Control Print margin beats IT peer median, but stock slips 1.36%
The consolidated quarter produced a 19.89% operating margin, while a 45.51% tax rate limited the conversion of pre-tax profit into net profit.
Filed 28 Oct 2026, 13:43 IST · Control Print Ltd (CONTROLPR)
Key takeaways
- Consolidated operating margin was 19.89%, 2.10 percentage points above the 17.79% median for 31 reported IT peers.
- Net profit was Rs 13.13 cr after a 45.51% tax rate, leaving tax as a major drag below pre-tax profit.
- The stock fell 1.36% on the results date as trading volume reached 3.88 times normal.
Price around the results
Operating profitability led the quarter
Control Print reported consolidated revenue of Rs 144.22 cr and operating profit of Rs 28.69 cr, giving the quarter a 19.89% operating margin. That margin was 2.10 percentage points above the 17.79% median among 31 Information Technology peers that had reported the same quarter. The peer comparison points to operating profitability, rather than scale alone, as the clearest positive feature of the print.
Tax weighed on profit conversion
Expenses of Rs 115.53 cr left operating profit at Rs 28.69 cr, while interest and depreciation further reduced profit before tax to Rs 24.09 cr. Other income of Rs 1.71 cr was small relative to pre-tax profit, so reported earnings were not primarily dependent on that line. The 45.51% tax rate was a significant drag on conversion to net profit of Rs 13.13 cr.
Negative market response despite peer-leading margin
The stock declined 1.36% on 28 October, the results date, while volume was 3.88 times normal. The reaction was negative even though the company's operating margin was above the reported sector median. With no sequential or year-on-year comparison in the current release, the quarter's multi-quarter direction cannot be established from these results alone.
Q2FY27 at a glance
Consolidated figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q2FY27 |
|---|---|
| Revenue | ₹144 cr |
| Other income | ₹2 cr |
| Expenses | ₹116 cr |
| Operating profit | ₹29 cr |
| Operating margin (%) | 19.89% |
| Interest | ₹1 cr |
| Depreciation | ₹5 cr |
| Profit before tax | ₹24 cr |
| Tax | ₹11 cr |
| Net profit | ₹13 cr |
| EPS (₹) | ₹8.21 |
Operating margin of 19.89% compares with a Information Technology sector median of 17.79% across 31 peers that have reported Q2FY27.
How the stock reacted
| Window | Stock | vs NIFTY |
|---|---|---|
| Results day | -1.36% | -1.14% |
Volume on the results session was 3.88× its 20-day average.
What to watch
- Whether consolidated operating margin remains above 19.89%.
- Whether the tax rate moves away from 45.51% as profit converts into net profit.
- Whether other income remains close to Rs 1.71 cr rather than becoming a larger earnings contributor.