Operating profit rises, but negative other income drives Q2 loss
Revenue grew +26.59% QoQ and margin improved 0.54 percentage points, but other income swung to -Rs 3.71 cr, leaving a Rs 3.92 cr net loss.
Filed 30 Oct 2026, 19:59 IST · after market close · Aeroflex Neu Ltd (AERONEU)
Key takeaways
- Aeroflex Neu posted a consolidated net loss of Rs 3.92 cr in Q2FY27 despite revenue rising 26.59% QoQ.
- Operating margin improved 0.54 percentage points to 3.93% as revenue growth outpaced expense growth.
- The company's 3.93% operating margin was 8.50 percentage points below the 12.43% median for 75 Industrials peers.
Price around the results
Higher revenue did not prevent a quarterly loss
Consolidated revenue grew 26.59% QoQ, while expenses rose 25.88%, allowing operating profit to increase 46.87% and operating margin to widen by 0.54 percentage points. That operating improvement was not enough to offset the below-operating-line impact, with profit before tax moving from Rs 0.18 cr in Q1FY27 to a loss of Rs 3.95 cr.
Negative other income drove the pre-tax loss
Other income was negative at Rs 3.71 cr in Q2FY27 versus positive other income of Rs 0.68 cr in Q1, making it the main drag on pre-tax earnings; the driver attributes 93.92% of PBT to other income. Interest rose 3.45% QoQ and depreciation rose 20.69%, adding to the pressure. The tax rate fell 52.75 percentage points to 0.91%, but the tax benefit of Rs 0.04 cr did not prevent a net loss.
Margin improved but remained near the bottom of Industrials
The 3.93% operating margin was higher than 3.39% in Q1FY27, marking a sequential improvement. It was nevertheless 8.50 percentage points below the 12.43% median among 75 Industrials companies that had reported, placing Aeroflex Neu fifth from the bottom.
Results were filed after market close
Aeroflex Neu filed its consolidated results at 19:59 IST on 30 October 2026, after market close. The stock's post-results response is therefore not covered in this update.
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 | ₹36 cr | ₹28 cr | +26.59% |
| Other income | ₹-4 cr | ₹1 cr | — |
| Expenses | ₹34 cr | ₹27 cr | +25.88% |
| Operating profit | ₹1 cr | ₹1 cr | +46.87% |
| Operating margin (%) | 3.93% | 3.39% | — |
| Interest | ₹1 cr | ₹1 cr | +3.45% |
| Depreciation | ₹1 cr | ₹1 cr | +20.69% |
| Profit before tax | ₹-4 cr | ₹0 cr | — |
| Tax | ₹-0 cr | ₹0 cr | — |
| Net profit | ₹-4 cr | ₹0 cr | — |
| EPS (₹) | ₹-1.51 | ₹0.03 | — |
Operating margin of 3.93% compares with a Industrials sector median of 12.43% across 75 peers that have reported Q2FY27.
What to watch
- Whether operating margin holds above 3.93% in the next quarter.
- Whether revenue growth remains ahead of expense growth after +26.59% versus +25.88% QoQ.
- Whether profit before tax moves back above zero after the Rs 3.95 cr loss.