Agro Phos profit rises 34.09% QoQ as tax rate drops
Revenue growth did not keep pace with costs, leaving operating margin 1.09 percentage points lower at 9.85%.
Filed 06 Nov 2026, 13:11 IST · Agro Phos India Ltd (AGROPHOS)
Key takeaways
- Standalone revenue rose 21.13% QoQ, but expenses grew 22.64%, pulling operating margin down 1.09 percentage points.
- Net profit rose 34.09% QoQ as the tax rate fell 8.79 percentage points, while interest expense declined 4.35%.
- At 9.85%, operating margin was 3.00 percentage points below the 12.85% median for 136 reported Commodities peers.
Price around the results
Costs outpaced revenue in Q2FY27
Agro Phos India’s standalone revenue increased 21.13% QoQ, but expenses rose faster at 22.64%, so operating profit grew only 9.18% and operating margin narrowed by 1.09 percentage points. Interest expense fell 4.35%, while depreciation was unchanged, limiting the pressure below the operating line.
Lower tax rate amplified profit growth
Net profit rose 34.09% QoQ, outpacing operating profit growth because the tax rate fell 8.79 percentage points to 17.88%. Other income accounted for only 2.79% of profit before tax, so the earnings increase was not materially dependent on non-operating income.
Margin remains below the Commodities peer median
Agro Phos’s 9.85% operating margin was 3.00 percentage points below the 12.85% median among 136 Commodities peers that had reported the quarter, placing it 51st from the bottom. The available quarterly direction also weakened sequentially, with margin declining from 10.94% in Q1FY27.
Q2FY27 at a glance
Standalone figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q2FY27 | Q1FY27 | QoQ |
|---|---|---|---|
| Revenue | ₹35 cr | ₹29 cr | +21.13% |
| Other income | ₹0 cr | ₹0 cr | +50.00% |
| Expenses | ₹32 cr | ₹26 cr | +22.64% |
| Operating profit | ₹3 cr | ₹3 cr | +9.18% |
| Operating margin (%) | 9.85% | 10.94% | — |
| Interest | ₹1 cr | ₹1 cr | -4.35% |
| Depreciation | ₹0 cr | ₹0 cr | +0.00% |
| Profit before tax | ₹2 cr | ₹2 cr | +19.44% |
| Tax | ₹0 cr | ₹0 cr | -20.83% |
| Net profit | ₹2 cr | ₹1 cr | +34.09% |
| EPS (₹) | ₹0.87 | ₹0.65 | +33.85% |
Operating margin of 9.85% compares with a Commodities sector median of 12.85% across 136 peers that have reported Q2FY27.
What to watch
- Whether operating margin recovers from 9.85% after its 1.09-percentage-point QoQ decline.
- Whether expenses grow more slowly than revenue after rising 22.64% versus revenue growth of 21.13%.
- Whether the tax rate remains near 17.88% after falling 8.79 percentage points QoQ.