Atlantaa swings to profit as operating margin jumps 24.38 points QoQ
Revenue rose +20.53% while expenses fell -16.74%, but other income contributed 81.08% of pre-tax profit.
Filed 04 Nov 2026, 16:56 IST · after market close · Atlantaa Ltd (ATLANTAA)
Key takeaways
- Consolidated operating margin widened 24.38 percentage points QoQ to 45.59% as revenue rose and expenses fell.
- Net profit turned positive at Rs 5.27 cr from a Rs 5.06 cr loss in Q1FY27.
- Other income accounted for 81.08% of pre-tax profit, making earnings quality an important watchpoint.
Price around the results
Revenue growth and lower costs drove the Q2 turnaround
On a consolidated basis, revenue increased +20.53% QoQ while expenses declined -16.74%, lifting operating profit by +159.38%. That operating improvement reversed the Rs 5.06 cr net loss reported in Q1FY27 into a Rs 5.27 cr profit. The results were filed after market close.
Margin recovery came with lower depreciation, but profit relied on other income
The operating margin expanded 24.38 percentage points to 45.59% because revenue grew while costs fell. Depreciation declined -40.31% QoQ and interest was broadly unchanged at -0.35%, supporting the improvement below the operating line. Other income represented 81.08% of pre-tax profit, while the tax rate increased 2.36 percentage points.
Margin was well above the Industrials peer median
Atlantaa's 45.59% operating margin was 33.35 percentage points above the 12.24% median for 143 Industrials peers that had reported the quarter. The quarter-on-quarter trend shows a sharp recovery from 21.21% in Q1FY27, rather than a multi-quarter trend. There is no market reaction to assess yet because the filing came after the close.
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 | ₹22 cr | ₹18 cr | +20.53% |
| Other income | ₹5 cr | ₹4 cr | +20.36% |
| Expenses | ₹12 cr | ₹14 cr | -16.74% |
| Operating profit | ₹10 cr | ₹4 cr | +159.38% |
| Operating margin (%) | 45.59% | 21.21% | — |
| Interest | ₹3 cr | ₹3 cr | -0.35% |
| Depreciation | ₹6 cr | ₹10 cr | -40.31% |
| Profit before tax | ₹6 cr | ₹-5 cr | — |
| Tax | ₹0 cr | ₹-0 cr | — |
| Net profit | ₹5 cr | ₹-5 cr | — |
| EPS (₹) | ₹0.16 | ₹-0.62 | — |
Operating margin of 45.59% compares with a Industrials sector median of 12.24% across 143 peers that have reported Q2FY27.
What to watch
- Whether operating margin holds above 45.59% after the Q2 expansion.
- Whether expenses remain below the Rs 14.46 cr reported in Q1FY27.
- Whether other income's 81.08% share of pre-tax profit declines.