Author: Nishtha Mehrotra | EQMint

Synopsis:

• Bhatia Communications reported a 60.1% increase in H1 FY27 revenue to ₹393.72 crore.
• Half-year net profit rose 95.9% to ₹14.32 crore, while Q2 profit more than doubled year-on-year.
• Higher inventory and short-term borrowings weighed on cash flow, with operations recording an outflow of ₹18.41 crore.
  
  

Bhatia Communications & Retail (India) Limited (BSE: 540956) reported strong revenue and profit growth for the quarter and half year ended September 30, 2026.

Revenue from operations increased 51.7% year-on-year to ₹203.72 crore in Q2 FY27. Net profit more than doubled to ₹7.51 crore from ₹3.73 crore in the corresponding quarter last year.

For H1 FY27, revenue grew 60.1% to ₹393.72 crore, compared with ₹245.88 crore a year earlier. Net profit climbed 95.9% to ₹14.32 crore from ₹7.31 crore, while profit before tax nearly doubled to ₹18.95 crore.

Inventory and borrowings increase

The growth was accompanied by higher working capital requirements. Inventory increased to ₹148.02 crore as of September 30, 2026, from ₹96.28 crore at the end of March.

Current borrowings also rose sharply to ₹36.73 crore from ₹1.92 crore. Total borrowings, including non-current debt, stood at approximately ₹37.80 crore.

The company reported an operating cash outflow of ₹18.41 crore during the half year, compared with ₹5.87 crore in H1 FY26. Working capital absorbed ₹34.41 crore, largely due to the inventory build-up.

The next key monitorables will be inventory conversion, repayment of short-term borrowings and the company’s ability to sustain profit growth while improving cash generation.

Disclaimer: This article is for information purposes only and is not investment advice.

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