Is Shalimar Paints a Good Buy After Its Q1 FY27 Results?

The Shalimar Paints share price has been under the spotlight this results season after the company reported its first-quarter numbers for FY27. Shalimar Paints is one of India's oldest paint manufacturers, serving decorative and industrial segments, and its Q1 FY27 print, for the quarter ended June 30, 2026, gives investors a fresh data point to test whether the stock still deserves a place in a portfolio at current levels.

Revenue for the quarter came in at Rs 139 crore, down 11.2% year on year, while the company reported a net loss of Rs 21 crore. That combination of numbers is exactly what this article breaks down, along with what it means for the Shalimar Paints share price from here.

This piece works through the quarter's financial highlights, the business factors behind the numbers, where the Shalimar Paints share price stands against its 52-week range and valuation multiples, and the key risks worth watching before treating this as a buy, hold or a stock to avoid for now.

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Shalimar Paints Q1 FY27 Financial Highlights

Metric	Q1 FY27	Q1 FY26	YoY Change
Revenue	Rs 139 crore	Rs 156 crore	-11.2%
EBITDA	-Rs 11 crore	-Rs 6.07 crore	-85.8%
Operating Margin	-8.2%	-3.9%	NA
Profit Before Tax	-Rs 21 crore	-Rs 17 crore	-26.8%
Net Profit / (Loss)	-Rs 21 crore	-Rs 17 crore	-26.8%

Shalimar Paints Q1 FY27 Performance Analysis

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Revenue growth of 11.2% for the quarter was not enough to offset cost pressure this quarter, and the paints and coatings manufacturing business will need a stronger showing next quarter to reverse the trend.

The loss for the quarter came in wider year on year at -Rs 21 crore, against -Rs 17 crore a year ago. Revenue grew 11.2% in the same period, so the business is scaling, but profitability has not yet followed, which is the central issue for anyone tracking the Shalimar Paints share price for a turnaround.

On a sequential basis, revenue moved down 11.6% sequentially from Rs 157 crore in the March 2026 quarter and the net loss moved down 187.7% sequentially from -Rs 7.39 crore in the prior quarter, giving a fuller picture of the trend behind the Shalimar Paints share price than the year on year comparison alone.

Key Business Factors in Q1 FY27

Revenue Trend

Shalimar Paints' revenue declined 11.2% year on year this quarter, taking the quarterly base to Rs 139 crore in a paints and coatings manufacturing business that remains sensitive to demand and pricing cycles that ultimately feed through to the Shalimar Paints share price.

Margin Movement

EBITDA fell to -Rs 11 crore from -Rs 6.07 crore, with operating margin slipping to -8.2% from -3.9%, pointing to cost or pricing pressure that management will need to manage through the rest of FY27.

Balance Sheet Position

Shalimar Paints' debt-to-equity ratio stands at 0.66, a level worth monitoring given the quarter's margin trend.

Valuation Context

Shalimar Paints does not carry a meaningful PE multiple this quarter given its current earnings, so investors should lean on revenue and book value trends instead of the price-to-earnings ratio when assessing the Shalimar Paints share price.

Dividend Details

No interim dividend was declared alongside Shalimar Paints' Q1 FY27 results. The stock has not paid a meaningful dividend in the trailing twelve months. Investors tracking the Shalimar Paints share price for income should watch the company's announcements around its next annual results for any dividend decision.

Shalimar Paints Share Price Outlook for FY27

Shalimar Paints remains a turnaround story rather than a steady compounder for now. Revenue growth is encouraging, but the pace at which losses shrink over the coming quarters will matter more to the Shalimar Paints share price than the topline trend alone.

A clear, sustained narrowing of losses over the next two to three quarters would be the strongest signal for the Shalimar Paints share price, while a stall or reversal in that trend would call for more caution.

Shalimar Paints Stock Performance

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The Shalimar Paints share price was trading around Rs 86 as results season played out in late August 2026, roughly 10.8% below its 52-week high of Rs 96 and well above its 52-week low of Rs 35.

The Shalimar Paints share price has likely already absorbed some of this quarter's disappointment, but further downside is possible if the next results confirm the same trend rather than a one-off. On profitability ratios, the company reports a return on equity of -25.86% and a book value of around Rs 17 per share, both useful reference points when judging whether the current price is reasonable.

Key Risks

Profitability Risk

The quarter's profit trend is the clearest risk here. Until Shalimar Paints shows a sustained improvement in margins or the bottom line, the stock is likely to stay volatile around results.

Leverage Risk

A debt-to-equity ratio of 0.66 means the company's earnings are more sensitive to interest rate and refinancing conditions than a lower-debt peer.

Sector and Demand Risk

As a paints and coatings manufacturing business, Shalimar Paints' results remain tied to sector-specific demand, pricing and regulatory cycles that can shift from quarter to quarter and move the Shalimar Paints share price well before the next result.

Conclusion

Shalimar Paints remains loss-making in Q1 FY27, with the loss still widening year on year alongside revenue growth of 11.2%. The Shalimar Paints share price suits investors comfortable with a turnaround story more than those looking for near-term profitability, and position sizing should reflect that risk.

Frequently Asked Questions on Shalimar Paints Q1 FY27 Results

What were Shalimar Paints' Q1 FY27 results?

Ans. Shalimar Paints reported Q1 FY27 revenue of Rs 139 crore, down 11.2% year on year, with a net loss of Rs 21 crore.

Is Shalimar Paints a good buy after its Q1 FY27 results?

Ans. Shalimar Paints' profitability came under pressure this quarter, which makes this a stock to watch rather than an obvious buy purely on this result. Investors should form their own view based on their own risk appetite and time horizon.

What is the Shalimar Paints share price today?

Ans. The Shalimar Paints share price was trading around Rs 86 in late August 2026, about 10.8% below its 52-week high of Rs 96 and well above its 52-week low of Rs 35.

What is Shalimar Paints' revenue and profit for Q1 FY27?

Ans. Shalimar Paints reported revenue of Rs 139 crore and a net loss of Rs 21 crore for the quarter ended June 30, 2026.

Did Shalimar Paints declare a dividend with its Q1 FY27 results?

Ans. No interim dividend was declared alongside Shalimar Paints' Q1 FY27 results. Investors should track the company's next annual results for any dividend announcement.

Why does Shalimar Paints not have a meaningful PE ratio?

Ans. Shalimar Paints does not carry a meaningful price-to-earnings ratio currently because of its recent earnings performance. Investors should use revenue and book value trends instead when assessing the stock.

What are the key risks for Shalimar Paints investors right now?

Ans. The quarter's profit trend is the clearest risk here. Until Shalimar Paints shows a sustained improvement in margins or the bottom line, the stock is likely to stay volatile around results. As a paints and coatings manufacturing business, Shalimar Paints' results remain tied to sector-specific demand, pricing and regulatory cycles that can shift from quarter to quarter and move the Shalimar Paints share price well before the next result.

What is Shalimar Paints' promoter shareholding?

Ans. Promoter shareholding data for Shalimar Paints was not fully available for this quarter and should be checked on the company's official filings.