Nilkamal LimitedQ1 FY27 Results & Financial Update
Nilkamal Limited: Q1 FY27 consolidated results and company financials – revenue ₹819.73 Cr, PAT ₹24.40 Cr. Explore reported YoY/QoQ movements, margins, business drivers and management commentary. This page does not provide a rating, target price or investment recommendation.
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Nilkamal price & chart
Quarter overview
Quarterly earnings analysis
During the first quarter of fiscal 2027, Nilkamal experienced a contraction in top-line revenue alongside an expansion in bottom-line profitability. Consolidated revenue from operations stood at ₹819.73 crore, marking a decrease compared to ₹883.14 crore in the corresponding period of the previous year.
Global geopolitical developments and supply chain disruptions emerging since March 2026 triggered an approximate 50% increase in major raw material costs. This significant input cost pressure severely impacted volume growth within the B2B business, which registered a 37% volume contraction.
To mitigate input cost inflation, management executed proactive price increases and product mix optimization initiatives. These steps limited the B2B division's value degrowth to 10% and protected gross margins, allowing standalone EBITDA to reach ₹80 crore compared to ₹57 crore in Q1 FY26.
On a standalone basis, profitability expanded significantly, with PBT and PAT climbing to ₹31 crore and ₹23 crore respectively. This earnings growth was strongly supported by the retail and e-commerce division, which successfully transitioned out of losses into positive operating territory.
The retail and e-commerce segment achieved a turnover of ₹104 crore, representing a 13% expansion over the ₹92 crore reported in the same quarter last year, driven by enhanced product offerings, targeted marketing, and streamlined after-sales service.
Balance sheet strength improved over the period, marked by net borrowings receding to ₹116 crore as of June 30, 2026, down substantially from ₹331 crore twelve months prior, reflecting disciplined cash generation and working capital management.
01 · Business model
What does Nilkamal do?
Nilkamal Limited is a prominent manufacturer and marketer of moulded furniture products and material handling solutions. The company operates manufacturing lines for diverse industrial and consumer applications, including crates, bins, pallets, and rigid packaging.
Beyond its core plastics business, Nilkamal produces metal racking and storage systems, factory-made wood furniture, institutional metal furniture for education and healthcare, office seating solutions, and sofa manufacturing.
The company also serves the consumer segment through its mattress and foam manufacturing business. It participates in retail and e-commerce channels under the brand 'Nilkamal Homes', offering home furniture and lifestyle decor items.
Geographically, Nilkamal maintains an extensive domestic footprint alongside overseas subsidiaries in Sri Lanka and the UAE (Ajman), while also participating in a joint venture entity, Cambro Nilkamal Private Limited, in India.
02 · Historical context
What shaped the business before this quarter
During the financial year 2025-26, the company performed actuarial valuations reflecting updated wage definitions under the New Labour Codes effective November 21, 2025, recording an incremental provision of ₹1,541 lakhs classified as an exceptional item.
03 · Financial snapshot
Current-quarter financial snapshot
| Metric | Q1 FY27 |
|---|---|
| Revenue from operations | ₹819.73 Cr |
| Total income | ₹824.22 Cr |
| Profit before tax | ₹30.75 Cr |
| Profit after tax | ₹24.40 Cr |
| EPS | ₹16.29 |
04 · Why it moved
Why the quarter looked the way it did
What drove revenue
Geopolitical shifts and supply chain constraints since March 2026 pushed major raw material costs up by roughly 50%, resulting in a 37% volume decline in the B2B segment.
Proactive product mix optimization and selective price adjustments restricted B2B revenue degrowth to 10% in value terms despite steeper volume drops.
The Retail and E-commerce segment generated ₹104 crore in revenue, growing 13% year-over-year, supported by a 22% growth in e-commerce and 6% growth in physical store sales.
Industrial and channel partner sales faced volume declines of 37% due to rising raw material costs and supply chain disruptions.
Retail and e-commerce turnover grew 13% to ₹104 crore, driven by enhanced product offerings, targeted marketing, and optimized after-sales service.
Within B2B, the mattress and foam business expanded by 49% and ready furniture grew 20%, offsetting declines in plastic furniture (13%), material handling (16%), and bubbleguard (36%).
What drove margins
Proactive realization increases and product mix adjustments successfully defended gross margins against the roughly 50% surge in key raw material expenses.
The Retail & E-commerce division delivered an EBIT of ₹1.68 crore compared to a negative EBIT of ₹9.50 crore in the year-ago period, providing substantial positive leverage to overall profitability.
Major raw material costs surged by approximately 50% following geopolitical shifts and supply chain dislocations from March 2026.
The retail segment generated an EBIT of ₹1.68 crore compared to a negative EBIT of ₹9.50 crore in the corresponding period of the previous year.
05 · Demand, customers & order book
Where demand is coming from
As of June 30, 2026, the company's retail network expanded to a total of 100 stores operating across Company-Owned Company-Operated (COCO) and Franchise-Owned Franchise-Operated (FOFO) formats.
06 · Segments, products & geography
Which parts of the business are doing the work
Segments and products
B2B revenue stood at ₹716.04 crore, down from ₹791.42 crore in Q1 FY25, yielding a segment result of ₹41.27 crore. Within B2B, Mattress and Foam grew 49% and Ready Furniture grew 20%, whereas Plastic Furniture declined 13%, Material Handling dropped 16%, and Bubbleguard contracted 36%.
Retail and E-commerce revenue reached ₹103.69 crore compared to ₹91.72 crore previously, swinging to a positive segment result of ₹1.68 crore from a negative ₹9.50 crore in Q1 FY25.
Segment revenue reached ₹71,604.23 lakhs with segment results of ₹4,127.32 lakhs, catering to industrial customers and channel partners.
Segment revenue reached ₹10,369.07 lakhs with segment results of ₹168.41 lakhs, operating across 100 stores under COCO and FOFO formats alongside online channels.
Geography and market mix
Consolidated results include performance contributions from overseas subsidiaries in Sri Lanka (Nilkamal Eswaran Plastics and Nilkamal Eswaran Marketing) and the UAE (Nilkamal Crates and Bins FZE in Ajman).
07 · Capacity, projects & execution
What is being built, commissioned or delivered
Projects, capex and execution
Total capex spend for Q1 FY27 reached ₹41 crore, compared to ₹36 crore incurred during Q1 FY26.
Capital expenditure during Q1 FY27 totaled ₹41 crore, compared to ₹36 crore incurred during Q1 FY26.
08 · Reported developments
What changed operationally
The retail and e-commerce division successfully turned profitable, recording an EBIT of ₹1.68 crore against a prior-year loss of ₹9.50 crore.
Standalone PBT and PAT grew by 145% year-over-year to reach ₹31 crore and ₹23 crore respectively.
The retail and e-commerce segment returned to profitability, posting an EBIT of ₹1.68 crore compared to an operating loss in the previous year.
Mattress and foam recorded 49% growth while ready furniture expanded by 20% within the B2B portfolio.
09 · Pressure points & risks
What is not going smoothly
Rising input costs and pricing adjustments led to a 37% volume decline in the B2B division, pulling total operating revenue down by 7.2% consolidated.
B2B sales volumes dropped 37%, impacting overall consolidated revenue performance.
10 · Cash flow & balance sheet
Profit is one thing. Cash and funding tell another part of the story.
Capital allocation & funding
The company's net borrowings stood at ₹116 crore as of June 30, 2026, showing a sharp reduction compared to ₹331 crore as of June 30, 2025.
Outstanding secured listed non-convertible debentures aggregated to ₹49 crore as of June 30, 2026 (before netting off prepaid finance charges), secured by pari passu charges on plant, equipment, and fixtures.
Net borrowings stood at ₹116 crore as of June 30, 2026, marking a substantial reduction from ₹331 crore as of June 30, 2025.
Secured listed non-convertible debentures aggregated to ₹4,900 lakhs as of June 30, 2026, secured by a pari passu charge on plant, equipment, furniture, and fixtures.
11 · Beyond the numbers
What changed beyond the numbers
Credit Rating Reaffirmation
CARE Ratings Ltd reaffirmed the company's long-term credit rating at CARE AA Stable and short-term rating at CARE A1+ for its credit facilities and instruments.
12 · Previous-quarter changes
What changed since the previous quarter
Consolidated revenue moved from ₹965.18 crore in Q4 FY26 to ₹819.73 crore in Q1 FY27, while PAT moved from ₹41.69 crore to ₹24.40 crore.
13 · Key Q&A
The quarter, answered directly
What does Nilkamal do?
Nilkamal Limited is a prominent manufacturer and marketer of moulded furniture products and material handling solutions. The company operates manufacturing lines for diverse industrial and consumer applications, including crates, bins, pallets, and rigid packaging.
What is the clearest takeaway from Q1 FY27?
During the first quarter of fiscal 2027, Nilkamal experienced a contraction in top-line revenue alongside an expansion in bottom-line profitability. Consolidated revenue from operations stood at ₹819.73 crore, marking a decrease compared to ₹883.14 crore in the corresponding period of the previous year.
What drove revenue or demand?
Geopolitical shifts and supply chain constraints since March 2026 pushed major raw material costs up by roughly 50%, resulting in a 37% volume decline in the B2B segment.
What mattered most for margins or profitability?
Proactive realization increases and product mix adjustments successfully defended gross margins against the roughly 50% surge in key raw material expenses.
What changed operationally beyond the headline numbers?
Total capex spend for Q1 FY27 reached ₹41 crore, compared to ₹36 crore incurred during Q1 FY26.
What are the main pressure points disclosed for the quarter?
Rising input costs and pricing adjustments led to a 37% volume decline in the B2B division, pulling total operating revenue down by 7.2% consolidated.
14 · Scenario calculator
Earnings sensitivity: what if growth and margins change?
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15 · Next filing checkpoints
What the next disclosure can confirm or change
- 01
Raw Material Cost Trends: Monitor the persistence of the 50% surge in major raw material prices and the company's ongoing ability to sustain realisations.
- 02
Retail Store Expansion: Track the scaling of the 'Nilkamal Homes' retail network beyond the current 100-store count under COCO and FOFO formats.
- 03
Raw Material Price Trajectory: Monitor subsequent quarters for persistence or easing of the ~50% surge in major raw material costs.
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