Distributors industry

8 companies · ₹887 cr · Q1FY27 report

Store rollouts sustain top-line, but wage hikes and RM inflation narrow the margin runway into H2

Mid cyclemargin range-bound near 27.9%

Revenue YoY: +14.3%
EBITDA margin: 27.9%; -1300bps YoY
Price, 1 year: -5.5%; 38% of names up
P/E vs own 5y: -

Exhibit 1The quarter in numbers

constant panel of 6 companies above ₹500 cr

aggregate revenue (₹ cr)EBITDA margin (right axis)

Metric	Jun 26	Mar 26	QoQ	Jun 25	YoY	Peak	vs peak
Revenue	32 cr	45 cr	-28.9%	28 cr	+14.3%	45 cr	-28.9%
EBITDA margin	27.9%	-0.6%	+2850bps	40.9%	-1300bps	40.9%	-1300bps

Revenue

Jun 26: 32 cr
Mar 26: 45 cr
QoQ: -28.9%
Jun 25: 28 cr
YoY: +14.3%
Peak: 45 cr
vs peak: -28.9%

EBITDA margin

Jun 26: 27.9%
Mar 26: -0.6%
QoQ: +2850bps
Jun 25: 40.9%
YoY: -1300bps
Peak: 40.9%
vs peak: -1300bps

Breadth: 43% of 7 companies grew revenue year on year (was 50% a quarter earlier) and 0% expanded margin (was 17%).

Exhibit 3Structure

₹887 cr

Khemani Distributors & Marketing Ltd is 29.4% of this industry by market cap. The top 5 are 94% and the top 10 are 100%.

micro 80 above ₹500 cr

Exhibit 5Coverage (8 of 8)

Every company here with a deep dive, topped up by market cap. The rest of the industry is in the appendix.

Company	Mcap	P/E	EV/EBITDA	ROCE	Margin	Rev YoY	Read
Khemani Distributors & Marketing Ltd	₹261 cr	-	-17.7x	-18.3%	-21.0%	-63.9%	Unlock
M K Exim (India) Ltd	₹220 cr	12.8x	7.9x	22.5%	28.0%	+2.4%	Unlock
Ace Men Engg Works Ltd	₹150 cr	-	417.7x	0.6%	5.0%	-	Unlock
Alstone Textiles (India) Ltd	₹100 cr	23.7x	442.6x	0.2%	32.5%	-90.4%	Unlock
Mrp Agro Ltd	₹100 cr	24.5x	15.0x	11.9%	11.3%	+3.9%	Unlock
Sattva Sukun Lifecare Ltd	₹34 cr	-	49.7x	-1.7%	-0.4%	-47.5%	Unlock
Kotia Enterprises Ltd	₹17 cr	-	-	-10.9%	-168.5%	+150.0%	Unlock
Radhagobind Commercial Ltd	₹3 cr	-	-14.2x	5.9%	-3.9%	-	Unlock

Khemani Distributors & Marketing Ltd

Mcap: ₹261 cr
P/E: -
EV/EBITDA: -17.7x
ROCE: -18.3%
Margin: -21.0%
Rev YoY: -63.9%

Unlock

M K Exim (India) Ltd

Mcap: ₹220 cr
P/E: 12.8x
EV/EBITDA: 7.9x
ROCE: 22.5%
Margin: 28.0%
Rev YoY: +2.4%

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Ace Men Engg Works Ltd

Mcap: ₹150 cr
P/E: -
EV/EBITDA: 417.7x
ROCE: 0.6%
Margin: 5.0%
Rev YoY: -

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Alstone Textiles (India) Ltd

Mcap: ₹100 cr
P/E: 23.7x
EV/EBITDA: 442.6x
ROCE: 0.2%
Margin: 32.5%
Rev YoY: -90.4%

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Mrp Agro Ltd

Mcap: ₹100 cr
P/E: 24.5x
EV/EBITDA: 15.0x
ROCE: 11.9%
Margin: 11.3%
Rev YoY: +3.9%

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Sattva Sukun Lifecare Ltd

Mcap: ₹34 cr
P/E: -
EV/EBITDA: 49.7x
ROCE: -1.7%
Margin: -0.4%
Rev YoY: -47.5%

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Kotia Enterprises Ltd

Mcap: ₹17 cr
P/E: -
EV/EBITDA: -
ROCE: -10.9%
Margin: -168.5%
Rev YoY: +150.0%

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Radhagobind Commercial Ltd

Mcap: ₹3 cr
P/E: -
EV/EBITDA: -14.2x
ROCE: 5.9%
Margin: -3.9%
Rev YoY: -

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Exhibit 6What managements said

from Retailing earnings calls · as of 2026-06-30

headwindMulti-state minimum wage hikes are a structural, not transient, cost headwind7 managements

Seven managements cited Q1 FY27 minimum wage increases as a material cost driver. Medplus quantified Karnataka at +60% and Telangana at +25% effective June 1, noting the full…

ETERNAL (Q1FY27): “There was some increase in the cost of doing business in the quarter because there were a…”

tailwind11 managements headwind6 managements headwind2 managements tailwind5 managements headwind2 managements

5 more themes from this quarter's earnings calls are locked. A free account opens 3 full reports a quarter: every theme with verbatim management quotes, the demand picture, companies running against the tide, and the regulatory & disruption watch. Sign up free →

Exhibit 7Outlook

The outlook and what resolves next quarter

Where these managements said things are heading, and the dated, checkable events that would change it. Free with an account - 3 full reports a quarter.

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AppendixThe other 0 companies

1-0

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