Mercury EV-Tech Q1FY27 Profit Dips Despite Revenue Surge

Mercury EV-Tech’s net profit dipped 4.2% year-on-year to ₹1.56 crore in Q1FY27, even as revenue from operations surged 47.9% to ₹33.38 crore. Investors are set to monitor the stock closely on Friday, August 14, following these mixed quarterly results.

Key Financial Highlights

• Revenue from Operations: ₹33.38 crore in Q1FY27, marking a 47.9% YoY increase from ₹22.57 crore.
• Sequential Revenue Growth: 65.2% from ₹20.21 crore in Q4FY26.
• EBITDA: Grew 38.1% YoY to ₹2.62 crore.
• Consolidated Net Profit: Declined 4.2% YoY to ₹1.56 crore.
• Operating Expenses: Increased to ₹31.79 crore, primarily due to higher material consumption and stock-in-trade purchases.

The decline in net profit occurred despite a sharp sequential improvement from ₹0.17 crore in Q4FY26. Rising operating expenses, largely from increased material consumption and purchases, were the primary factor impacting profitability.

Mercury EV-Tech operates in the manufacturing and trading of electric vehicles and renewable energy products. The company’s product portfolio spans two-wheelers, buses, loaders, and passenger vehicles, alongside critical component production like batteries, chassis, and motor controllers.

Stock Performance Trajectory

Despite robust long-term performance, the company’s shares have faced recent headwinds. The stock declined over 74% from its all-time high of ₹140 in September 2024 to approximately ₹34.

• Five-Year Returns: Delivered a gain of approximately 1,775%.
• Significant Rally: Surged nearly 4,900% between April 2022 and December 2023.

The June quarter results present a mixed picture for Mercury EV-Tech, with strong revenue growth overshadowed by a dip in net profit, against a backdrop of impressive long-term stock gains contrasting with recent declines.