Everest Kanto Cylinder Limited (EKC) has reported consolidated financial results for the first quarter of FY27. The company’s consolidated revenue stood at ₹346 crore, marking a 11% decline compared to the same period last year. The profit before tax (PBT) also fell by 24% to ₹47 crore, while the net profit after tax (PAT) dropped significantly by 42% to ₹30 crore.

Financial Breakdown

The EBITDA for the quarter was ₹47 crore, down from ₹61 crore in Q1 FY26. The EBITDA margin reduced to 14% from 16% in the previous year. The PBT margin also decreased to 11% from 14%. The PAT margin slipped to 9% from 13% in the same quarter of FY26.

Sector Performance

Despite the overall decline, the demand fundamentals for compressed natural gas (CNG) and industrial gas applications remained healthy. However, temporary operating constraints and supply-side issues impacted the performance during the quarter. The company’s focus on higher-value applications like semiconductors, defence, and specialized industrial gases continues to drive its growth strategy.

Global Operations

The company’s international operations faced subdued performance. However, the order book remains healthy, providing medium-term business visibility. The ramp-up of new capacity in Mundra is expected to support domestic demand. The global portfolio optimization, including the divestment in Hungary, is sharpening the focus on core markets. The expansion in Egypt with a new manufacturing platform aims to strengthen regional market access.

As stated by Pushkar Khurana, Chairman & Puneet Khurana, Managing Director, ‘We commenced FY2027 with healthy underlying demand across our India operations, particularly in CNG and industrial gas applications, although performance during the quarter was impacted by certain temporary supply-side and operating constraints. Despite these near-term headwinds, we continue to see healthy medium-term opportunities across our key geographies and specialized applications.’ With gas expected to remain an important part of India’s mobility and energy mix, and with a broader addressable market emerging globally for high-pressure storage solutions, EKC remains well positioned to pursue sustainable long-term growth.

Source: NSE Corporate Announcement

Fundamental & Technical Analysis of Everest Kanto Cylinder Limited

Everest Kanto Cylinder Limited belongs to the Industrials › Specialty Industrial Machinery sector. Here’s a quick read on where the business and the stock stand today.

Everest moves sideways over three months, with neither buyers nor sellers taking control. The PEG of 0.33 is extremely low. Either the market misses the growth story, or there is a catch worth investigating. Revenue grows at 5.3% and profits at 24.5% CAGR. The numbers are respectable but unlikely to re-rate the stock. The stock holds at 31% of its 52-week range with RSI at 47. In other words, neither side has a clear edge right now. Revenue grows at 5.3% CAGR — a respectable pace. However, the stock drops 3.7% in three months without an obvious fundamental trigger. Sector-wide pressure or a valuation re-rating can persist for longer than expected. Therefore, there is no rush to step in. Check Fundamentals of Everest Kanto Cylinder Limited.