Basilic Fly Studio LtdQ1 FY27
Basilic Fly Studio Ltd Q1 FY27 Earnings Call Analysis
Revenue, margin, capex, fundraise and order book outlook from management commentary.
Price: ₹183P/E: 9.9Market Cap: ₹506 Cr
Management growth scorecard
Revenue
Category 2
Margin
Category 3
Fundraise
Yes
Order
Yes
Capex
Yes
3 of 5 growth signals are positive.
Full analysisRevenue guidance
Category 2- →Undelivered order book stands around INR 250-260 crores for FY27, expected to be executed from Q2 to Q4 (8-9 months duration).
- →Current bidding pipeline is at an all-time high of about INR 700 crores, with several bids in advanced stages.
- →Historical annual top-line growth has been around 30%, management expects to maintain or surpass this CAGR.
- →Recent major order wins are larger than previous typical wins (up from $1-1.5 million to $4-5 million), indicating a trend towards bigger projects.
- →Organic growth is the primary driver; no M&A included yet in growth numbers.
- →H2 (Q3 & Q4) expected to be stronger quarters due to seasonality and delivery schedules.
- →Business development investments are expected to translate into significant revenue growth in the next quarters and years.
- →Management cautious about issuing exact future guidance but confident of crossing last year's revenues comfortably.
Margin guidance
Category 3- →The company expects organic growth to continue or surpass historical trends, with no M&A contribution currently counted.
- →FY27 undelivered order book stands at INR 250 crores; bidding pipeline at all-time high of INR 700 crores, suggesting strong top-line growth.
- →Management targets over 30% CAGR growth, with major wins in the range of INR 4-5 crores per bid, signaling higher ticket sizes and revenue potential.
- →EBITDA margin pressure this quarter is largely due to one-offs: severance, unrealized forex loss, and tech investments; normalized EBITDA margins remain around 14-15%.
- →Employee cost peak and offshoring benefits expected by FY27 end, with positive operating leverage anticipated post that.
- →Management aiming to update investors around Sept-Dec 2026 on IPO/mainboard listing plans tied to financial and growth performance.
- →Growth and profitability improvements are expected as new business development hires start converting pipeline into wins.
Fundraise plans
Yes- →Currently, there is no plan to raise debt for acquisitions or operations.
- →The company has around INR 80-90 crores cash on hand, which they intend to use for funding acquisitions.
- →Fundraising via equity was done through recent QIP and IPO rounds; about INR 37 crores from QIP and INR 21 crores from IPO remain unutilized.
- →The company is actively evaluating M&A opportunities and plans to use QIP proceeds for inorganic growth.
- →Discussions regarding listing on the main board are ongoing, with updates expected by September or December.
- →No new fundraising through debt is planned at this point to avoid additional financial risk.
Order book
Yes- →Undelivered order book as of end-July stands around INR 250-255 crores, to be executed mainly between Q2 and Q4 (8-9 months duration).
- →Added to this, an order of INR 106 crores is recently won, with some revenue already delivered in July.
- →The total winning (orders signed) is higher than the undelivered order book; pipeline bidding is at an all-time high of around INR 700 crores.
- →The order book is historically healthy and growing, previously ranged between INR 100-150 crores a year ago.
- →Orders are executed based on milestones; revenue recognition is unevenly spread, often accelerating towards delivery phases.
- →Management expects continued bidding and significant order wins over the remaining fiscal year to meet growth targets.
Capex plans
Yes- →The company has made heavy investments in business development roles, onboarding 5-6 new hires to drive growth and win larger bids.
- →There is a plan for significant expansion in Bengaluru with a physical facility to accommodate around 150 seats by the end of FY27, focusing on high-end work.
- →The company is investing in technology, including AI, to reduce manual effort and improve operational efficiency. These tech investments are capitalized starting Q2 or early Q3.
- →Severance costs have been incurred to transition employees from higher-cost locations like London and Paris to India (Bengaluru, Pune, Chennai), aiming for 30%-40% cost savings on employee expenses.
- →Inorganic growth is being considered through acquisitions, with several M&A deals evaluated and one at an advanced stage. The company expects to use unutilized QIP proceeds (~INR 37 crores) for this.
- →Management consultations with Big Four firms are ongoing regarding the timing of a main board listing.
Track Basilic Fly Studio Ltd — get its next earnings analysis in your feed
Margin guidance
Category 3- →The company expects organic growth to continue or surpass historical trends, with no M&A contribution currently counted.
- →FY27 undelivered order book stands at INR 250 crores; bidding pipeline at all-time high of INR 700 crores, suggesting strong top-line growth.
- →Management targets over 30% CAGR growth, with major wins in the range of INR 4-5 crores per bid, signaling higher ticket sizes and revenue potential.
- →EBITDA margin pressure this quarter is largely due to one-offs: severance, unrealized forex loss, and tech investments; normalized EBITDA margins remain around 14-15%.
- →Employee cost peak and offshoring benefits expected by FY27 end, with positive operating leverage anticipated post that.
- →Management aiming to update investors around Sept-Dec 2026 on IPO/mainboard listing plans tied to financial and growth performance.
- →Growth and profitability improvements are expected as new business development hires start converting pipeline into wins.
Order book
Yes- →Undelivered order book as of end-July stands around INR 250-255 crores, to be executed mainly between Q2 and Q4 (8-9 months duration).
- →Added to this, an order of INR 106 crores is recently won, with some revenue already delivered in July.
- →The total winning (orders signed) is higher than the undelivered order book; pipeline bidding is at an all-time high of around INR 700 crores.
- →The order book is historically healthy and growing, previously ranged between INR 100-150 crores a year ago.
- →Orders are executed based on milestones; revenue recognition is unevenly spread, often accelerating towards delivery phases.
- →Management expects continued bidding and significant order wins over the remaining fiscal year to meet growth targets.
How does Basilic Fly Studio Ltd rank vs peers in ?
Pro feature1Basilic Fly Studio Ltd
Rev 2Mar 3
See full sector rankings