CMR Green's 4.28% margin trails Industrials peers by 10.22 points
The consolidated quarter produced Rs 68.18 cr of net profit, while the company highlighted seven new plants and diversification into beverage-can recycling.
Filed 10 Aug 2026, 15:17 IST · CMR Green Technologies Ltd (CMRGREEN)
Key takeaways
- CMR Green's consolidated operating margin of 4.28% was 10.22 percentage points below the 14.5% Industrials peer median.
- Interest of Rs 32.44 cr and depreciation of Rs 19.22 cr reduced the Rs 133.59 cr operating profit to Rs 68.18 cr of net profit.
- The presentation says the company has established seven new plants, including projects in low-carbon billets, beverage-can recycling and liquid aluminium.
Price around the results
Operating profit converted weakly into net earnings
The key feature of the consolidated Q1FY27 result was the low conversion of Rs 3,122.73 cr of revenue into Rs 133.59 cr of operating profit, leaving a 4.28% operating margin. Interest of Rs 32.44 cr and depreciation of Rs 19.22 cr then brought profit before tax to Rs 89.66 cr and net profit to Rs 68.18 cr.
Raw materials remain central to the cost base
The presentation flags raw materials as a significant part of overall cost, which is important for a business operating at a 4.28% margin. Other income of Rs 7.73 cr was modest relative to profit before tax of Rs 89.66 cr, so net profit was not chiefly supported by non-operating income.
Margin sits near the bottom of the Industrials peer set
Among 86 Industrials companies that had reported, CMR Green's 4.28% operating margin was 10.22 percentage points below the 14.5% median. It ranked fifth from the bottom, placing the quarter well below the sector comparison rather than in line with the typical peer outcome.
Expansion broadens the operating footprint
The presentation lists seven new plants, including a low-carbon green extrusion-billets plant at Tirupati, a used beverage-can recycling plant for Hindalco Industries in Odisha and a liquid-aluminium plant in Gujarat for a passenger-vehicle manufacturer. Management said it intends to diversify into beverage-can recycling and expects scrap availability to remain optimistic, citing consumption, urbanisation and circular-economy trends.
Q1FY27 at a glance
Consolidated figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q1FY27 |
|---|---|
| Revenue | ₹3,123 cr |
| Other income | ₹8 cr |
| Expenses | ₹2,989 cr |
| Operating profit | ₹134 cr |
| Operating margin (%) | 4.28% |
| Interest | ₹32 cr |
| Depreciation | ₹19 cr |
| Profit before tax | ₹90 cr |
| Tax | ₹21 cr |
| Net profit | ₹68 cr |
| EPS (₹) | ₹2.80 |
Operating margin of 4.28% compares with a Industrials sector median of 14.50% across 86 peers that have reported Q1FY27.
What management said
From the company’s own investor presentation. Each point is checked against the source document before it appears here.
Guidance & outlook
- The company expects scrap availability to remain optimistic, supported by consumption, urbanization and circular economy trends.
Expansion
- The company lists a low-carbon green extrusion billets plant at Tirupati among its new plants.
- The company lists a used beverage can recycling plant for Hindalco Industries at Odisha among its new plants.
- The company lists a liquid aluminium plant in Gujarat for a leading passenger vehicle manufacturer.
- The company intends to diversify into beverage can recycling.
- The company states that it has established seven new plants.
New initiatives
- CMR NLM Eco Aluminium is building a low-carbon billet supply system.
- The company uses strong process controls with ERP, automated MIS and paperless shopfloor systems.
Problems & risks
- Raw materials constitute a significant portion of the company’s overall cost.
What to watch
- Whether consolidated operating margin improves from 4.28%.
- Whether interest remains contained relative to the Rs 133.59 cr operating profit.
- Progress on the seven new plants and the stated move into beverage-can recycling.