Studds Q1 FY27: Growth Holds Up, Margins Wait for Price Hikes and Raw Material Relief

Revenue from operations was INR169.7 crore, EBITDA was INR19.6 crore (11.5% margin), and PAT was INR12.3 crore (7.2% margin).

Management attributed margin pressure to sharp inflation in styrene-based raw material prices, a lag in price pass-through, and higher wage costs due to minimum wage revision effective 1 April 2026.

Management stated a roughly 9% price hike versus the FY26 base; about 5% was effectively realised in Q1 FY27, with most of the balance expected to flow through from Q2 FY27 onward.

The company stated the planned 1.5 million per annum capacity addition is progressing as scheduled and is expected to commence operations around September to October 2026.

Management said Italy is intended to improve European responsiveness by reducing effective lead times and enabling a dealer-direct model in Italy, Germany, and France, while maintaining distributor-led markets where the company is already strong.

Management discussed Bluetooth communication systems (including a mesh system expected to start commercial production in Q3 FY27) and riding jackets expected to be commercially available around Q2 FY27, with a combined FY27 revenue expectation of INR15 to INR20 crore.