AEGISVOPAK Q2 FY27 Results Analysis: EBITDA Margin Expands 371 bps, PAT Slips 2.34% on Finance Cost Surge

AEGISVOPAK's Q2 FY27 numbers came in mixed, with revenue of Rs. 270.84 Cr (+16.63% YoY) and PAT growth of -2.34% YoY. Here's a quick read of what worked, what to watch, and what management said.

Quarter Snapshot

Aegis Vopak delivered 16.63% YoY revenue growth with EBITDA margin expanding ~371 bps YoY to 78.41%, led by the Liquid Terminal segment (revenue +21.55% YoY, margin +1,271 bps). However, owners' PAT fell 2.34% YoY as finance costs more than doubled (+117.03%) on debt-funded expansion, with D/E rising to 0.54x — still within management's 0.6x framework — and gas segment results remaining 2.81% below year-ago on partial Hormuz normalization. Leverage covenants remain compliant and H1 cash conversion is healthy at 1.80x CFO/PAT, but the receivables build (+50.70% vs March) and rising leverage are the key watch items.

Key Investment Insights

Key Positives

• Consolidated revenue grew 16.63% YoY and 15.85% QoQ to Rs.270.84 Cr
• EBITDA grew 22.43% YoY to Rs.212.39 Cr with margin up ~371 bps YoY to 78.41%
• Liquid Terminal segment revenue grew 21.55% YoY with segment margin up ~1,271 bps to 56.64%
• Gas Terminal revenue rebounded 32.37% QoQ off the war-depressed base
• H1 CFO of Rs.298.01 Cr was 1.80x PAT; FCF of Rs.222.75 Cr
• Gross debt/annualized H1 EBITDA at 3.18x and D/E at 0.54x remain within management's 3.5x and 0.6x frameworks
• Both NCD series (Rs.660 Cr and Rs.1,030 Cr) compliant with the 1.30x minimum security cover ratio
• Annualized H1 EBITDA of Rs.783.64 Cr already exceeds FY26's Rs.686.45 Cr (+14.1%)

Risk Factors

• PAT to owners declined 2.34% YoY to Rs.86.57 Cr despite 22.43% EBITDA growth
• Finance costs rose 117.03% YoY to Rs.40.34 Cr on the debt-funded expansion; D/E rose from 0.10x to 0.54x
• Gas Terminal segment result fell 2.81% YoY with margin compressed ~987 bps, indicating only partial Hormuz disruption normalization
• Effective tax rate rose to 19.36% from 14.58% YoY, a ~478 bps drag
• Trade receivables rose 50.70% vs March 2026 against H1 revenue growth of 14.63%
• Other income fell 67.38% YoY to Rs.5.67 Cr