Amber's operating profit rises, but net profit falls 97.08% YoY
Higher interest, depreciation, negative other income and a 92.90% tax rate reduced pre-tax profit to Rs 43.45 cr.
Filed 14 Aug 2026, 00:40 IST · Amber Enterprises India Ltd (AMBER)
Key takeaways
- Consolidated operating profit rose +21.56% YoY as revenue grew +12.72% and expenses +12.00%, but net profit fell -97.08% to Rs 3.09 cr.
- Net profit was squeezed by a 92.90% tax rate, interest up +33.74% YoY and negative other income equal to -174.13% of pre-tax profit.
- Operating margin improved 0.59 percentage points YoY to 8.03% but remained 5.25 percentage points below the 13.28% median for 171 reported Consumer Discretionary peers.
Price around the results
Operating profit grew, but earnings quality weakened
Amber Enterprises reported consolidated revenue of Rs 3,887.72 cr in Q1FY27, up +12.72% YoY, while operating profit grew +21.56% to Rs 312.05 cr. The operating improvement did not flow through to net profit: higher interest and depreciation, negative other income of Rs -75.66 cr and a 92.90% tax rate cut net profit to Rs 3.09 cr.
Sequential margin loss followed two quarters of recovery
Revenue fell -6.26% QoQ, but expenses declined only -5.64%, so costs grew faster than revenue on the sequential comparison and operating margin narrowed -0.61 percentage points. Margin had risen from 5.54% in Q2FY26 to 8.36% in Q3FY26 and 8.64% in Q4FY26, making the Q1FY27 decline a reversal of the previous two-quarter improvement rather than a third straight contraction.
Amber remained below the reported peer margin
The 8.03% operating margin was 5.25 percentage points below the 13.28% median for 171 Consumer Discretionary peers that had reported the same quarter. On a year-on-year basis, margin still improved 0.59 percentage points because revenue grew faster than expenses, which rose +12.00%.
Management highlighted PCB and new manufacturing capacity
Management said Amber had signed a manufacturing collaboration agreement with Oppo Mobiles India covering OPPO, Realme and OnePlus, with trial production scheduled for Q4FY27 and commercial production for Q1FY28. The presentation also said construction was progressing at the Hosur and Pune PCB facilities, while the Sidwal greenfield facility was operational and the Yujin JV facility was ready for product development pending requisite RDSO approval.
The current stock response is still too fresh to assess
Amber has risen after five of its last eight results, while the median absolute move over those reactions was 6.56%. The Q1FY27 filing is too fresh for a market reaction to be assessed against that history.
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 | YoY |
|---|---|---|---|---|
| Revenue | ₹3,888 cr | ₹4,148 cr | -6.26% | +12.72% |
| Other income | ₹-76 cr | ₹17 cr | — | — |
| Expenses | ₹3,576 cr | ₹3,789 cr | -5.64% | +12.00% |
| Operating profit | ₹312 cr | ₹358 cr | -12.89% | +21.56% |
| Operating margin (%) | 8.03% | 8.64% | — | — |
| Interest | ₹85 cr | ₹65 cr | +30.87% | +33.74% |
| Depreciation | ₹108 cr | ₹99 cr | +8.97% | +75.13% |
| Profit before tax | ₹43 cr | ₹211 cr | -79.44% | -71.85% |
| Tax | ₹40 cr | ₹49 cr | -18.22% | -16.53% |
| Net profit | ₹3 cr | ₹162 cr | -98.09% | -97.08% |
| EPS (₹) | ₹6.34 | ₹38.04 | -83.33% | -79.31% |
Operating margin of 8.03% compares with a Consumer Discretionary sector median of 13.28% across 171 peers that have reported Q1FY27.
What management said
From the company’s own investor presentation. Each point is checked against the source document before it appears here.
Expansion
- The mobile manufacturing collaboration is scheduled for trial production in Q4FY27 and commercial production in Q1FY28.
- Construction is progressing for a new multi-layer PCB facility at Hosur, Tamil Nadu.
- ECMS approval was received for the multi-layer PCBs application at the Hosur facility.
- A groundbreaking ceremony was held for an HDI PCB manufacturing facility near Jewar Airport, Uttar Pradesh.
- ECMS approval was received for the HDI PCB application at Ascent-K Circuit.
- Construction is progressing for a facility expansion at the Pune PCB assembly facility.
- The Sidwal greenfield facility is now operational, increasing capacity to support future growth.
- The Yujin JV facility is ready, with product development and design underway and commercial production anticipated in H2FY27 after RDSO approval.
New initiatives
- Amber Group signed a manufacturing collaboration agreement with Oppo Mobiles India covering OPPO, Realme and OnePlus brands.
What to watch
- Whether operating margin holds above 8.03% after the sequential decline of 0.61 percentage points.
- Whether the tax rate moves down from 92.90% and reduces the gap between pre-tax profit of Rs 43.45 cr and net profit of Rs 3.09 cr.
- Management's stated Q4FY27 trial-production timeline for the Oppo Mobiles India collaboration.