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Surya Roshni LtdQ1 FY27 earnings call

· All quarters

Summary generated by AI from the official transcript Surya Roshni Ltd filed with BSE on 18 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

Surya Roshni reported Q1 FY27 consolidated revenue of INR2,046 crore, up 28% year-on-year, with EBITDA of INR120 crore and PAT of INR60 crore, up 77% year-on-year. The Lighting & Consumer Durables segment grew 15% year-on-year while Steel Pipes & Strips revenue grew 32% with volume up 21% to 2.28 lakh tons, achieving its highest-ever Q1 sales. Management attributed a shortfall in steel EBITDA per ton to elevated ocean freight costs on older export orders and said the impact would ease in coming quarters as new orders are booked at revised freight rates.

Numbers mentioned

Consolidated revenue: INR2,046 crore (Q1 FY27)

p. 3
In Q1 FY27, our consolidated revenues stood at INR 2,046 crore, up by 28% year-on-year.

Raju Bista, page 3 of the filed PDF · View the filing

EBITDA: INR120 crore (Q1 FY27)

p. 3
EBITDA for the quarter stood at INR120 crore.

Raju Bista, page 3 of the filed PDF · View the filing

PAT: INR60 crore (Q1 FY27)

p. 3
PAT for the quarter stood at INR60 crore, up by 77% year-on-year.

Raju Bista, page 3 of the filed PDF · View the filing

Net cash surplus: INR155 crore (as of June 30, 2026)

p. 3
We remain a zero-debt company with a net cash surplus of about INR155 crore as of June 30, 2026.

Raju Bista, page 3 of the filed PDF · View the filing

Lighting & Consumer Durables revenue: INR456 crore (Q1 FY27)

p. 3
The Lighting & Consumer Durable segment delivered its strongest ever first quarter with revenues of INR456 crore, at a growth of 15% year-on-year.

Raju Bista, page 3 of the filed PDF · View the filing

Lighting EBITDA margin: 7.9% (Q1 FY27)

p. 3
EBITDA for the quarter stood at INR36 crore, which is up by 17% year-on-year, with margins improving to 7.9% in Q1 FY27, even as we pass on an input cost increase of approximately about 7% during the quarter with minimal impact on profitability.

Raju Bista, page 3 of the filed PDF · View the filing

Professional lighting order book: INR150 crore

p. 3
Professional lighting ended the quarter with an order book of approximately INR150 crore, providing healthy near-term execution visibility.

Raju Bista, page 3 of the filed PDF · View the filing

Wire & Cables electrician loyalty program enrollments: 36,000

p. 3
supported by our Direct Benefit Transfer Electrician Loyalty Program, where enrollments have gone up to 36,000 as of today.

Raju Bista, page 3 of the filed PDF · View the filing

Steel Pipes & Strips revenue: INR1,590 crore (Q1 FY27)

p. 4
Revenues for the quarter stood at INR1,590 crore, which is up by 32% year-on-year, with volume growth of around 21% year-on-year to 2.28 lakh tons, achieving its ever highest sales in Quarter 1.

Raju Bista, page 4 of the filed PDF · View the filing

Steel EBITDA: INR84 crore (Q1 FY27)

p. 4
EBITDA for the quarter stood at about INR84 crore, up 63% year-on-year, with EBITDA per ton to INR4,006 against INR2,922 in Q1 of FY26.

Raju Bista, page 4 of the filed PDF · View the filing

Capacity utilization (Steel): approximately 82% (Q1 FY27)

p. 4
The capacity utilization stood at approximately 82%.

Raju Bista, page 4 of the filed PDF · View the filing

Value-added products share of volume: 47% (Q1 FY27)

p. 4
Value-added products contribute 47% of overall volume, and export accounted for 20% of segment volumes.

Raju Bista, page 4 of the filed PDF · View the filing

Order book (trade, export, API, spiral): INR800 crore

p. 4
Our order book across trade, export, API, and spiral pipe stood at INR800 crore, including 78,000 tons of export API orders for the US market.

Raju Bista, page 4 of the filed PDF · View the filing

Net working capital cycle: 72 days (Q1 FY27)

p. 5
In Q1 FY27, our net working capital cycle was 72 days, with a return on capital employed of 12.69% and a return on equity of 8.95%.

B. B. Singal, page 5 of the filed PDF · View the filing

API/spiral pipe EBITDA per ton: INR3,420 per ton (Q1 FY27)

p. 10
So, it was INR3,420 per ton.

Raju Bista, page 10 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.

Lighting value growth — 22% to 23% value growth and about 25% volume growth · FY27

stated firmly by Raju Bista

p. 4
We remain fully on track to deliver our FY27 guidance of about 22% to 23% value growth and about 25% of volume growth in lighting.

Raju Bista, page 4 of the filed PDF · View the filing

Steel capacity — about 16 lakh ton in FY27 and approximately 2 million ton by FY28-29 · FY27 / FY28-29

stated firmly by Raju Bista

p. 4
we will continue to add 2 lakh to 3 lakh ton of capacity every year, targeting overall capacity of about 16 lakh ton in FY27 and approximately 2 million ton of capacity by FY '28-'29.

Raju Bista, page 4 of the filed PDF · View the filing

Steel EBITDA per ton — INR4,600 to INR4,700 per ton · FY27

stated firmly by Raju Bista

p. 4
And we are fully committed that full year of FY27 guidance of INR4,600 to INR4,700 per ton EBITDA will be achieved.

Raju Bista, page 4 of the filed PDF · View the filing

Company-wide EBITDA — INR670-680 crore · FY27

stated firmly by Raju Bista

p. 11
So, we are expecting around INR 150 crore in Q2. And our target is INR 400 crore for the rest H2. So, EBITDA will almost around 670-680 crore for the whole year.

Raju Bista, page 11 of the filed PDF · View the filing

Company-wide revenue — INR9,400-9,500 crore · FY27

stated firmly by Raju Bista

p. 11
And the revenue turnover will be around 9,400-9,500 crore.

Raju Bista, page 11 of the filed PDF · View the filing

Steel volume — 11 lakh tons · FY27

stated firmly by Raju Bista

p. 7
So, we don't see any such issues in achieving 11 lakhs tons sales volume and utilization is also running at almost 82% plus across all five factories.

Raju Bista, page 7 of the filed PDF · View the filing

Q2 steel volume — 2.6 to 2.65 lakh tons · Q2 FY27

stated firmly by Raju Bista

p. 12
2.6 to 2.65 lakh tons, yes.

Raju Bista, page 12 of the filed PDF · View the filing

Export contribution to steel segment — about 25% · FY27

stated as an aspiration by Raju Bista

p. 8
So gradually it will go up to like about 25% of total steel segment.

Raju Bista, page 8 of the filed PDF · View the filing

API/spiral pipe EBITDA per ton — INR5,000 · FY27

stated conditionally by Raju Bista

p. 10
So, this will gradually improve because now fresh orders are coming, so I feel compared to last year's INR5,500–INR5,700 per ton, I feel we will take it up to INR5,000.

Raju Bista, page 10 of the filed PDF · View the filing

Lighting division revenue — INR2,200 crore · FY27

stated firmly by Raju Bista

p. 15
in lighting, throughout the year, INR2,200 crore turnover, as I mentioned in earlier con-call as well, on that we have maintained our numbers, and 20% to 22% growth will be there.

Raju Bista, page 15 of the filed PDF · View the filing

Lighting division EBITDA — INR200 crore · FY27

stated firmly by Raju Bista

p. 15
and around INR200 crore EBITDA we will do in lighting division.

Raju Bista, page 15 of the filed PDF · View the filing

South capacity expansion (Hindupur) — first mill commissioning · January 2027

stated firmly by Raju Bista

p. 11
It will be a total 4-mill plant, and involves an investment of around INR60 crore is being made.

Raju Bista, page 11 of the filed PDF · View the filing

5-year steel growth CAGR — 15% to 18% CAGR · next 5 years

stated as an aspiration by Raju Bista

p. 14
in the next 5 years, 15% to 18% CAGR we will have to maintain because cost will also push quite a bit, so to keep that in control as well, so we are already working on that roadmap..

Raju Bista, page 14 of the filed PDF · View the filing

Manpower cost per ton reduction — 20% reduction · next one year

stated firmly by Raju Bista

p. 14
See, our one main thrust where we get impact, that comes on our manpower per ton cost, we are working on that, and our cost, almost 20% we will reduce in the next one year, that is one.

Raju Bista, page 14 of the filed PDF · View the filing

US market steel export volume — 1,20,000 to 1,25,000 tons · FY27

stated firmly by Raju Bista

p. 9
So, overall, as far as the US market is concerned, we'll be doing like, I mean, 1,20,000 tons to 1,25,000 tons of business during this entire FY27.

Raju Bista, page 9 of the filed PDF · View the filing

Buyback decision

stated conditionally by Raju Bista

p. 8
No, work is going on regarding that. Hopefully, very soon, we will make some decision on that.

Raju Bista, page 8 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 explained ocean freight and input cost increases caused an approximate INR700-800 per ton hit in Q1, which would ease as new orders are booked at higher freight-inclusive prices, and reaffirmed the full-year EBITDA per ton guidance.

Answered by Raju Bista

Asked by Viraj Mehta: Why is EBITDA per ton at INR4,000 in Q1 when full-year guidance requires above INR5,000 in remaining quarters?

p. 5
First, because of ocean freight, there was an impact of nearly INR3,800 per ton in this quarter.

Raju Bista, page 5 of the filed PDF · View the filing

Management said the fall reflects clearing of old orders and impacts from lower Middle East volumes and API order de-growth, not a deterioration in the underlying, largely fixed distribution business.

Answered by Raju Bista

Asked by Kiran: Why did the order book fall from INR1,000 crore to INR800 crore despite export growth?

p. 7
And API orders are not in the flow they should be; there is also almost a 50% de-growth in that.

Raju Bista, page 7 of the filed PDF · View the filing

Management clarified the US exports are ERW API pipe, a new product line, with reasonable EBITDA per ton expected to improve further with break-bulk shipping arrangements.

Answered by Raju Bista

Asked by Kiran: Is the US export volume mainly GI pipe or API/spiral pipe?

p. 7
So, what is mainly going to the US market is API ERW pipe, not spiral.

Raju Bista, page 7 of the filed PDF · View the filing

Management said work continues and a decision would be announced soon, citing resolved double-taxation issues and elevated working capital as factors.

Answered by Raju Bista

Asked by Love Gupta: Is there an update on the potential buyback under new rules?

p. 8
But as such, I don't have any material today to disclose but our team is working on it.

Raju Bista, page 8 of the filed PDF · View the filing

Management said the freight impact from old order bookings would not recur in coming quarters since new orders already factor in updated freight rates.

Answered by Raju Bista

Asked by Pranav: Will the freight-driven EBITDA per ton erosion normalize going forward?

p. 9
So, as for the impact of INR3,800 per ton on total export volume -- different countries have different tariffs, so its impact will not come in the coming quarters.

Raju Bista, page 9 of the filed PDF · View the filing

Management attributed the drop to product mix shifts between higher-margin API spiral and lower-margin water pipe, and coating material cost impact, with expected gradual improvement.

Answered by Raju Bista

Asked by Shantanu Basu: Why did API and spiral pipe EBITDA per ton drop sharply versus prior years, and what is the outlook?

p. 10
So because of that product mix, its impact comes in this.

Raju Bista, page 10 of the filed PDF · View the filing

Management said the next expansion is in the South at Hindupur, adding roughly 3 lakh tons via a new 4-mill plant with first mill commissioning in January 2027.

Answered by Raju Bista

Asked by Resham Jain: Where will incremental steel capacity expansion occur?

p. 11
Our next capacity expansion is being done in South.

Raju Bista, page 11 of the filed PDF · View the filing

Management pointed to a low base from prior-year ERP/SAP disruption, ongoing capacity expansion benefits still to materialize, and cited comparative growth rates versus named peers.

Answered by Raju Bista

Asked by Raj Mehta: Why has sales and EPS growth appeared stagnant over 4 years while competitors gain margin and share?

p. 13
And as for peers the company you named, they have 8% growth. If I talk about Jindal SAW, 13%, Ratnamani minus 16%.

Raju Bista, page 13 of the filed PDF · View the filing

Management said about INR100 crore investment, funded through internal accruals, and reiterated lighting revenue/EBITDA and total company revenue/EBITDA targets for FY27.

Answered by Raju Bista

Asked by Saket Kapoor: What capex is required for the pipe capacity expansion from 14 to 16 lakh tons, and what is the lighting/steel EBITDA mix?

p. 15
Regarding capacity, around INR100 crore investment is there in that, and we are doing it from internal accruals.

Raju Bista, page 15 of the filed PDF · View the filing

Risks flagged

Elevated ocean freight rates on export orders reduced EBITDA per ton in the quarter

p. 5
First, because of ocean freight, there was an impact of nearly INR3,800 per ton in this quarter.

Raju Bista, page 5 of the filed PDF · View the filing

Vessel unavailability delayed material shipment, causing volume shortfall

p. 5
Firstly, due to the unavailability of some of our vessels, material worth around 7,000 tons was lying at the port.

Raju Bista, page 5 of the filed PDF · View the filing

Lower Middle East orders due to regional extended situation

p. 5
Secondly, because of whatever extended situation is going on in the Middle East, orders from the Middle East side were slightly lower by 8,000 to 10,000 tons.

Raju Bista, page 5 of the filed PDF · View the filing

Shortfall in API spiral orders expected in Q1

p. 5
And in API spiral there was a shortfall of around 8,000 to 10,000 tons, which was expected in Q1.

Raju Bista, page 5 of the filed PDF · View the filing

Increase in input costs including coating material, gas and ORM

p. 6
Similarly, there has been an increase in some input costs, mainly in coating material, gas and ORM, which also had an impact of around INR200 per ton.

Raju Bista, page 6 of the filed PDF · View the filing

Galvanized pipes segment remains soft due to delayed government fund releases

p. 4
galvanized pipes remain soft due to continued delay in government fund releases.

Raju Bista, page 4 of the filed PDF · View the filing

Uncertain and unpredictable geopolitical situation in the Middle East affecting freight and orders

p. 10
Neither it is in our country India’s hands nor whatever is going on there is in anyone's control.

Raju Bista, page 10 of the filed PDF · View the filing

Steel price fluctuation is outside company control

p. 14
And even having sold pipe for 50 years -- in 50 years, it has gone on like this.

Raju Bista, page 14 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.