Premco Global's Q1 Earnings Show Sharp Contraction in Revenue and Profitability
Premco Global's Q1 FY27 results reveal a steep year-on-year decline in both revenue and profit, with net profit margin collapsing.
Premco Global's Q1 FY27 earnings show a severe contraction, with revenue down 33.7% and profit plummeting 99.4% year-on-year. The net profit margin has collapsed to near zero.
Premco Global's first-quarter results for FY27 paint a stark picture of a significant earnings contraction. The textile manufacturer reported a sharp decline in both revenue and profit compared to the same period last year, with profitability margins collapsing to near-zero levels.
Revenue for the quarter ended June 2026 stood at ₹19.67 crore, a 33.7% drop from ₹29.68 crore in Q1 FY26. Profit after tax (PAT) saw an even more dramatic fall, plunging 99.4% year-on-year to just ₹0.02 crore from ₹3.62 crore. This has resulted in a net profit margin of just 0.1%, a massive 1,210 basis point decline from the 12.2% margin reported a year ago. Sequentially, performance also weakened, with revenue down 8.1% and profit swinging from a loss of ₹1.05 crore in Q4 FY26 to a barely-breakeven position.
A look at the last five quarters shows a volatile and challenging trend for the company.
Revenue (₹ Cr)
Profit (₹ Cr)
Net Profit Margin (%)
| Metric | CurrentQ1 FY27 | PreviousQ4 FY26 | Same quarter LYQ1 FY26 |
|---|---|---|---|
| Period Ended | June 2026 | March 2026 | June 2025 |
| Revenue (₹ Cr) | 19.67YoY -34% | 21.41 | 29.68 |
| Profit (₹ Cr) | 0.02YoY -99% | -1.05 | 3.62 |
| Net Profit Margin (%) | 0.1YoY -99% | -4.9 | 12.2 |
The trailing twelve-month (TTM) figures offer a slightly broader, but still pressured, view with revenue of ₹83.67 crore, profit of ₹2.39 crore, and a TTM net profit margin of 2.9%.
Key Points
- The company maintains a very strong balance sheet with minimal debt, reflected in a debt-to-equity ratio of just 0.04.
- Return on equity (ROE) for the period stands at 8.64%.
- The stock trades at a price-to-earnings (P/E) ratio of 14.8, a significant 58.8% discount to the industry average P/E of 35.8.
Premco Global's immediate challenge is to stabilize its top line and engineer a meaningful recovery in its core profitability metrics.
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· PREMCO
(BSE)
ISIN: INE001E01012
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