Basilic Fly's revenue jumps 34% as margin dip signals investment phase
Revenue jumped 34% to ₹408 cr but EBITDA margin fell 260 bps to 20.9%. Management guides for 2-2.5% margin recovery in FY27 via offshoring and AI.
— 1 earlier story on Basilic Fly Studio Ltd. →What's new
- Consolidated revenue ₹408 cr, up 34% YoY
- EBITDA margin at 20.9%, down 260 bps from prior year
- Order book ₹232 cr, bid pipeline ₹456 cr for FY27 visibility
Why this matters
Basilic Fly is trading short-term profit for capacity: 14 senior hires and One of Us integration pressed margins. The ₹232 cr order book and ₹456 cr pipeline give cover, if the guided margin recovery materialises. The bet is that offshoring, AI, and Bengaluru scaling deliver the 2-2.5 ppt improvement.
What we're watching
- Margin trajectory in H1 FY27
- Receivables normalization targeted Sep-Dec 2026
- One of Us integration's impact on direct premium studio deals
The full read
Revenue up 34% to ₹408 crore. That is the headline. Underneath it, EBITDA margin slipped to 20.9%, down 260 bps, as Basilic Fly invested in senior hires and assimilated the One of Us acquisition. Management calls it strategic: the 14 senior creatives and project rescheduling compressed near-term profit, but the ₹232 crore order book and ₹456 crore bid pipeline provide a cushion. The guided 2-2.5 ppt margin recovery in FY27 hinges on offshoring, AI efficiency, and Bengaluru scaling. Receivables normalisation, targeted for September-December, will test working capital discipline. The payoff, if it comes, will justify the pain.
Questions answered
- Why did EBITDA margin contract despite strong revenue growth?
- The company attributed the margin dip to the strategic onboarding of 14 senior creative leaders and project rescheduling. These are one-time investments aimed at building capacity for higher-margin work.
- What is the outlook for margins in FY27?
- Management guided for a 2-2.5 percentage point improvement in EBITDA margin, driven by offshoring, AI efficiency, and Bengaluru scaling.
- How much revenue visibility does the company have for FY27?
- An order book of ₹232 crore and a bid pipeline of ₹456 crore provide strong visibility for FY27 revenue.
- What is the status of the One of Us acquisition?
- One of Us has been integrated and has transformed Basilic Fly's model to direct premium production for major studios. The full benefit is expected to flow through in FY27.
- When does the company expect to normalize its receivables?
- Receivables normalization is targeted for the September-December 2026 period, which should improve cash flow.
Basilic Fly Studio Ltd.
Latest quarter · Mar 2026
Strength & growth
Story so far
All notes on BASILIC →- 2 Jul 2026 · 6:03 PM IST Basilic Fly's revenue jumps 34% as margin dip signals investment phase
- 34d ago Basilic Fly's growth is costing it profit for now