BSL profit jumps as tax rate falls, while operating margin barely improves
Revenue rose +13.91% QoQ and expenses +13.73%, but a lower tax rate did much of the work below operating profit.
Filed 13 Nov 2026, 16:57 IST · after market close · BSL Ltd (BSL)
Key takeaways
- Standalone net profit rose +81.40% QoQ to Rs 3.12 cr, helped by a 7.17 percentage-point fall in the tax rate.
- Revenue grew +13.91% QoQ while expenses grew +13.73%, widening operating margin by 0.14 percentage points to 8.56%.
- BSL's 8.56% operating margin was 2.64 percentage points below the 11.20% median for 344 Consumer Discretionary peers.
Price around the results
Profit growth outpaced operating improvement
BSL's standalone profit before tax rose +65.30% QoQ, while net profit increased +81.40% to Rs 3.12 cr. Interest expense grew +10.20%, which limited the conversion of operating profit into pre-tax profit. Other income contributed only 3.04% of pre-tax profit, so it was not a major source of earnings.
Costs tracked revenue, leaving margin broadly flat
Revenue grew +13.91% QoQ and expenses grew slightly slower at +13.73%, resulting in a 0.14 percentage-point improvement in operating margin. Operating margin at 8.56% remained below the 11.20% median among 344 reported Consumer Discretionary peers.
The tax rate amplified the net-profit increase
The tax rate fell to 14.02% from 21.19% in Q1FY27, a decline of 7.17 percentage points that helped net profit grow faster than pre-tax profit. Depreciation was almost unchanged sequentially, rising +0.66%, so the main below-operating-profit pressures were the higher interest charge and the tax-rate comparison.
Results were filed after market close
BSL filed these standalone results after market close on 13 November 2026. The next comparison to track is whether the modest 0.14 percentage-point operating-margin improvement broadens beyond the current 8.56% level.
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 | ₹193 cr | ₹170 cr | +13.91% |
| Other income | ₹0 cr | ₹0 cr | -8.33% |
| Expenses | ₹177 cr | ₹155 cr | +13.73% |
| Operating profit | ₹17 cr | ₹14 cr | +15.82% |
| Operating margin (%) | 8.56% | 8.42% | — |
| Interest | ₹8 cr | ₹8 cr | +10.20% |
| Depreciation | ₹5 cr | ₹5 cr | +0.66% |
| Profit before tax | ₹4 cr | ₹2 cr | +65.30% |
| Tax | ₹1 cr | ₹0 cr | +10.87% |
| Net profit | ₹3 cr | ₹2 cr | +81.40% |
| EPS (₹) | ₹3.03 | ₹1.67 | +81.44% |
Operating margin of 8.56% compares with a Consumer Discretionary sector median of 11.20% across 344 peers that have reported Q2FY27.
What to watch
- Whether operating margin holds above 8.56% after its 0.14 percentage-point QoQ improvement.
- Whether interest growth moderates from +10.20% QoQ.
- Whether the tax rate remains near 14.02% rather than returning to 21.19%.