Aakash Exploration swings to Rs 0.28 cr loss despite margin gain
Expenses fell faster than revenue, but higher depreciation and interest erased operating profit; the results were filed after market close.
Filed 02 Nov 2026, 16:14 IST · after market close · Aakash Exploration Services Ltd (AAKASH)
Key takeaways
- Aakash Exploration Services reported a standalone net loss of Rs 0.28 cr in Q2FY27, versus a profit of Rs 0.52 cr in Q1FY27.
- Operating margin improved by 2.28 percentage points qoq as expenses fell 5.38% while revenue declined 2.94%.
- Higher depreciation and interest pushed profit before tax to a loss of Rs 0.24 cr, while the Energy peer median operating margin was 15.20%.
Price around the results
Lower costs lifted the operating margin
Revenue declined 2.94% qoq, but expenses fell faster, by 5.38%, lifting operating profit growth to 24.55%. That cost movement expanded operating margin by 2.28 percentage points to 10.30%. The improvement followed an 8.02% operating margin in Q1FY27.
Depreciation and interest reversed the quarter
Interest rose 22.45% qoq and depreciation increased 17.06%, absorbing the operating profit and taking profit before tax to a loss of Rs 0.24 cr. Other income fell 64.86% to Rs 0.52 cr and represented -216.67% of pre-tax profit because pre-tax profit was negative. The -16.64% tax rate reflects tax expense of Rs 0.04 cr despite the pre-tax loss, rather than a tax benefit supporting earnings.
Margin remains below Energy peer levels
Aakash Exploration's 10.30% operating margin was 4.90 percentage points below the 15.20% median for 18 Energy peers that had reported the quarter. It ranked fifth from the bottom on this measure. The qoq margin improvement therefore came from a lower base rather than parity with the sector.
Results were filed after market close
The company filed its Q2FY27 results after market close on 02 Nov 2026. There is no post-results market reaction to assess yet.
Q2FY27 at a glance
Standalone figures as filed with NSE — cross-checked against an independent source.
| Line item | Q2FY27 | Q1FY27 | QoQ |
|---|---|---|---|
| Revenue | ₹27 cr | ₹28 cr | -2.94% |
| Other income | ₹1 cr | ₹1 cr | -64.86% |
| Expenses | ₹24 cr | ₹26 cr | -5.38% |
| Operating profit | ₹3 cr | ₹2 cr | +24.55% |
| Operating margin (%) | 10.30% | 8.02% | — |
| Interest | ₹1 cr | ₹0 cr | +22.45% |
| Depreciation | ₹3 cr | ₹3 cr | +17.06% |
| Profit before tax | ₹-0 cr | ₹1 cr | — |
| Tax | ₹0 cr | ₹0 cr | -78.95% |
| Net profit | ₹-0 cr | ₹1 cr | — |
| EPS (₹) | ₹-0.03 | ₹0.05 | — |
Operating margin of 10.30% compares with a Energy sector median of 15.20% across 18 peers that have reported Q2FY27.
What to watch
- Whether revenue recovers from Rs 27.07 cr after the 2.94% qoq decline.
- Whether operating margin holds above 10.30% while the Energy peer median is 15.20%.
- Whether interest and depreciation moderate from Rs 0.60 cr and Rs 2.95 cr after rising 22.45% and 17.06% qoq.