Bharat Gear's Rs 8.12 cr operating profit yielded only Rs 0.15 cr net profit
Interest and depreciation absorbed most operating profit, while other income exceeded profit before tax in the standalone quarter.
Filed 03 Aug 2026, 17:33 IST · after market close · BHARATGEAR (BHARATGEAR)
Key takeaways
- Bharat Gear reported standalone net profit of Rs 0.15 cr in Q1FY27 despite operating profit of Rs 8.12 cr.
- Interest of Rs 3.25 cr and depreciation of Rs 5.08 cr reduced operating profit to profit before tax of Rs 0.20 cr.
- Other income of Rs 0.41 cr exceeded profit before tax, making the quarter's reported earnings quality weak.
Operating profit did not carry through to earnings
Bharat Gear's standalone Q1FY27 revenue was Rs 215.65 cr, against expenses of Rs 207.53 cr, leaving operating profit of Rs 8.12 cr and an operating margin of 3.77%. The earnings conversion was weak: profit before tax was only Rs 0.20 cr and net profit was Rs 0.15 cr.
Interest and depreciation consumed the operating surplus
Interest expense of Rs 3.25 cr and depreciation of Rs 5.08 cr substantially reduced the Rs 8.12 cr operating profit before tax. Other income of Rs 0.41 cr was higher than profit before tax, while the tax rate was 25.34%; this means reported profit depended partly on non-operating income.
Results were filed after market close
The standalone results were filed on 03 Aug 2026 at 17:33 IST, after market close. There is no quarter-on-quarter or year-on-year comparison in the reported results, so the direction of revenue, margin and profit cannot be assessed from this release.
Q1FY27 at a glance
Standalone figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q1FY27 |
|---|---|
| Revenue | ₹216 cr |
| Other income | ₹0 cr |
| Expenses | ₹208 cr |
| Operating profit | ₹8 cr |
| Operating margin (%) | 3.77% |
| Interest | ₹3 cr |
| Depreciation | ₹5 cr |
| Profit before tax | ₹0 cr |
| Tax | ₹0 cr |
| Net profit | ₹0 cr |
| EPS (₹) | ₹0.10 |
What to watch
- Whether operating margin moves from the Q1FY27 base of 3.77%.
- Whether profit before tax improves from Rs 0.20 cr despite interest expense of Rs 3.25 cr.
- Whether net profit remains supported by other income of Rs 0.41 cr.