Lenskart Q1 Profits Surge 182% YoY to Rs 228 Crore as Revenue Jumps 34%.

Lenskart Solutions has reported robust financial performance for the first quarter of FY27, demonstrating a significant 182.3% year-on-year increase in profit after tax (PAT), reaching Rs 228 crore, up from Rs 81 crore in the same quarter last fiscal year. Revenue from operations also saw a commendable rise of 33.6% year-on-year, totaling Rs 2,714 crore compared to Rs 1,894 crore in Q1 FY26. The company’s earnings before interest, taxes, depreciation and amortization (EBITDA) surged by 61.3% YoY to Rs 589 crore, illustrating a strong operational performance amid a competitive landscape.

Key growth drivers included substantial contributions from both domestic and international markets, with revenues from India increasing by 30.7% and international revenues expanding by 38%. Notably, the company achieved a consolidated product margin of 70.3%, a first-time milestone, while India and international product margins improved to 64.2% and 77.1%, respectively. The EBITDA margin on a pre-IndAS 116 basis rose to 13.3%, up from 9.1% in the previous year, reflecting enhanced operational efficiency. Overall EBITDA margins expanded to 21.7%, with India contributing 21.4% and international operations slightly higher at 21.9%. Moreover, the PAT margin witnessed a considerable uptick of 443 basis points, reaching 8.4% from 4.0% in Q1 FY26.

The financial health of Lenskart is further underscored by its operating cash flow of Rs 297 crore, which comfortably exceeded capital expenditures amounting to approximately Rs 207 crore, allocated largely towards expansion initiatives in store openings and plant capacity enhancement. This resulted in a net cash flow before mergers and acquisitions of Rs 116 crore. The return on capital employed (ROCE) has improved significantly to 23.2%, up from 14.6% in FY26, attributable to effective capital management and increased EBIT.

In addition to its impressive performance metrics, Lenskart’s board is actively exploring strategic acquisitions and expansions, including increasing the equity stake in its joint venture, Baofeng Framekart Technology Limited. Further developments include the incorporation of subsidiaries in South Korea and China, positioning the company for future growth. Overall, Lenskart Solutions appears well-positioned for continued success, with strong operational and financial indicators reflecting its strategic pursuits and execution capabilities.

Source: The Economic Times

(Expert Note: This report was prepared by the Wealthova team.)