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Gokaldas Exports (Gokex) Q1FY27 reported healthy growth of 20.7% YoY

ICICIdirect Research 12 Aug 2026 DISCLAIMER

News: Gokaldas Exports (Gokex) Q1FY27 reported healthy growth of 20.7% YoY in consolidated revenues to Rs.1153.5cr led by strong performance in Africa which reported 45% YoY growth while lower tariffs led to 16% YoY growth in the India business. Better volumes and realisation aided good growth across both geographies. Gross margins declined by 132bps YoY to 52.4% in Q1FY27. EBITDA margins declined 82bps YoY to 9.3%. EBITDA margins were impacted due to wage hike revisions and other costs. Standalone business margins stood improved by 210bps YoY to 11.9% while subsidiaries (Africa business and Matrix) margins declined 630bps YoY to 4.9% (as per our calculations) during the quarter. Consolidated EBITDA grew by 11% YoY to Rs.107.2cr. Higher depreciation (addition of capacity in India and Africa) coupled with higher forex losses and interest cost impacted the PAT. Adjusted PAT grew by just 6.8% YoY to Rs.44.3cr in Q1FY27.

View: Gokaldas Exports reported good operating performance in the India standalone business, with margin expansion largely driven by lower tariffs vs last year. Wage hike revisions in Haryana would have impacted subsidiary margins, particularly Matrix (subsidiary), which has a facility in the state. Ramp-up costs at the Karnataka and Madhya Pradesh facilities would have further dragged consolidated margins in Q1FY27. Africa business continued to grow in line with the company’s guidance of 50% YoY growth in FY27, led by higher volumes post AGOA renewal, providing a good start to the year. Margin expansion in the standalone business is encouraging and supports a healthy recovery outlook post tariff removal, with a move towards the guided 13-13.5% margin trajectory. Further margin improvement in subsidiaries and sustained Africa performance should aid consolidated margin recovery. Improved sourcing from India following UK FTA implementation in FY27 and EU FTA implementation in FY28 is also expected to drive incremental revenue growth and margin expansion ahead.

Impact: Neutral

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