SBC Exports Ltd has started FY27 on a strong note with a strong start to the year and is looking at investors as revenue and profit increased significantly in the June quarter.
The textile and garment-based firm recorded a 269.23% year-on-year increase in PAT in Q1 FY27 to ₹9.60 crore.
The company’s performance has put SBC Exports on the radar of market watchers, especially since profitability grew much faster than revenue.
But investors need to keep in mind that 269% is profit growth, not a 269% rise in share price.
Revenue climbs 67%
In the quarter ending June 30, 2026, SBC Exports reported a total revenue of ₹121.08 crore, which was a 67.11% increase from the previous year.
This is because its garments business, IT support services and travel business are now expanding.
The improvement was also visible at the operating level. Consolidated EBITDA rose year-on-year by 192.21% to around ₹16.89 crore, and EBITDA margin increased from 8.02% to 13.64%.
This shows that it was able to improve operating profit while still having higher sales.
Profit growth stands out
The biggest highlight of the quarter was the sharp rise in net profit. Consolidated PAT rose from the previous year's level to ₹9.60 crore, which was a 269.23% year-on-year increase.
The margin on PAT also rose from 3.60% to 7.93%.
There were also strong numbers on a standalone basis. Revenue rose by 72.80% to ₹106.03 crorein Q1, while PAT increased by 270.87% to ₹9.42 crore. EBITDA rose 221.44% and margin increased to 15.45%.
Management targets 40–50% growth
The strong first quarter has led the company to set a very ambitious target for FY27. Management is targeting a growth of about 40-50% in overall business, subject to market conditions and execution.
SBC Exports is still an export growth driver. The Middle East is also a key part of the company’s growth strategy and shipping connection through Dubai is also a good way to get its shipping links opened.
New apparel products and product development to get customers to buy from them could also aid in its expansion.
What investors should watch
While Q1 numbers are encouraging, sustaining such a rapid pace of profit growth will be the key challenge.
Investors may be interested in export orders, revenue growth, margins and how well the company will be able to hit its 40–50% FY27 growth target.
SBC Exports has also cancelled a previously proposed preferential issue involving 2.75 crore shares worth ₹99.06 crore, removing the immediate prospect of that particular equity dilution.
The Q1 numbers for SBC Exports are very strong earnings-growth performances and overall show a solid earnings-growth story.
The strong earnings growth, improving margins and expansion plans make the stock worth the money to invest in, but valuation, business risk, and future quarterly performance should be taken into account in the decision of whether investors should buy into the stock.
Note: This article is for informational purposes only and does not constitute investment advice.
Investors should conduct their own research or consult a qualified financial adviser before taking any investment decision.
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