Bharat Wire Ropes profit rises, but faster costs trim operating margin
Standalone revenue grew 38.82% sequentially, while the tax rate increased 1.72 percentage points and operating margin fell to 18.49%.
Filed 02 Nov 2026, 19:41 IST · after market close · Bharat Wire Ropes Ltd (BHARATWIRE)
Key takeaways
- Standalone revenue rose 38.82% QoQ, but expenses grew faster at 40.71%, narrowing operating margin by 1.09 percentage points to 18.49%.
- Net profit increased 42.60% QoQ despite a 1.72 percentage-point rise in the tax rate, while other income contributed only 0.66% of pre-tax profit.
- Operating margin of 18.49% was 6.96 percentage points above the 11.53% median for 88 Industrials peers that had reported.
Price around the results
Revenue momentum lifted quarterly profit
Bharat Wire Ropes reported standalone revenue of Rs 181.01 cr in Q2FY27, up 38.82% from Q1FY27. Operating profit rose 31.06% and net profit increased 42.60% sequentially, with profit before tax up 46.07%. The results were filed after market close on 02 Nov 2026.
Costs outpaced revenue and narrowed margin
Expenses grew 40.71% QoQ against 38.82% revenue growth, reducing operating margin by 1.09 percentage points to 18.49%. Interest expense increased 2.90%, while depreciation rose 1.22%, so the margin pressure came mainly from the faster increase in operating expenses. Net profit quality was not materially supported by other income, which accounted for just 0.66% of pre-tax profit.
Margin remains above the Industrials peer median
The company's 18.49% operating margin was 6.96 percentage points above the 11.53% median among 88 Industrials companies that had reported the same quarter. Sequential momentum was positive for revenue and profit, but margin direction weakened from 19.58% in Q1FY27 to 18.49% in Q2FY27. The higher tax rate, at 27.70% versus 25.98% in the previous quarter, limited the conversion of pre-tax profit into net profit.
Q2FY27 at a glance
Standalone figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q2FY27 | Q1FY27 | QoQ |
|---|---|---|---|
| Revenue | ₹181 cr | ₹130 cr | +38.82% |
| Other income | ₹0 cr | ₹0 cr | -51.52% |
| Expenses | ₹148 cr | ₹105 cr | +40.71% |
| Operating profit | ₹33 cr | ₹26 cr | +31.06% |
| Operating margin (%) | 18.49% | 19.58% | — |
| Interest | ₹3 cr | ₹3 cr | +2.90% |
| Depreciation | ₹7 cr | ₹7 cr | +1.22% |
| Profit before tax | ₹24 cr | ₹17 cr | +46.07% |
| Tax | ₹7 cr | ₹4 cr | +55.71% |
| Net profit | ₹17 cr | ₹12 cr | +42.60% |
| EPS (₹) | ₹2.54 | ₹1.79 | +41.90% |
Operating margin of 18.49% compares with a Industrials sector median of 11.53% across 88 peers that have reported Q2FY27.
What to watch
- Whether operating margin recovers from 18.49% after the 1.09 percentage-point sequential decline.
- Whether expense growth falls below the Q2FY27 rate of 40.71% QoQ.
- Whether the tax rate moves back from 27.70% toward the Q1FY27 level of 25.98%.