ABAN's operating margin jumps 33.57 points as revenue surges QoQ
Expenses fell 3.33% despite 66.73% revenue growth, while a 7.92% tax rate amplified the profit rebound.
Filed 25 Sep 2026, 17:26 IST · after market close · ABAN (ABAN)
Key takeaways
- ABAN’s consolidated operating margin expanded 33.57 percentage points QoQ as revenue grew 66.73% and expenses fell 3.33%.
- Net profit rose 4551.11% QoQ, helped by a tax rate that fell 67.72 percentage points to 7.92%.
- Other income contributed 14.31% of consolidated profit before tax, so earnings included a material non-operating component.
Revenue rebound drives the operating surge
ABAN’s consolidated revenue rose 66.73% QoQ to Rs 165.25 cr, while expenses declined 3.33% to Rs 76.54 cr. That operating leverage lifted operating profit 345.16% and widened the operating margin by 33.57 percentage points to 53.68%. The improvement followed a weak Q4FY26 operating profit base of Rs 19.93 cr.
Lower depreciation and tax amplified earnings
Depreciation fell 52.25% QoQ to Rs 10.8 cr, adding to the operating improvement as profit before tax rose 1128.65%. Net profit growth was further amplified by the tax rate falling 67.72 percentage points from Q4FY26. Other income accounted for 14.31% of profit before tax, making it a material part of reported earnings.
Sequential direction turns sharply positive
The quarter-on-quarter direction was sharply positive: profit before tax rose from Rs 7.4 cr in Q4FY26 to Rs 90.92 cr, while EPS increased from Rs 0.31 to Rs 14.35. The comparison is against a low prior-quarter base, so the scale of the percentage gains needs to be read alongside that base.
Results filed after market close
ABAN filed these consolidated results after market close on 25 Sep 2026. A post-results stock reaction and a history of reactions after earlier results are not part of this update.
Q1FY27 at a glance
Consolidated figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q1FY27 | Q4FY26 | QoQ |
|---|---|---|---|
| Revenue | ₹165 cr | ₹99 cr | +66.73% |
| Other income | ₹13 cr | ₹10 cr | +28.94% |
| Expenses | ₹77 cr | ₹79 cr | -3.33% |
| Operating profit | ₹89 cr | ₹20 cr | +345.16% |
| Operating margin (%) | 53.68% | 20.11% | — |
| Interest | ₹0 cr | ₹0 cr | — |
| Depreciation | ₹11 cr | ₹23 cr | -52.25% |
| Profit before tax | ₹91 cr | ₹7 cr | +1128.65% |
| Tax | ₹7 cr | ₹6 cr | +28.57% |
| Net profit | ₹84 cr | ₹2 cr | +4551.11% |
| EPS (₹) | ₹14.35 | ₹0.31 | +4529.03% |
What to watch
- Whether operating margin remains near the Q1FY27 level of 53.68%.
- Whether expenses stay below the Q1FY27 level of Rs 76.54 cr as revenue momentum is assessed.
- Whether other income remains a material contributor after accounting for 14.31% of Q1FY27 profit before tax.