Century Plyboards Q1 FY27 Results Analysis: Revenue Surges 33.5%, EBITDA Margin Expands 171 bps (CENTURYPLY)

Century Plyboards (India) Ltd's Q1 FY27 numbers came in mixed, with revenue of Rs. 1,561.38 Cr (+33.50% YoY) and PAT growth of +54.90% YoY. Here's a quick read of what worked, what to watch, and what management said.

Quarter Snapshot

CenturyPly reported strong headline growth with revenue up 33.5% YoY and EBITDA margin expanding 171 bps, driven by plywood and laminates. However, MDF margins collapsed to 2.17% EBIT, far below the 14-15% target, and particle board remains deeply loss-making, raising concerns about the new capacity ramp-up. The mixed performance suggests a cautious outlook despite the strong top-line.

Key Investment Insights

Key Positives

• Revenue grew 33.5% YoY to Rs.1,561.38 Cr, the strongest Q1 growth in recent history
• EBITDA margin expanded 171 bps YoY to 12.67%
• Plywood EBIT margin improved to 16.54% from 14.66% a year ago, exceeding the 12-14% target
• Particle Board revenue surged 156.6% YoY from low base as new line ramps
• Logistics segment EBIT margin improved to 12.64% from 6.73% a year ago
• Laminates EBIT margin improved to 7.42% from 2.49% a year ago, sustaining turnaround

Risk Factors

• MDF EBIT margin collapsed to 2.17% from 6.39% QoQ, far below the 14-15% target, due to chemical cost inflation and competitive oversupply
• Particle Board EBIT margin remained deeply negative at -8.95%, far from the 15% steady-state target by Q4 FY27
• Subsidiaries collectively dragged consolidated PAT by Rs.14.19 Cr, similar to prior year drag
• Effective tax rate jumped to 28.36% from 25.61% a year ago, depressing PAT growth relative to PBT
• Depreciation surged 47.5% YoY, indicating a heavy capex cycle that is yet to yield full returns