BLUESTARCO's Q2 FY27 numbers came in soft, with revenue of Rs. 2,930.95 Cr (+21.00% YoY) and PAT growth of +25.44% YoY. Here's a quick read of what worked, what to watch, and what management said.
Quick Details| Results date | October 29, 2026 |
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| Quarter | Q2 FY 2026-2027 |
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| Revenue (Q2) | Rs. 2,930.95 Cr (+21.00% YoY) |
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| PAT (Q2) | Rs. 123.91 Cr (+25.44% YoY) |
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| EBITDA margin | 6.93% (-60 bps YoY) |
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| EPS (Q2) | Rs. 6.03 (+25.63% YoY) |
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| Market cap | Rs. 34,399.35 Cr |
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| CMP | Rs. 1,673.00 |
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Quarter Snapshot
Revenue grew 21.0% YoY with all segments expanding, but growth quality is low: normalized Q2 PAT rose only 7.1% and H1 normalized profit fell 8.3% after stripping Rs.32.19 Cr of one-time gains. Unitary Products margin of 2.31% missed management's promised Q2 improvement and sits far below the >6.5% FY27 guide, while Segment I remains on track within its 6.5-7% band and cash generation (CFO Rs.414.44 Cr, net cash balance sheet) was a clear offset.
Key Investment Insights
Key Positives
- Consolidated revenue grew 21.0% YoY to Rs.2,930.95 Cr; all three segments grew double-digit-plus YoY
- Unitary Products revenue grew 29.38% YoY on the festival-season revival management had projected
- Professional Electronics & Industrial Systems revenue grew 51.2% YoY with EBIT margin of 23.74% (vs 9.59% year-ago)
- Segment I EBIT margin of 6.88% sits within management's guided 6.5-7% FY27 band
- H1 consolidated CFO of Rs.414.44 Cr vs Rs.(728.12) Cr year-ago; CFO/PAT 1.83x; FCF Rs.278.61 Cr
- Debtor days improved to 53.93 (from 55.98) and inventory days to 90.32 (from 118.83) YoY
- Net cash position of ~Rs.293.95 Cr; debt-equity 0.14; DSCR 31.40 vs 15.63 year-ago
- Operating margin recovered 176 bps QoQ from Q1's 5.17% trough to 6.93%
Risk Factors
- Unitary Products EBIT margin fell to 2.31% from 6.16% year-ago and declined QoQ from 2.94%, missing management's promised Q2 improvement and far below the >6.5% FY27 guide
- Normalized Q2 PAT grew only 7.08% YoY and H1 normalized profit declined 8.26% vs headline +25.4% PAT growth
- Standalone PBT before exceptionals fell 45.1% YoY (Rs.51.89 Cr vs Rs.94.46 Cr); standalone operating margin compressed to 4.24% from 5.97%
- Gross margin compressed ~120 bps YoY to 24.38% on commodity/currency headwinds
- D&A rose 56.6% YoY to Rs.67.90 Cr, an absorbed continuing cost layer from capacity build
- H1 PBT includes Rs.76.99 Cr of provision/liability write-backs (vs Rs.18.48 Cr year-ago) with undisclosed quarterly split
- FY27 operating margin guide of 7% requires H2 margin above 8%, beyond any quarter delivered in the last five