Amagi’s 6.83% operating margin trails IT peer median by 10.92 pp
Other income of Rs 17.59 cr supported Rs 33.91 cr net profit, while the stock rose 3.17% on the results day.
Filed 13 Aug 2026, 10:51 IST · Amagi Media Labs Ltd (AMAGI)
Key takeaways
- Consolidated Q1FY27 operating margin was 6.83%, 10.92 percentage points below the 17.75% median of 33 IT peers.
- Other income of Rs 17.59 cr was material against profit before tax of Rs 40.41 cr, so reported profit was partly supported outside operations.
- Management said Q1 FY27 content hours rose +43% YoY to 959,000 and ad impressions rose +59% to 13.6 billion.
Price around the results
Other income lifted reported profit above operating profit
Amagi reported consolidated Q1FY27 revenue of Rs 436.88 cr and operating profit of Rs 29.84 cr, but profit before tax reached Rs 40.41 cr after Rs 17.59 cr of other income. That gap means the quarter’s reported profit was partly supported outside core operations. The tax rate was 16.09%, and net profit was Rs 33.91 cr.
Operating margin ranks near the bottom of reporting IT peers
Amagi’s 6.83% operating margin was 10.92 percentage points below the 17.75% median for 33 Information Technology peers that had reported the quarter. The company ranked 3rd from the bottom on this measure. No sequential or year-on-year margin trend is available here, so the peer comparison is the clearest read on the quarter’s operating performance.
Usage growth and new deployments expand the operating footprint
The presentation said cumulative content hours reached 959,000, up +43% YoY, while ad impressions reached 13.6 billion, up +59% YoY. Management said an Asia Pacific television network signed a managed-services engagement covering six broadcast and FAST channels, and that a major US broadcaster expanded to 25 FAST channels on Amagi CLOUDPORT. The company also said it is actively evaluating merger and acquisition opportunities.
Shares gained 3.17% after the results
The stock rose 3.17% on the results day, with a 0.8% opening gap and trading volume at 27.55 times the reference level. The positive price move came despite operating margin being well below the reporting IT-peer median.
Q1FY27 at a glance
Consolidated figures as filed with NSE — cross-checked against an independent source.
| Line item | Q1FY27 |
|---|---|
| Revenue | ₹437 cr |
| Other income | ₹18 cr |
| Expenses | ₹407 cr |
| Operating profit | ₹30 cr |
| Operating margin (%) | 6.83% |
| Interest | ₹1 cr |
| Depreciation | ₹6 cr |
| Profit before tax | ₹40 cr |
| Tax | ₹7 cr |
| Net profit | ₹34 cr |
| EPS (₹) | ₹1.49 |
Operating margin of 6.83% compares with a Information Technology sector median of 17.75% across 33 peers that have reported Q1FY27.
How the stock reacted
| Window | Stock | vs NIFTY |
|---|---|---|
| Results day | +3.17% | +3.33% |
Volume on the results session was 27.55× its 20-day average.
What management said
From the company’s own investor presentation. Each point is checked against the source document before it appears here.
This quarter
- Q1 FY27 cumulative content hours reached 959,000, up 43% year over year.
- Q1 FY27 ad impressions reached 13.6 billion, up 59% year over year.
Expansion
- The company is actively evaluating merger and acquisition opportunities.
New orders
- ABC Commercial launched four FAST channels on LG Channels across multiple markets using Amagi for origination, distribution and monetization.
- A major US broadcaster expanded to 25 FAST channels on Amagi CLOUDPORT, covering origination through monetization.
New initiatives
- An Asia Pacific television network signed a managed-services engagement covering six broadcast and FAST channels, with AI Smart Scheduler automating scheduling.
- A large US news network chose Amagi NEWSPULSE to automate vertical-news editorial workflows across live and recorded feeds, social platforms and owned properties.
- A large US FAST platform selected Amagi ADS PLUS and THUNDERSTORM to monetize in-content advertising formats across owned and third-party channels.
- TV9 selected Amagi to manage live feeds, expand connected-TV distribution partnerships and drive monetization across its channels.
What to watch
- Whether operating margin improves from 6.83% toward the 17.75% IT-peer median.
- Whether quarterly content hours remain above 959,000 and ad impressions above 13.6 billion.
- Whether the six-channel managed-services engagement and 25-channel CLOUDPORT expansion translate into reported revenue.