Ashoka Metcast slips into operating loss as costs jump 43.04% QoQ
Net profit was supported by other income, which exceeded reported profit before tax, while operating margin ranked last among 92 reported sector peers.
Filed 03 Nov 2026, 17:37 IST · after market close · Ashoka Metcast Ltd (ASHOKAMET)
Key takeaways
- Consolidated operating profit moved to a loss of Rs 3.26 cr as expenses rose +43.04% while revenue declined -11.06% QoQ.
- Net profit was Rs 3.07 cr, but other income accounted for 220.70% of profit before tax.
- Operating margin fell 71.89 percentage points to -89.95%, versus a 14.18% median for 92 reported commodities peers.
Price around the results
Revenue fell as the operating loss widened
Consolidated revenue declined -11.06% QoQ to Rs 3.62 cr, while operating profit worsened from a loss of Rs 0.74 cr to Rs 3.26 cr. The resulting operating margin declined 71.89 percentage points to -89.95%.
Expense growth overwhelmed the revenue base
Expenses increased +43.04% QoQ even as revenue fell, which explains the sharp margin deterioration. Interest expense rose +6.06%, while the tax rate declined 2.01 percentage points to 2.39%.
Other income drove reported profit
Other income rose +49.68% QoQ to Rs 6.93 cr and represented 220.70% of profit before tax of Rs 3.14 cr. This means the Rs 3.07 cr consolidated net profit did not come from operating earnings.
Margin was far below the reported commodities peer median
Ashoka Metcast's -89.95% operating margin was 104.13 percentage points below the 14.18% median among 92 commodities peers that had reported. It ranked first from the bottom on this measure. The results were filed after market close, so there is no market reaction to assess yet.
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 | ₹4 cr | ₹4 cr | -11.06% |
| Other income | ₹7 cr | ₹5 cr | +49.68% |
| Expenses | ₹7 cr | ₹5 cr | +43.04% |
| Operating profit | ₹-3 cr | ₹-1 cr | -340.54% |
| Operating margin (%) | -89.95% | -18.06% | — |
| Interest | ₹0 cr | ₹0 cr | +6.06% |
| Depreciation | ₹0 cr | ₹0 cr | +0.00% |
| Profit before tax | ₹3 cr | ₹3 cr | -7.10% |
| Tax | ₹0 cr | ₹0 cr | -53.33% |
| Net profit | ₹3 cr | ₹3 cr | -4.95% |
| EPS (₹) | ₹1.23 | ₹1.29 | -4.65% |
Operating margin of -89.95% compares with a Commodities sector median of 14.18% across 92 peers that have reported Q2FY27.
What to watch
- Whether operating margin recovers from -89.95% next quarter.
- Whether expense growth moderates from +43.04% QoQ.
- Whether other income remains as high as 220.70% of profit before tax.