Rishi Laser net profit falls 72% in Q1FY27 to ₹0.50 crore
Rishi Laser's Q1FY27 net profit fell 72% to ₹0.50 crore despite a 3% revenue increase to ₹42.26 crore. The margin contraction was driven by higher employee benefits and finance costs associated with the new Malur facility. The company also completed a capital raise via warrant conversion and scheduled its AGM for September 25, 2026.
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Rishi Laser reported a net profit of ₹0.50 crore for the quarter ended June 30, 2026, compared to ₹1.77 crore in the corresponding period of FY25. Revenue from operations increased by 3% to ₹42.26 crore from ₹41.03 crore in Q1FY26. The Board of Directors approved the unaudited standalone and consolidated financial results on August 13, 2026.
The company also announced that its 34th Annual General Meeting will be held on September 25, 2026, through video conferencing or other audio-visual means. The Board appointed M/s. Sudhanwa S Kalamkar & Associates as the scrutinizer for e-voting at the upcoming AGM.
Financial Performance
| Metric | Q1FY27 (Unaudited) | Q1FY26 (Unaudited) | Change |
|---|---|---|---|
| Revenue from Operations | ₹42.26 crore | ₹41.03 crore | +3% |
| Total Income | ₹42.44 crore | ₹41.43 crore | +2.44% |
| EBITDA | ₹2.93 crore | ₹3.99 crore | -26.56% |
| EBITDA Margin | 6.90% | 9.62% | -272 bps |
| Profit Before Tax | ₹0.61 crore | ₹2.65 crore | -76.81% |
| Net Profit After Tax | ₹0.50 crore | ₹1.77 crore | -72.00% |
Revenue growth was offset by a rise in total expenses, which climbed to ₹41.83 crore from ₹38.78 crore in the prior year quarter. Employee benefits expense increased significantly to ₹9.26 crore from ₹6.88 crore. Finance costs also rose to ₹1.04 crore compared to ₹0.69 crore in Q1FY26. Depreciation and amortisation expense more than doubled to ₹1.28 crore from ₹0.65 crore. Other income declined to ₹0.18 crore from ₹0.40 crore in the previous year.
Capital Raise and AGM Details
During the quarter, Rishi Laser allotted 8,00,000 equity shares upon conversion of warrants issued on a preferential basis at ₹150 each. Of these, 1,25,000 shares were allotted to promoters and 6,75,000 to non-promoters. The paid-up share capital has increased to ₹9,99,26,000, comprising 99,92,600 equity shares of ₹10 each. The proceeds were utilized for capital expansion and general corporate purposes.
The meeting commenced at 2:00 pm and concluded at 2:55 pm on August 13, 2026.
What the Numbers Show
While revenue grew modestly, the profit margin contracted sharply due to disproportionate increases in operating costs. Employee benefits and finance costs together accounted for a significant portion of the expense rise, suggesting pressure on operational efficiency during the quarter. Management attributed the margin moderation primarily to higher employee costs tied to manpower build-up at the newly commissioned Malur facility, as well as finance costs reflecting Ind-AS lease accounting for the facility land. This indicates that the decline in profitability is transitional, driven by ramp-up costs rather than a change in underlying demand.
Historical Stock Returns for Rishi Laser
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -0.42% | +8.48% | +10.51% | +38.54% | +4.14% | 0.0% |
How long is the management expecting the ramp-up period at the new Malur facility to last before EBITDA margins return to pre-expansion levels?
What specific revenue targets or capacity utilization rates has Rishi Laser set for the Malur facility to justify the current increase in employee and finance costs?
Will the company pursue further equity dilution or debt financing to support its capital expansion plans, or does it intend to fund future growth through internal accruals?
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