Sejal Glass Limited reported a robust start to FY27, with consolidated revenue rising 52.88% year-on-year to ₹117.95 crore in the quarter ended June 30, 2026. Profit after tax (PAT) surged 63% to ₹7.22 crore, driven by strong execution in both its India and UAE operations. The company also raised its full-year revenue growth guidance, citing a healthy order pipeline and improving capacity utilization across its manufacturing facilities.

The performance was underpinned by significant growth in both geographies. India revenue increased 67.03% to ₹36.43 crore, while UAE operations contributed ₹81.52 crore, up 47.31% year-on-year. Consolidated EBITDA grew over 44% to ₹18 crore. Management attributed the margin pressure in the quarter to one-time factors, including annual performance appraisals and a new labor union agreement at the Taloja plant, which added approximately ₹1 crore to personnel costs. Additionally, geopolitical tensions in the Middle East temporarily disrupted logistics in June, impacting costs.

Order Book and Growth Guidance

The company’s order book has strengthened considerably. In the UAE, the order book expanded from AED50 million to AED72 million, reflecting an incremental inflow of AED22–27 million. Execution on these projects began in June and July, providing visibility for the next two quarters. In India, Sejal Glass secured orders exceeding ₹50 crore from major developers including Godrej, L&T, Prestige, and Raheja, with execution planned over the next six months.

Promoter Amrut Gada stated that the initial FY27 revenue growth guidance of around 25% is now a minimum target, with potential upside to 40% if geopolitical situations stabilize and order inflows continue. CFO Chandresh Rambhia clarified that while 25% is the conservative baseline, the company aims for 9–10% PAT margin for the full year, up from the current quarter’s lower base.

Capacity Utilization and Capex

Capacity utilization varies across plants, with the Silvassa unit at 77%, Taloja at 55%, Erode at 15%, and the UAE plant at 71%. Management expects Silvassa and UAE utilization to reach 85–90% by year-end, while Taloja and Erode are targeted to improve to 75% and 25–30%, respectively. Higher volumes are expected to absorb fixed costs, particularly power and manpower, driving EBITDA margins up by approximately 1% in coming quarters.

In the UAE, the company is investing AED15 million in capital expenditure to install a third tempering line and fire-rated glass technology. This capex is funded through internal accruals and a proposed long-term debt facility of AED7 million. The new line is expected to commence commercial production in Q3FY27, increasing total annual tempering capacity to 24 lakh square meters.

Financial Position and Outlook

Sejal Glass maintains a conservative balance sheet. Total debt in India stands at ₹52 crore, comprising ₹38 crore in term loans and ₹14 crore in working capital debt. The company has minimal cash reserves due to active working capital limits. India’s profit remains tax-free due to carry-forward losses, which can be utilized for the next four to five years, resulting in a blended effective tax rate of less than 9% driven by the UAE’s 9% corporate tax.

Looking ahead, management emphasized a strategic shift towards geographical diversification. While UAE contributed 75% of revenue last year, this share is expected to drop to 60% in FY27 and further to 50% in FY28 as India operations scale. The company is also exploring entry into the automotive replacement market and industrial products, targeting these new verticals to contribute 10% of total revenue next year. Railway glass currently contributes less than 1% but is growing through aggressive tender participation.

What the Numbers Show

The divergence between top-line growth and margin expansion highlights the company’s current phase of capacity ramp-up. While revenue surged by nearly 53%, margins were compressed by one-time cost increments and sub-optimal utilization in newer Indian plants (Erode at 15%). However, the significant order book visibility—₹50 crore in India and AED72 million in UAE—suggests that operating leverage will kick in during H2FY27. The strategic focus on reducing reliance on the UAE market, aiming for a 50-50 revenue split by FY28, mitigates geopolitical risk while leveraging domestic infrastructure growth.

Sejal Glass Limited reported a consolidated net profit of ₹721.60 lakh for the quarter ended June 30, 2026 (Q1FY27), marking a 63.4% increase from ₹441.63 lakh in the corresponding period of the previous year. The company’s consolidated revenue from operations surged to ₹1,179.49 crore, up from ₹771.48 crore in Q1FY26, driven by robust demand across domestic and international markets. This strong performance reflects improved operational efficiencies and the expanded revenue base following the acquisition of the Glasstech business via a Business Transfer Agreement dated April 1, 2025. The Board of Directors approved the unaudited standalone and consolidated financial results on July 31, 2026.

Q1FY27 Financial Performance

The top-line growth was supported by a significant rise in net sales, which reached ₹1,179.49 crore on a consolidated basis, compared to ₹771.48 crore in Q1FY26. Standalone net sales also grew sharply to ₹364.31 crore from ₹218.10 crore in the prior year period. Earnings per share (EPS) on a consolidated basis stood at ₹6.27 for the quarter, up from ₹4.33 in Q1FY26. Standalone net profit for the quarter was ₹40.48 lakh, compared to ₹13.10 lakh in Q1FY26. The company did not incur any tax expense in the standalone books due to the carry forward of unabsorbed depreciation and losses.

Segment and Geographical Insights

Sejal Glass operates primarily in the Architectural Glass Manufacturing Business. Geographically, the company saw substantial growth in both India and outside India segments. Consolidated revenue from outside India jumped to ₹835.88 crore in Q1FY27 from ₹556.09 crore in Q1FY26, reflecting stronger export performance. Domestic revenue rose to ₹343.61 crore from ₹215.39 crore in the same period. The current quarter’s results are not directly comparable to the previous year due to the acquisition of the Glasstech business, which has contributed to the expanded revenue base and operational scale.

Auditor Review and Compliance

The statutory auditors, Gokhale & Sathe Chartered Accountants, conducted a limited review of the quarterly unaudited financial results pursuant to Regulation 33 and 52 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The auditors issued an unqualified review opinion, stating that nothing came to their attention to suggest the statements were materially misstated.

In compliance with Regulation 30 read with Schedule III Part A and Regulation 47 of the SEBI (LODR) Regulations, 2015, Sejal Glass published the unaudited financial results along with the limited review report in 'The Free Press Journal' (English edition) and 'Navshakti' (Marathi edition) dated August 02, 2026. The company also uploaded the information on its official website.

The consolidated results include the financials of one foreign subsidiary, Sejal Glass & Glass Manufacturing Products LLC, and one associate, Sejal Glass Ventures LLP. The subsidiary reported total revenues of ₹815.18 lakh and a net profit after tax of ₹74.50 lakh for the quarter. The associate recorded a group share of loss of ₹36.59 lakh. Notably, Sejal Glass Ventures LLP changed its accounting policy from mercantile (accrual) basis to cash basis effective April 1, 2025, to reflect financial performance more prudently. Had the associate used the cash accounting method for Q1FY26, the share of profit would have been higher by ₹61.05 lakh. However, the consolidated financial statements continue to be prepared on an accrual basis in accordance with Group policies.