Chandra Prabhu International swings to profit on asset sales
The company posted a Q4 net profit of ₹598.60 lakhs, reversing a year-ago loss, aided by a ₹298.16 lakh gain from property and vehicle derecognition.
What's new
- Q4 net profit hit ₹598.60 lakhs, up from a ₹11.69 lakh loss in Q4 FY25.
- Quarterly revenue climbed to ₹16,427.06 lakhs from ₹8,885 lakhs in Q3.
- Full-year revenue dropped to ₹60,521.32 lakhs from ₹99,426.36 lakhs.
Why this matters
The quarterly turnaround is sharp, but it relies heavily on non-recurring asset sales. Investors should look past the headline profit to see if the core business can sustain this revenue momentum without further property liquidations.
What we're watching
- Whether revenue growth holds up in Q1 FY27.
- Details on the remaining asset portfolio.
- Sustainability of the improved margins.
The full read
Chandra Prabhu International ended the year with a sharp quarterly turnaround. The company reported a net profit of ₹598.60 lakhs for the quarter ended March 2026, a stark reversal from the ₹11.69 lakh loss posted in the same period last year. Revenue for the quarter reached ₹16,427.06 lakhs, nearly doubling the ₹8,885 lakhs reported in the preceding quarter. However, the full-year picture is more tempered. Annual revenue fell to ₹60,521.32 lakhs from ₹99,426.36 lakhs. The annual profit of ₹290.25 lakhs was only possible because of ₹298.16 lakhs in exceptional gains from the derecognition of a Gurugram property and vehicles. While the quarterly profit jump is eye-catching, it is a product of asset liquidation rather than core operational expansion. The next test is whether the company can maintain this revenue scale without further asset sales.
Questions answered
- What drove the quarterly profit swing?
- The company booked ₹298.16 lakhs in exceptional gains from the derecognition of a property in Gurugram and various vehicles. This gain was the primary catalyst for the ₹598.60 lakhs quarterly profit.
- How did the full-year performance compare to the previous year?
- Full-year revenue fell to ₹60,521.32 lakhs from ₹99,426.36 lakhs. Despite the lower top line, annual profit rose to ₹290.25 lakhs from ₹236.11 lakhs due to the asset-related gains.
- Did the board announce any governance changes?
- No. The board re-appointed independent director Tilak Raj Goyal for a second five-year term and retained Baj & Company as the internal auditor for FY2026-27.
- Is the quarterly revenue growth sustainable?
- The company reported ₹16,427.06 lakhs in revenue for the March quarter, nearly double the ₹8,885 lakhs recorded in the preceding quarter. Whether this represents a new baseline or a seasonal anomaly remains to be seen.