Costs outpaced revenue as 63 Moons' operating margin fell to -57.25%
Other income rose 61.90% sequentially and narrowed the net loss, but the consolidated results were filed after market close.
Filed 04 Nov 2026, 17:37 IST · after market close · 63 Moons Technologies Ltd (63MOONS)
Key takeaways
- Revenue rose 11.88% QoQ, but expenses grew 15.52%, pushing operating margin down 4.96 percentage points to -57.25%.
- Other income increased 61.90% QoQ, yet it represented -137.22% of pre-tax profit as 63 Moons remained loss-making.
- At -57.25%, operating margin was 76.25 percentage points below the 19.00% median for 58 IT peers.
Price around the results
Revenue growth did not cover the expense increase
In consolidated results, revenue grew 11.88% QoQ to Rs 153.46 cr, while expenses rose 15.52% to Rs 241.32 cr. Costs therefore grew faster than revenue, widening the operating loss by 22.49% and narrowing operating margin by 4.96 percentage points to -57.25%. The company remained loss-making at the operating level despite the sequential revenue increase.
Other income softened the loss but did not change its quality
Other income rose 61.90% QoQ to Rs 56.52 cr, helping the pre-tax loss narrow by 11.02% and the net loss by 14.99%. However, other income was equivalent to -137.22% of pre-tax profit because the company still reported a pre-tax loss of Rs 41.19 cr. The tax rate moved up 4.59 percentage points from the previous quarter to 1.84%.
Operating margin was near the bottom of the IT peer set
Among 58 Information Technology companies that had reported, the sector median operating margin was 19.00%, putting 63 Moons' -57.25% margin 76.25 percentage points below the median. Its margin ranked second from the bottom, underscoring that the sequential deterioration was not just a small movement within the peer range.
The filing came after market close
63 Moons filed these consolidated Q2FY27 results at 17:37 IST on 4 November 2026, after the market close. There is no reported post-results stock reaction to assess yet.
Q2FY27 at a glance
Consolidated figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q2FY27 | Q1FY27 | QoQ |
|---|---|---|---|
| Revenue | ₹153 cr | ₹137 cr | +11.88% |
| Other income | ₹57 cr | ₹35 cr | +61.90% |
| Expenses | ₹241 cr | ₹209 cr | +15.52% |
| Operating profit | ₹-88 cr | ₹-72 cr | -22.49% |
| Operating margin (%) | -57.25% | -52.29% | — |
| Interest | ₹0 cr | ₹0 cr | +33.33% |
| Depreciation | ₹9 cr | ₹9 cr | +2.95% |
| Profit before tax | ₹-41 cr | ₹-46 cr | +11.02% |
| Tax | ₹-1 cr | ₹1 cr | — |
| Net profit | ₹-40 cr | ₹-48 cr | +14.99% |
| EPS (₹) | ₹-6.24 | ₹-8.61 | +27.53% |
Operating margin of -57.25% compares with a Information Technology sector median of 19.00% across 58 peers that have reported Q2FY27.
What to watch
- Whether operating margin recovers from -57.25%.
- Whether expense growth falls below the 15.52% QoQ pace while revenue growth remains at 11.88%.
- Whether other income remains a material offset to the operating loss after reaching Rs 56.52 cr.