ICRA shares gain as Q1 PAT grows 7% QoQ despite revenue, EBITDA decline

ICRA shares gained on Thursday, July 30, even as the company reported a largely negative June quarter.

Barring its net profit, ICRA witnessed losses across all its other key parameters on a sequential basis.

Sequentially, ICRA's consolidated net profit rose 7.15% to ₹56 crore from ₹53 crore in the March quarter. However, revenue from operations fell 6.57% to ₹163.4 crore from ₹175 crore, while EBITDA declined 21% to ₹55 crore from ₹70 crore. EBITDA margin also contracted to 33.7% from 40%.

On a year-on-year basis, ICRA reported a 32.04% increase in consolidated profit after tax (PAT) to ₹56.46 crore for the quarter ended June 30, 2026, from ₹42.76 crore a year earlier. Consolidated revenue from operations rose 31.23% to ₹163.37 crore from ₹124.49 crore.

Also read: Exide Industries Q1 results: Stock jumps 4% after Auto OEM biz grows over 25% for third straight quarter

The company also expanded its operating profitability during the quarter, with EBITDA margin improving to 43.9% from 43.7% a year ago, even as total expenses climbed 31.81% to ₹119.26 crore. Total income stood at ₹190.99 crore, while profit before tax increased to ₹76.12 crore.

Recent acquisitions

During the quarter, ICRA's wholly owned subsidiary, ICRA Analytics, signed an amended share purchase agreement to acquire the remaining 40% stake in D2K Technologies India for ₹32.02 crore. The remeasurement of the related liability resulted in a ₹6.76 crore gain recognised under other income. The share transfer was completed in July 2026, making D2K Technologies a wholly owned subsidiary of ICRA Analytics.

Separately, after the quarter ended, ICRA completed the acquisition of the remaining 1.25% equity stake in Fintellix India for ₹3.17 crore. The transaction makes Fintellix a wholly owned subsidiary of the company.

Shares of ICRA rose 1.48% to ₹4,846 following the earnings announcement. Despite the day's gains, the stock remains under pressure over longer timeframes, having declined 7.65% over the past month, 10.72% in the last three months, 20.32% so far this year and 26.37% over the past year. Over a three-year period, however, the stock is down a relatively modest 9.86%.

Catch latest Q1 updates with CNBC-TV18.com's blog