BASF India Q1 FY27 Results Analysis: PAT Surges 137%, EBITDA Margin Expands 449 bps

BASF India Ltd's Q1 FY27 numbers came in strong, with revenue of Rs. 4,824.26 Cr (+28.95% YoY) and PAT growth of +137.03% YoY. Here's a quick read of what worked, what to watch, and what management said.

Quarter Snapshot

BASF India reported its strongest quarter with revenue up 29% YoY and PAT up 137% YoY, driven by a turnaround in Materials and doubling of Chemicals revenue. EBITDA margin expanded 449 bps to 10.46%. However, Agricultural Solutions declined and Nutrition & Care margins compressed. The Coatings divestiture was completed and the Agri demerger is on track.

Key Investment Insights

Key Positives

• Revenue grew 29% YoY to Rs.4,824 Cr, the strongest quarter in recent history.
• EBITDA margin expanded 449 bps YoY to 10.46%.
• PAT from continuing ops grew 137% YoY to Rs.348 Cr.
• Materials segment turned from loss to profit, contributing Rs.213 Cr EBIT.
• Chemicals segment revenue doubled to Rs.928 Cr, margin expanded to 10.36%.

Risk Factors

• Agricultural Solutions revenue declined 18% YoY and margin compressed from 24.40% to 13.91%.
• Nutrition & Care margin halved to 1.12% despite 16% revenue growth.
• 'Changes in inventories' line swung negative by Rs.570 Cr, dragging gross profit (accounting effect).
• Finance costs doubled QoQ to Rs.5.21 Cr (though low absolute).