Bosch revenue grows, but faster sequential costs cut operating margin
YoY margin edged up as costs grew slightly slower than sales, while other income supplied 23.69% of profit before tax.
Filed 06 Nov 2026, 14:35 IST · Bosch Ltd (BOSCHLTD)
Key takeaways
- Standalone revenue grew 28.56% YoY, but operating margin improved only 0.15 percentage points as costs kept pace with sales.
- Sequentially, expenses grew 6.72% against 5.52% revenue growth, narrowing operating margin by 0.98 percentage points.
- Other income accounted for 23.69% of profit before tax, making it a material part of reported earnings.
Price around the results
Sales growth translated into higher operating profit
Bosch Ltd's standalone revenue grew 28.56% YoY, and operating profit rose 30.09%, because expenses grew slightly slower than revenue at 28.33%. Profit before tax grew 23.44%, below operating profit growth, as interest rose 50.00% and depreciation increased 17.41% YoY. Net profit growth was further moderated to 21.73%.
Sequential cost growth weakened the margin
QoQ, revenue increased 5.52%, but expenses rose 6.72%, so operating margin narrowed 0.98 percentage points and operating profit fell 1.86%. Other income contributed 23.69% of profit before tax, making it a material support to reported earnings. The tax rate changed by just -0.07 percentage points sequentially, while rising 1.06 percentage points YoY, so tax was not a major source of profit growth.
Margin remains above peers but has declined for two quarters
Operating margin has declined for two straight quarters, from 14.04% in Q4FY26 to 14.00% in Q1FY27 and 13.02% in Q2FY27. It remained 1.46 percentage points above the 11.56% median for the 266 Consumer Discretionary peers that had reported.
Past result reactions have mostly been negative
A post-result share-price reaction is not yet available. Across the eight prior result reactions, the stock rose twice and fell six times, with a median absolute move of 1.95%.
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 | YoY |
|---|---|---|---|---|
| Revenue | ₹6,164 cr | ₹5,842 cr | +5.52% | +28.56% |
| Other income | ₹214 cr | ₹226 cr | -5.36% | +1.76% |
| Expenses | ₹5,361 cr | ₹5,024 cr | +6.72% | +28.33% |
| Operating profit | ₹803 cr | ₹818 cr | -1.86% | +30.09% |
| Operating margin (%) | 13.02% | 14.00% | — | — |
| Interest | ₹6 cr | ₹6 cr | +3.28% | +50.00% |
| Depreciation | ₹109 cr | ₹99 cr | +9.81% | +17.41% |
| Profit before tax | ₹902 cr | ₹939 cr | -3.96% | +23.44% |
| Tax | ₹227 cr | ₹237 cr | -4.22% | +28.85% |
| Net profit | ₹675 cr | ₹702 cr | -3.88% | +21.73% |
| EPS (₹) | ₹228.72 | ₹237.95 | -3.88% | +21.73% |
Operating margin of 13.02% compares with a Consumer Discretionary sector median of 11.56% across 266 peers that have reported Q2FY27.
How the stock reacted
| Window | Stock | vs NIFTY |
|---|---|---|
| Results day | -3.38% | -5.39% |
Volume on the results session was 5.19× its 20-day average.
What to watch
- Whether operating margin holds above 13.02% after two consecutive quarterly declines.
- Whether expense growth falls below revenue growth, reversing the current 6.72% versus 5.52% gap.
- Whether other income's 23.69% contribution to profit before tax decreases.