20 Microns Reports Resilient Q1 FY27: Revenue Stable Amid Costs, Highlights ₹100 Cr Growth Expansion Plan
20 Microns Limited has announced its consolidated financial results for the first quarter of Fiscal Year 2026-27 (Q1 FY27), reporting stable revenue alongside improved profitability. The company is advancing a strategic growth phase marked by a planned capital expenditure exceeding ₹100 crore, targeting expanded capabilities in specialty chemicals and performance minerals.The earnings presentation detailed operational performance across key metrics for Q1 FY27 compared to the previous quarters.
Q1 FY27 Financial Highlights (in ₹ Million)
| PARTICULARS | Q1FY27 | Q4FY26 | Q1FY26 | QoQ% Change | YOY% Change |
|---|---|---|---|---|---|
| Revenue from Operations | 2447.2 | 2610.6 | 2471.6 | -6.3% | -1.0% |
| Total Income | 2460.4 | 2631.5 | 2482.6 | -6.5% | -0.9% |
| Operating Expenses | 2123.2 | 2293.0 | 2154.2 | -7.4% | -1.4% |
| EBITDA (Excluding OI & EI) | 324.0 | 317.7 | 317.5 | 2.0% | 2.1% |
| EBITDA % | 13.2% | 12.2% | 12.8% | + 107 bps | + 40 bps |
| Finance Cost | 39.1 | 39.2 | 47.0 | -0.3% | -16.8% |
| Depreciation & Amortization | 53.6 | 51.8 | 50.0 | 3.6% | 7.4% |
| PBT | 241.8 | 244.5 | 228.7 | -1.1% | 5.7% |
| PAT | 177.4 | 175.9 | 168.6 | 0.9% | 5.2% |
| EPS (₹) | 5.04 | 4.99 | 4.78 | 1.0% | 5.4% |
Management Commentary on Resilience and Growth
The Management team noted a resilient performance in Q1 FY27 despite a difficult operating environment, which included geopolitical disruptions leading to higher costs for energy, logistics, and commodities.While consolidated revenue remained largely stable at ₹2,447.2 million, the Company reported improved profitability. EBITDA reached ₹324.0 million, and Profit After Tax rose 5.2% year-on-year to ₹177.4 million. The expansion of EBITDA margins to 13.2% reflects a focus on operational discipline.
Operational excellence supported margin improvement through a favorable product mix and better raw material utilization, offsetting sharp increases in furnace oil, gas, and distribution costs during the quarter. Controlled finance costs also helped earnings sustain despite persistent pressure.
Looking ahead, the company is initiating its next phase of growth with a planned capacity expansion program valued at ₹100 crore. This investment is intended to strengthen backward integration and enhance production capabilities. The expansion will support market share increase in specialty and value-added products, enabling growth beyond paints into plastics, polymers, rubber, and adhesives.
Future Goals and CAPEX Plans
20 Microns Limited has outlined several ambitious financial and operational goals for the coming years:- Financial Targets: Target 18% Revenue CAGR over the next three years and aim for a 200 to 250 bps EBITDA Margin Expansion driven by scale efficiencies.
- Product Strategy: The company aims for sustained double-digit growth, backed by strategic investments, targeting over 20% market share in high-value products by FY2030.
- Expansion Plan: A two-year execution plan is planned for phased capex deployment. This includes a Malaysia Capacity Expansion, which targets an annual production capacity of 1.08 lakh MT and quarrying capacity of 0.96 lakh MT by mid-FY2028.
The company's focus segments during this expansion include paints and coatings, plastics and rubber, inks, and specialty products.
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