mentioned alongside results

A separate quarterly table shared alongside the updates listed EPS (₹) at -0.35 for Jun 2025, 1.54 for Mar 2026, and 1.78 for Jun 2026. The same set of updates referenced a “Quarterly Results” marker dated 2026-09-28.

These indicators were presented as part of the broader stream of result updates around the quarter, and they align with the headline narrative of a move from loss to profitability and improved operating performance.

Why the Q1FY27 print matters

The Q1FY27 result stands out for three reasons explicitly visible in the numbers provided. First, scale increased sharply, with revenue from operations rising to ₹25.31 crore from ₹10.71 crore a year ago. Second, profitability improved, with EBITDA margin expanding to 19.86% and PAT turning positive at ₹2.79 crore. Third, the geography mix changed meaningfully, with the US contributing ₹12.82 crore and edging past India at ₹12.49 crore for the quarter.

At the same time, the company’s cost base rose, with employee benefits expense and other expenses both higher year-on-year. The quarter therefore combined strong top-line expansion with materially better operating leverage than the year-ago period.

Conclusion

Rays of Belief’s Q1FY27 results showed a clear turnaround, with consolidated net profit at ₹2.79 crore, revenue at ₹25.31 crore, and EBITDA at ₹5.00 crore with a 19.86% margin. The US business slightly surpassed India on revenue in the quarter, reshaping the company’s geographical mix compared with last year’s India-heavy base. With the company’s listing dated September 8, 2026 and a comparability note on earlier figures, the next set of quarterly disclosures will be watched for confirmation of the new revenue mix and cost trends.