GM Breweries Posts Strong Annual Growth Amid Seasonal Quarter Dip
Revenue grew 25.8% year-on-year, but profit fell sharply from the previous quarter, reflecting typical seasonal patterns.
GM Breweries reported robust annual growth for Q1 FY27, with revenue up 25.8% and profit surging 45.9%. However, earnings softened sequentially from the high of Q4.
GM Breweries delivered a quarter of strong annual growth but sequential moderation for Q1 FY27. Revenue rose 25.8% year-on-year to ₹802.9 crore, while profit jumped 45.9% to ₹37.74 crore. However, compared to the previous quarter, both figures declined, with profit down 30.2% from a seasonally strong Q4.
The results highlight the company's improved profitability over the past year. The net profit margin expanded by 60 basis points to 4.7% compared to Q1 FY26. Yet, this margin is notably lower than the 6.7% achieved in the immediate prior quarter and the 6.1% trailing twelve-month (TTM) average, indicating a seasonal compression.
A look at the recent quarters shows the typical volatility in the business:
Revenue (₹ Cr)
Profit (₹ Cr)
Net Profit Margin
| Metric | CurrentQ1 FY27 | PreviousQ4 FY26 | Same quarter LYQ1 FY26 |
|---|---|---|---|
| Period | Jun 2026 | Mar 2026 | Jun 2025 |
| Revenue (₹ Cr) | 802.9YoY +26% | 812.09 | 638.01 |
| Profit (₹ Cr) | 37.74YoY +46% | 54.07 | 25.86 |
| Net Profit Margin | 4.7%YoY +15% | 6.7% | 4.1% |
Key Points
- The company maintains a robust balance sheet with zero debt and a high interest coverage ratio of over 650.
- Shareholders have been rewarded, with the stock delivering a 31.9% return over the past year.
- Despite strong operational metrics, the stock trades at a significant discount to its industry, with a P/E of 14.3 versus the sector average of 55.9.
The coming quarters will show if GM Breweries can sustain its annual growth momentum and rebuild its profitability towards the levels seen in its stronger fiscal-year-end periods.
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· GMBREW
(BSE)
ISIN: INE075D01018
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