TCI H1 FY27 revenue rose 12% while profit increased 1.3%

TCI reported consolidated revenue of Rs 2,652.7 crore in H1 FY27, the first half of financial year 2027, up 12.0% from Rs 2,368 crore in H1 FY26, while profit after tax rose 1.3% to Rs 223.5 crore. The gap coincided with return on capital employed falling to 19.1% from 24.3% in FY26 while capital employed excluding cash increased.

How did TCI’s consolidated H1 FY27 performance change?

TCI’s consolidated revenue grew faster than its operating profit and net profit in H1 FY27. Revenue rose 12.0% year on year to Rs 2,652.7 crore, while earnings before interest, tax, depreciation and amortisation (EBITDA) increased 6.8% to Rs 335.8 crore and profit after tax (PAT) increased 1.3% to Rs 223.5 crore.

The quarterly figures showed a similar spread. In Q2 FY27, the second quarter of FY27, consolidated revenue was Rs 1,398 crore, 14.8% above Rs 1,217.4 crore in Q2 FY26; EBITDA rose 8.3% to Rs 176 crore and PAT rose 3.1% to Rs 116.9 crore. Both the quarterly and half-year disclosures therefore show earnings growing more slowly than revenue.

Revenue increased by Rs 284.7 crore in H1 FY27, whereas PAT increased by Rs 2.8 crore. The presentation does not assign a company-wide reason for this difference, but it records EBITDA growth of 6.8%, below the 12.0% growth in revenue over the same six-month period.

How did TCI’s standalone results compare with consolidated results?

TCI’s standalone business recorded lower H1 revenue growth than the consolidated group, while standalone PAT declined slightly. Standalone revenue rose 10.0% to Rs 2,308 crore from Rs 2,099 crore, EBITDA increased 5.2% to Rs 308.4 crore, and PAT fell 0.2% to Rs 211.5 crore from Rs 212 crore.

The difference between consolidated and standalone H1 revenue widened to Rs 344.7 crore in FY27 from Rs 269 crore in FY26. Consolidated PAT was Rs 12 crore above standalone PAT in H1 FY27, compared with a Rs 8.7 crore difference a year earlier, leaving group-level PAT growth positive despite the marginal decline in standalone PAT.

In Q2 FY27, standalone revenue increased 12.3% to Rs 1,196.4 crore and standalone PAT rose 4.4% to Rs 91.7 crore. Consolidated Q2 PAT was Rs 116.9 crore, up 3.1%, while consolidated EBITDA increased 8.3% to Rs 176 crore, compared with standalone EBITDA growth of 9.8% to Rs 142.9 crore.

Why did TCI’s return measures decline in H1 FY27?

TCI’s return on capital employed (ROCE) was 19.1% in H1 FY27, compared with 24.3% in FY26, while capital employed excluding cash increased to Rs 2,575 crore from Rs 2,160.2 crore. The presentation places the H1 FY27 measure alongside full-year FY26 data, so this is a comparison between a half-year reporting point and the preceding financial year.

Return on net worth also declined to 17.0% in H1 FY27 from 20.4% in FY26. Average net worth increased to Rs 2,595.2 crore from Rs 2,181.2 crore over the same comparison, while the reported return percentage fell by 3.4 percentage points.

TCI’s five-period data show ROCE at 26.1% in FY23, 22.8% in FY24, 26.1% in FY25 and 24.3% in FY26 before the 19.1% H1 FY27 reading. Return on net worth was 21.1% in FY23, 19.2% in FY24, 20.7% in FY25 and 20.4% in FY26 before reaching 17.0% in H1 FY27.

What capital deployment and operating plans does TCI disclose?

TCI budgeted Rs 600 crore of capital expenditure for FY27 and reported Rs 343.2 crore of deployment in H1 FY27. Ships account for the largest FY27 allocation at Rs 237 crore, followed by Rs 122 crore for trucks and rakes, Rs 108 crore for other items including warehouse equipment and information technology, and Rs 92 crore for hub centres and small warehouses.

H1 FY27 deployment differed by category from the full-year budget. Ship spending was Rs 148 crore against the Rs 237 crore budget, while expenditure on hub centres and small warehouses was Rs 100.1 crore, above the Rs 92 crore full-year budget shown. Trucks and rakes accounted for Rs 52.7 crore, containers for Rs 13.6 crore, and other expenditure for Rs 28.8 crore.

TCI Seaways operates six Indian-flagged vessels and says two additional vessels are under construction for commissioning by Q3 FY27. It also acquired a 500 twenty-foot equivalent unit (TEU) cellular container carrier named TCI SETU, which is to be operational during November 26. TCI Seaways revenue increased 16.7% to Rs 329.5 crore in H1 FY27, while its earnings before interest and tax margin declined to 35.8% from 39.5% in H1 FY26.

Conclusion

TCI’s H1 FY27 disclosures show a separation between revenue and earnings growth: consolidated revenue increased 12.0% to Rs 2,652.7 crore, while PAT increased 1.3% to Rs 223.5 crore. The same reporting set shows ROCE at 19.1% and return on net worth at 17.0%, alongside increases in capital employed excluding cash and average net worth.

The next disclosed measures to watch are progress against TCI’s Rs 600 crore FY27 capital-expenditure budget and management’s guidance for revenue and margin growth of 10% to 12%. The presentation also identifies commissioning of two TCI Seaways vessels by Q3 FY27 and operation of TCI SETU during November 26 as operational milestones, while listing inflation, weak monsoon conditions, rate tightening and West Asia tensions among risks.