Bhatia Communications & Retail Q2 FY27 results: net profit up 101.3% to ₹7.51 crore, revenue up 51.6%

How did Bhatia Communications & Retail perform in Q2 FY27?

Bhatia Communications & Retail (India) Ltd reported standalone revenue of ₹203.72 crore in Q2 FY27, up 51.6% from ₹134.34 crore in Q2 FY26 and 7.2% from ₹190 crore in Q1 FY27. Total income was ₹204.29 crore, compared with ₹190.68 crore in the previous quarter. The result was approved by the board on 2 November 2026 and reviewed by the statutory auditors.

EBITDA was ₹11.60 crore, up 107.1% from ₹5.60 crore in Q2 FY26 and 14.4% from ₹10.14 crore in Q1 FY27. EBITDA margin was 5.7%, up 1.5 percentage points year on year and 0.4 percentage points sequentially. Profit before tax was ₹9.85 crore and net profit was ₹7.51 crore, up 101.3% from ₹3.73 crore a year earlier and 10.1% from ₹6.82 crore in Q1 FY27.

Basic EPS was ₹0.53 in Q2 FY27, compared with ₹0.29 in Q2 FY26 and ₹0.48 in Q1 FY27. The figures were standalone; the company reported a single operating segment and said it had no holding, subsidiary, joint venture or associate concern.

What changed in Bhatia Communications & Retail's costs and profit?

Total expenses rose to ₹194.44 crore from ₹130.25 crore in Q2 FY26, an increase of ₹64.19 crore. Employee cost was ₹2.89 crore, up ₹0.74 crore or 34.4%, finance costs were ₹0.89 crore, up ₹0.04 crore or 4.7%, and depreciation was ₹1.43 crore, up ₹0.77 crore or 116.7%. Other expenses increased by ₹5.72 crore to ₹11.69 crore. There was no exceptional item.

Other income declined to ₹0.57 crore from ₹0.65 crore in Q2 FY26, a fall of ₹0.08 crore or 12.3%. Profit before tax rose to ₹9.85 crore from ₹4.73 crore, while tax expense increased by ₹1.33 crore to ₹2.34 crore. Net profit consequently rose by ₹3.78 crore to ₹7.51 crore. The filing did not state a specific reason for the year-on-year movements in these cost lines.

How did the first half of FY27 go?

In the first half of FY27, standalone revenue was ₹393.72 crore, up 60.1% from ₹245.88 crore in H1 FY26. Total income was ₹394.97 crore, compared with ₹247.18 crore. Profit before tax rose to ₹18.95 crore from ₹9.51 crore, while net profit increased to ₹14.32 crore from ₹7.31 crore.

H1 FY27 basic EPS was ₹1.02, compared with ₹0.56 in H1 FY26. The statutory auditors conducted a limited review of the unaudited standalone results and stated that nothing had come to their attention indicating that the required information had not been disclosed or that the results contained any material misstatement.

What do the balance sheet and cash flow show?

Total assets were ₹275.43 crore on 30 September 2026, compared with ₹198.53 crore on 31 March 2026. Total equity was ₹146.71 crore against ₹132.59 crore, and cash was ₹16.75 crore against ₹8.63 crore. Borrowings were ₹43.99 crore compared with ₹10.11 crore on the previous balance sheet date.

Inventories rose to ₹148.02 crore from ₹96.28 crore, trade receivables were ₹11.49 crore against ₹8.31 crore, and trade payables were ₹19.51 crore against ₹16.42 crore. H1 FY27 operating cash flow was negative ₹18.41 crore, compared with negative ₹5.87 crore in H1 FY26. Investing cash flow was negative ₹6.18 crore, financing cash flow was ₹32.70 crore, and capital expenditure was ₹5.42 crore.

How has Bhatia Communications & Retail done over the last 8 quarters?

Revenue reached a quarterly high of ₹203.72 crore in Q2 FY27, above ₹190 crore in Q1 FY27, while net profit also reached a quarterly high of ₹7.51 crore. EBITDA margin increased to 5.7% from 5.3% in Q1 FY27. The direction was higher in the latest quarter across revenue, profit and margin.

Across the reported series, revenue was lowest at ₹103.77 crore in Q4 FY25 and net profit was lowest at ₹2.93 crore in that quarter. EBITDA margin bottomed at 3.5% in Q4 FY26, before rising to 5.3% in Q1 FY27 and 5.7% in Q2 FY27. Revenue rose year on year in each of the last 8 quarters, while profit rose year on year in each of the last 5 quarters.

What else did the company announce?

The board approved the standalone unaudited financial results and the related limited review report for the quarter and half year ended on 30 September 2026. The results were reviewed by the Audit Committee and subjected to a limited review by the statutory auditors. The filing also reported no investor complaints at the beginning of the quarter, none received during the quarter, none disposed of and none remaining unresolved.

On 2 November 2026, the board declared a second interim dividend of Re. 0.01 (1%) per equity share of face value ₹1 for FY 2026-27, payable within the stipulated time. The record date for determining eligible shareholders was fixed as Friday, 13 November 2026. No fund raise or appointment was disclosed in the same-day filings.

What did Bhatia Communications & Retail's management say?

Management said it planned to enter Chhattisgarh and Haryana in H2 FY27, with launch processes already underway. It also said its focus was on scaling the network while accelerating store-level profitability. For the longer term, the presentation set out the objective of building a pan-India retail footprint by FY29.

Management said the company had added 90 stores in 90 days during H1 FY27, taking the network to 428 stores as of 30 September 2026. It reported H1 same-store sales growth of 32.1% and said mobile phones accounted for 98% of the H1 FY27 product mix. The presentation also identified negative operating cash flow, working-capital pressure, higher borrowings and concentration in Gujarat and mobiles as risks.

Management said average new-store economics included ₹8-10 lakh of capex, ₹33-35 lakh of working capital and a 12-13 month payback period. The presentation described a mobile-led, high-turnover retail model with direct OEM supply, store maturation and cluster-led expansion. No analyst questions or answers were included in the provided filing excerpts.

How did Bhatia Communications & Retail shares react?

The stock moved up after the filing appeared after market hours. From the price when the results became available, it was up 7.5% after 5 minutes, 6.6% after 15 minutes and 4.0% after 30 minutes. On the reaction day, it closed 4.8% above the previous close, against a median rise of 0.9% for the Speciality Retail industry, an excess move of 3.9 percentage points.

By the next day's close, the stock was up 3.3% from its pre-results close, while the industry median was unchanged. The stock had moved 1.2% on the reaction day for the 1 July 2026 results, 1.4% on 25 May 2026 and 6.8% on 13 February 2026. Earlier reaction-day moves included a fall of 0.2% on 13 November 2025 and a fall of 1.9% on 8 July 2025.

How did other Speciality Retail companies do?

Among 10 other Speciality Retail companies that had filed for the quarter, the median revenue growth was 13.4%. Nine peers grew more slowly than Bhatia Communications & Retail and one peer grew faster. Of the 8 peers for which profit was compared, 5 reported higher profit. The peer comparison was as of 4 November 2026.