Grasim's Profit Jumps 39% YoY as Margins Hit a 5-Quarter High
The diversified giant posted strong yearly earnings growth, with profit rising faster than revenue to deliver a 7.9% net margin.
Grasim Industries reported robust Q1 FY27 results, with profit surging 38.8% year-on-year. The company's net profit margin expanded to a five-quarter high of 7.9%.
Grasim Industries delivered a strong performance for the first quarter of fiscal 2027, with profit growth significantly outpacing a healthy rise in revenue. This points to improving operational leverage and profitability for the diversified Aditya Birla Group flagship.
Year-on-year, revenue grew by 21.4% to ₹48,716 crore, while profit after tax surged 38.8% to ₹3,846 crore. This divergence lifted the net profit margin by 100 basis points to 7.9%, its highest level in the last five quarters. Sequentially, revenue saw a seasonal dip of 4.7% from the previous quarter, but profit still managed a slight 1.2% increase, further boosting the margin from 7.4%.
The quarterly trajectory over the past year shows a clear trend of margin recovery and profit expansion.
Revenue (₹ Cr)
Profit (₹ Cr)
Net Profit Margin
| Metric | CurrentQ1 FY27 | PreviousQ4 FY26 | Same quarter LYQ1 FY26 |
|---|---|---|---|
| Revenue (₹ Cr) | 48,716.2YoY +21% | 51,101.1 | 40,118.1 |
| Profit (₹ Cr) | 3,846.3YoY +39% | 3,802.2 | 2,770.6 |
| Net Profit Margin | 7.9%YoY +14% | 7.4% | 6.9% |
Key Points
- The trailing-twelve-month (TTM) net profit margin stands at 6.2%, indicating the latest quarter's performance is a positive step up from the recent average.
- The stock has delivered strong returns, gaining 17.5% over the past year and 80% over three years.
- The company trades at a slight premium to its industry, with a P/E of 35.0 compared to the sector average of 33.2.
While the quarterly revenue dip is noted, the core story is one of robust yearly profit growth and expanding margins, setting a solid tone for the fiscal year ahead.
Live Chart
· GRASIM
(BSE)
ISIN: INE047A01021
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