Dam Capital's profit rebounds sequentially, but stays 74.04% below year-ago
Revenue rose 81.65% QoQ and lifted margin 25.15 percentage points, but revenue fell 49.33% YoY while expenses declined only 4.37%.
Filed 03 Nov 2026, 19:30 IST · after market close · Dam Capital Advisors Ltd (DAMCAPITAL)
Key takeaways
- Consolidated net profit rebounded to Rs 13.54 cr from Rs 0.15 cr sequentially, but remained 74.04% below the year-ago quarter.
- Revenue grew 81.65% QoQ against a 24.59% rise in expenses, lifting operating margin by 25.15 percentage points to 45.08%.
- Operating margin remained 5.52 percentage points below the 50.6% median for the 79 Financial Services peers that have reported.
Price around the results
Revenue rebound drives the sequential recovery
The consolidated sequential recovery was revenue-led: revenue grew 81.65%, while expenses rose 24.59%, taking operating margin up 25.15 percentage points. That moved profit before tax to Rs 18.42 cr from Rs 0.29 cr in Q1FY27, while net profit rose to Rs 13.54 cr from Rs 0.15 cr. The improvement was not supported by other income, which contributed only 0.05% of pre-tax profit.
Year-on-year decline reflects a much sharper revenue fall
Year on year, revenue fell 49.33% while expenses declined only 4.37%, so costs grew faster than revenue on the comparison and operating margin narrowed 25.82 percentage points. Net profit consequently fell 74.04%, with interest down 0.89% and depreciation up 4.38%. The tax rate was 26.49%, only 0.99 percentage points above last year, so the profit decline was not materially masked by tax.
Margin recovers from the recent trough but remains below peers
Operating margin has moved from 70.90% in Q2FY26 to 46.91% in Q3FY26, 20.64% in Q4FY26, 19.93% in Q1FY27 and 45.08% this quarter. The latest result therefore breaks the recent sequential deterioration, but does not restore last year's level. Dam Capital's margin was 5.52 percentage points below the 50.6% median of the 79 Financial Services peers that have reported.
No immediate market reaction after the after-close filing
The consolidated results were filed after market close, so there is no post-results share-price move to assess yet. In the last seven results reactions, the stock fell five times and rose twice, with a median absolute move of 3.82%, making a negative response more common than a positive one in its recent history.
Q2FY27 at a glance
Consolidated figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q2FY27 | Q1FY27 | QoQ | YoY |
|---|---|---|---|---|
| Revenue | ₹54 cr | ₹30 cr | +81.65% | -49.33% |
| Other income | ₹0 cr | ₹0 cr | -90.91% | — |
| Expenses | ₹30 cr | ₹24 cr | +24.59% | -4.37% |
| Operating profit | ₹24 cr | ₹6 cr | +310.92% | -67.79% |
| Operating margin (%) | 45.08% | 19.93% | — | — |
| Interest | ₹2 cr | ₹2 cr | +2.29% | -0.89% |
| Depreciation | ₹4 cr | ₹4 cr | +6.13% | +4.38% |
| Profit before tax | ₹18 cr | ₹0 cr | +6251.72% | -73.69% |
| Tax | ₹5 cr | ₹0 cr | +3385.71% | -72.66% |
| Net profit | ₹14 cr | ₹0 cr | +8926.67% | -74.04% |
| EPS (₹) | ₹1.92 | ₹0.02 | +9500.00% | -73.98% |
Operating margin of 45.08% compares with a Financial Services sector median of 50.60% across 79 peers that have reported Q2FY27.
What to watch
- Whether operating margin holds above 45.08% after the sequential rebound.
- Whether revenue growth continues to outpace expense growth after the latest +81.65% versus +24.59% QoQ split.
- Whether the tax rate remains near 26.49% rather than returning to the 48.28% recorded in Q1FY27.