Flair Writing Industries Ltd — earnings calls

Flair Writing Industries reported Q1 FY27 revenue of Rs 319.2 crore, up 10.6% year-on-year, with EBITDA of Rs 53.3 crore, up 7.7% year-on-year after a correction to the initially stated 23% figure. Gross margin declined 31 basis points year-on-year to 50% and EBITDA margin fell 46 basis points to 16.7%, which management attributed to elevated raw material costs linked to geopolitical uncertainty in West Asia. Segment-wise, the Pen business grew 9%, Creative Products grew 23%, and Steel Bottles and Houseware grew 54.3% year-on-year.

Flair Writing Industries reported FY26 revenue growth of 15.8% year-on-year, meeting its stated guidance of 15%, with strong performance from the Creative and Steel Bottles and Houseware segments which grew 74% and 95% respectively for the year. EBITDA margin for the full year improved to 18%, up 85 basis points, while profit after tax grew 18.7% year-on-year to Rs 141.3 crores. Management said it expects a margin impact of about 13% in raw material consumption ratio in Q1 FY27 due to crude-linked derivative price increases stemming from the West Asia crisis, while reiterating FY27 revenue growth guidance of 15%.