Steelcast Ltd — Q1 FY27 earnings call
Summary generated by AI from the official transcript Steelcast Ltd filed with BSE on 06 Aug 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Steelcast reported Q1 FY27 revenue of Rs 124.82 crore, up 17% year-on-year, with EBITDA of Rs 35.24 crore and PAT of Rs 23.71 crore. Management said input cost increases on raw materials and natural gas will be passed through to customers effective July 1, 2027, under existing price variation formulas. The company also announced a Rs 120 crore greenfield foundry expansion with 8,500 tons capacity, targeted for commissioning by March 2028, alongside two renewable energy projects expected online by December 2026.
1 statement from this call is not shown because its supporting quote could not be reproduced within our quoting limits. Nothing shown here is affected: every statement on this page carries its verified quote.
Numbers mentioned
Revenue from operations: INR124.82 crores (Q1 FY27)
p. 4
“During Q1 FY27, the revenue from operation was at INR124.82 crores, a growth of 17% from INR106.69 crores in Q1 FY26.”
Chetan Tamboli, page 4 of the filed PDF · View the filing
EBITDA: INR35.24 crores (Q1 FY27)
p. 4
“EBITDA during the quarter was at INR35.24 crores, a growth of 17.37% from INR30.02 crores in Q1 FY26.”
Chetan Tamboli, page 4 of the filed PDF · View the filing
EBITDA margin: 28.23% (Q1 FY27)
p. 4
“EBITDA margin was at 28.23% from 28.14% in Q1 FY26.”
Chetan Tamboli, page 4 of the filed PDF · View the filing
PAT: INR23.71 crores (Q1 FY27)
p. 4
“PAT during the quarter was at INR23.71 crores, a growth of 19.26% from INR19.88 crores in Q1 FY26.”
Chetan Tamboli, page 4 of the filed PDF · View the filing
PAT margin: 19% (Q1 FY27)
p. 4
“PAT margin was at 19% from 18.64% in Q1 FY26.”
Chetan Tamboli, page 4 of the filed PDF · View the filing
Capacity utilization: 66% (Q1 FY27)
p. 12
“And for the quarter, April, May, June, we did 66%.”
Chetan Tamboli, page 12 of the filed PDF · View the filing
Tons produced: 4,700 tons (Q1 FY27)
p. 11
“4,700 tons and 60% was exports.”
Chetan Tamboli, page 11 of the filed PDF · View the filing
Planned capex for greenfield foundry: approximately INR120 crores (next 2 years)
p. 4
“This facility will manufacture steel castings across a wide range of applications from 5 kg to 1,000 kg and involve a planned investment of approximately INR120 crores over the next 2 years.”
Chetan Tamboli, page 4 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Revenue growth — 25% · FY27
stated firmly by Chetan Tamboli
p. 4
“And for FY27, we expect a growth of 25% compared to last financial year.”
Chetan Tamboli, page 4 of the filed PDF · View the filing
Revenue growth CAGR — approximately 20% CAGR · coming years
stated as an aspiration by Chetan Tamboli
p. 4
“targeting a growth trajectory of approximately 20% CAGR over the coming years”
Chetan Tamboli, page 4 of the filed PDF · View the filing
Volume growth — 30% · FY27
stated conditionally by Chetan Tamboli
p. 11
“I did say 25%, I should have said 30% because indications from most of our customers are very strong.”
Chetan Tamboli, page 11 of the filed PDF · View the filing
New foundry commissioning — 31st March FY28 · FY28
stated firmly by Chetan Tamboli
p. 6
“Our internal target date to commission the plant is -- 31st March FY28.”
Chetan Tamboli, page 6 of the filed PDF · View the filing
Capacity utilization — 90% · FY29
stated firmly by Chetan Tamboli
p. 6
“We plan to reach 90% by FY29.”
Chetan Tamboli, page 6 of the filed PDF · View the filing
Renewable power plants commissioning — before 31st December '26
stated firmly by Chetan Tamboli
p. 4
“Both projects are progressing and are expected to be commissioned before 31st December '26.”
Chetan Tamboli, page 4 of the filed PDF · View the filing
EBITDA margin — 28.5%, 29% · FY27
stated as an aspiration by Chetan Tamboli
p. 11
“Yes, theoretically, that should happen, and this is what we are going to strive to achieve.”
Chetan Tamboli, page 11 of the filed PDF · View the filing
Ground engaging tools revenue contribution — 4.5% to 5% · FY29
stated as an aspiration by Chetan Tamboli
p. 5
“As of now, it's less than 1%. But by FY29, we expect this to reach 4.5% to 5%.”
Chetan Tamboli, page 5 of the filed PDF · View the filing
GET revenue share — about 6% · FY29
stated as an aspiration by Chetan Tamboli
p. 12
“In the current year, we'll do about 3.5% of the sales. And gradually, it will go up to about 6% in FY29.”
Chetan Tamboli, page 12 of the filed PDF · View the filing
New parts revenue contribution — about 20% of revenues · next 2, 3 years
stated as an aspiration by Chetan Tamboli
p. 9
“Roughly, we can assume about 20% of revenues coming from the new parts.”
Chetan Tamboli, page 9 of the filed PDF · View the filing
Peak revenue potential from new facility — about INR300 crores
stated as an aspiration by Chetan Tamboli
p. 7
“it will be about INR300 crores.”
Chetan Tamboli, page 7 of the filed PDF · View the filing
Capacity utilization for full year — about 63% · FY27
stated firmly by Chetan Tamboli
p. 8
“Yes, but for the whole year, we plan to do about 63%.”
Chetan Tamboli, page 8 of the filed PDF · View the filing
Price correction on raw materials — effective 1st July '27
stated firmly by Chetan Tamboli
p. 4
“With increase in the input cost of various raw materials and natural gas, we would be having price correction on upward basis, and this will be effective 1st July '27.”
Chetan Tamboli, page 4 of the filed PDF · View the filing
Sequential revenue improvement — several quarters
stated firmly by Chetan Tamboli
p. 4
“There will be a sequential improvement in top line from here on for several quarters.”
Chetan Tamboli, page 4 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management said the price variation formula allows full pass-through, with most of the increase effective from July 1.
Answered by Chetan Tamboli
Asked by Shubhi Gupta: How much of raw material and fuel price increases will be passed on to customers, and when?
p. 5
“And most of it will come from effective of 1st July. And all the major raw materials are part of the formula, and we will be able to pass on everything, all increases.”
Chetan Tamboli, page 5 of the filed PDF · View the filing
Management clarified the 25% (later revised to 30%) is volume growth, separate from price increases.
Answered by Chetan Tamboli
Asked by Ankur Kumar: Is the 25% growth guidance volume-driven or price-driven?
p. 5
“It will be -- see, in fact the price increase, it will happen whatever it has to happen, but we will have a volume growth of 25%.”
Chetan Tamboli, page 5 of the filed PDF · View the filing
Management said they have deprioritized the U.S. railroad segment in favor of better-priced opportunities elsewhere.
Answered by Chetan Tamboli
Asked by Ankur Kumar: What is the status of the U.S. railroad opportunity?
p. 6
“We are not pursuing the U.S. railroad for the time being because there are many opportunities in better markets, better products, better pricing.”
Chetan Tamboli, page 6 of the filed PDF · View the filing
Management attributed the margin improvement primarily to scale from higher volumes rather than pricing.
Answered by Chetan Tamboli
Asked by Harshil Solanki: What is driving the improvement in gross margins this quarter given no major price hike yet?
p. 7
“probably the improvement in margins is because of scale, which was higher volumes.”
Chetan Tamboli, page 7 of the filed PDF · View the filing
Management described diversification away from mining equipment dependence toward earthmoving, construction and other sectors, and expansion of export geographies.
Answered by Chetan Tamboli
Asked by Saket Saurabh: How has the company's segmental and customer concentration changed over the last decade?
p. 10
“say, 10 years back, our sales to mining equipment industry was about 84%, which has dropped to about 54% now.”
Chetan Tamboli, page 10 of the filed PDF · View the filing
Management said this is achievable theoretically and is what they are targeting.
Answered by Chetan Tamboli
Asked by Manish Goyal: Can EBITDA margin rise to 28.5-29% for FY27 given operating leverage and price hikes?
p. 11
“Yes, theoretically, that should happen, and this is what we are going to strive to achieve.”
Chetan Tamboli, page 11 of the filed PDF · View the filing
Management said the company already has sufficient reserves and does not need shareholder funds, and a rights issue would dilute earnings per share.
Answered by Chetan Tamboli
Asked by K Manunath: Why not fund the expansion via a rights issue instead of internal accruals?
p. 14
“please understand the company does not need any more resources from the shareholders. In fact, if the equity goes up, then the earnings per share will go down.”
Chetan Tamboli, page 14 of the filed PDF · View the filing
Management said defense carries higher risk due to single-customer dependence and currently offers less attractive opportunities than other sectors.
Answered by Chetan Tamboli
Asked by K Manunath: Why isn't the company pursuing more defense components given consistent quality improvement?
p. 15
“one of the most riskiest business is defense business because you're selling only to one customer.”
Chetan Tamboli, page 15 of the filed PDF · View the filing
Management said price increases and decreases are both passed through with a one-quarter lag.
Answered by Chetan Tamboli
Asked by Saket Saurabh: How does cost pass-through timing differ between export and domestic clients, and is there a lag?
p. 15
“So generally, when there is an increase, we get an increase with a lag of 1 quarter.”
Chetan Tamboli, page 15 of the filed PDF · View the filing
Management said currency movements, both depreciation and appreciation, are shared with customers rather than hedged.
Answered by Chetan Tamboli
Asked by Saket Saurabh: Does the company hedge currency fluctuations or pass them through to customers?
p. 15
“In our case, we share the rupee depreciation or we share the rupee appreciation. We share with the customer.”
Chetan Tamboli, page 15 of the filed PDF · View the filing
Risks flagged
Elevated energy and fuel costs due to global geopolitical developments
p. 4
“While energy costs have remained elevated due to the impact of global geopolitical developments and sustained pressure on fuel prices, we have successfully ensured adequate fuel availability to support uninterrupted production.”
Chetan Tamboli, page 4 of the filed PDF · View the filing
Uncertainty in future natural gas pricing
p. 13
“But over a longer term, we don't know what would be the natural gas pricing.”
Chetan Tamboli, page 13 of the filed PDF · View the filing
High customer concentration risk in defense business
p. 15
“So the risk in defense is very, very high.”
Chetan Tamboli, page 15 of the filed PDF · View the filing
Bottlenecks from operating capacity utilization above 90%
p. 6
“planning above 90% is not advisable because you'll have many, many bottlenecks when the utilization goes above 90%.”
Chetan Tamboli, page 6 of the filed PDF · View the filing
General cost pressure amid geopolitical issues
p. 16
“However, there will be some cost pressure here and there.”
Chetan Tamboli, page 16 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.