Arihant Superstructures lifts profit as interest costs fall
Revenue grew 1.24% sequentially and operating margin edged up, while other income remained a meaningful part of pre-tax profit.
Filed 03 Nov 2026, 15:11 IST · Arihant Superstructures Ltd (ARIHANTSUP)
Key takeaways
- Consolidated net profit rose 7.87% sequentially to Rs 10.55 cr as interest expense fell 4.63%.
- Operating margin was broadly stable at 20.99%, up 0.05 percentage points as revenue growth slightly exceeded expense growth.
- Other income contributed 10.57% of pre-tax profit, making reported earnings partly dependent on non-operating income.
Price around the results
Profit growth came from lower interest costs
Arihant Superstructures reported consolidated revenue of Rs 133.22 cr in Q2FY27, up 1.24% sequentially, while net profit increased 7.87% to Rs 10.55 cr. Interest expense fell 4.63% to Rs 14.82 cr, helping pre-tax profit rise 8.25% despite a 0.26 percentage-point increase in the tax rate. EPS increased 12.23% sequentially to Rs 1.56.
Costs stayed slightly behind revenue growth
Expenses grew 1.17%, below the 1.24% increase in revenue, so operating profit rose 1.45% and operating margin expanded 0.05 percentage points to 20.99%. Other income was Rs 1.47 cr and accounted for 10.57% of pre-tax profit, which limits the extent to which the quarter's earnings can be viewed as purely operating-driven. Depreciation was broadly unchanged at Rs 0.71 cr.
Margin remained well above the sector median
The sequential margin trend was nearly flat, with operating margin moving up from 20.94% in Q1FY27 to 20.99% in Q2FY27. Arihant's margin was 8.76 percentage points above the 12.23% median for the 188 Consumer Discretionary peers that had reported the same quarter. There is no year-on-year comparison in the reported period.
Shares rose 3.23% after the filing
The stock gained 3.23% on the reaction day, after opening 0.49% below the previous close. Its relative move was +1.65%, while traded volume was 0.99 times the reference level.
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 | ₹133 cr | ₹132 cr | +1.24% |
| Other income | ₹1 cr | ₹2 cr | -5.16% |
| Expenses | ₹105 cr | ₹104 cr | +1.17% |
| Operating profit | ₹28 cr | ₹28 cr | +1.45% |
| Operating margin (%) | 20.99% | 20.94% | — |
| Interest | ₹15 cr | ₹16 cr | -4.63% |
| Depreciation | ₹1 cr | ₹1 cr | -1.39% |
| Profit before tax | ₹14 cr | ₹13 cr | +8.25% |
| Tax | ₹3 cr | ₹3 cr | +9.48% |
| Net profit | ₹11 cr | ₹10 cr | +7.87% |
| EPS (₹) | ₹1.56 | ₹1.39 | +12.23% |
Operating margin of 20.99% compares with a Consumer Discretionary sector median of 12.23% across 188 peers that have reported Q2FY27.
How the stock reacted
| Window | Stock | vs NIFTY |
|---|---|---|
| Results day | +3.23% | +1.65% |
Volume on the results session was 0.99× its 20-day average.
What to watch
- Whether operating margin holds above 20.99% in the next reported quarter.
- Whether interest expense remains below Rs 14.82 cr.
- Whether other income stays below 10.57% of pre-tax profit.