Best Agrolife's operating margin widens 5.07 percentage points QoQ
Revenue grew +2.76% while expenses fell -3.72%, lifting operating profit +29.31% and net profit +41.35% sequentially.
Filed 30 Oct 2026, 18:36 IST · after market close · Best Agrolife Ltd (BESTAGRO)
Key takeaways
- Consolidated Q2FY27 net profit rose +41.35% QoQ as expenses fell -3.72% while revenue grew +2.76%.
- Operating margin expanded 5.07 percentage points QoQ to 24.69%, putting it 9.36 percentage points above the 54-peer sector median.
- Profit quality was not materially supported by other income, which contributed 1.87% of pre-tax profit, while the tax rate rose 0.27 percentage points.
Price around the results
Lower expenses drove the Q2 profit increase
Best Agrolife’s consolidated revenue rose +2.76% QoQ to Rs 407.12 cr, while expenses declined -3.72% to Rs 306.61 cr. That cost movement lifted operating profit +29.31% and net profit +41.35% to Rs 57.46 cr. The company filed the results after market close on 30 Oct 2026.
Margin widened as costs moved below revenue
With revenue rising and expenses falling, operating margin increased 5.07 percentage points QoQ to 24.69%. Interest expense declined -2.79%, while depreciation fell -0.61%, adding modest support below the operating line. Other income was only 1.87% of pre-tax profit, and the 0.27 percentage-point rise in the tax rate means the net-profit gain was not driven by a lower tax charge.
Margin was above the reported commodities peer median
Best Agrolife’s operating margin was 9.36 percentage points above the 15.33% median for the 54 Commodities peers that had reported the same quarter. Sequentially, margin improved from 19.62% in Q1FY27 to 24.69% in Q2FY27, reversing the weaker cost position seen in the prior quarter.
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 | ₹407 cr | ₹396 cr | +2.76% |
| Other income | ₹1 cr | ₹2 cr | -19.44% |
| Expenses | ₹307 cr | ₹318 cr | -3.72% |
| Operating profit | ₹101 cr | ₹78 cr | +29.31% |
| Operating margin (%) | 24.69% | 19.62% | — |
| Interest | ₹15 cr | ₹15 cr | -2.79% |
| Depreciation | ₹10 cr | ₹10 cr | -0.61% |
| Profit before tax | ₹78 cr | ₹55 cr | +41.88% |
| Tax | ₹20 cr | ₹14 cr | +43.39% |
| Net profit | ₹57 cr | ₹41 cr | +41.35% |
| EPS (₹) | ₹1.62 | ₹1.15 | +40.87% |
Operating margin of 24.69% compares with a Commodities sector median of 15.33% across 54 peers that have reported Q2FY27.
What to watch
- Whether operating margin holds above 24.69% after its 5.07 percentage-point QoQ expansion.
- Whether expenses continue to grow more slowly than revenue after revenue rose +2.76% and expenses fell -3.72% QoQ.
- Whether net profit growth remains ahead of revenue growth after +41.35% versus +2.76% QoQ.