Revenue jumps 46.97%, but faster costs squeeze Dynemic margin
Operating profit rose 38.72% QoQ, but higher costs, interest and tax reduced the flow-through to net profit.
Filed 30 Oct 2026, 13:44 IST · Dynemic Products Ltd (DYNPRO)
Key takeaways
- Consolidated revenue rose 46.97% QoQ, but expenses grew faster at 48.33%, narrowing operating margin by 0.8 percentage points.
- Net profit increased 26.20% QoQ even as the tax rate rose 16.62 percentage points to 40.76%.
- Dynemic's 13.45% operating margin was 1.88 percentage points below the 15.33% median for 54 reported commodities peers.
Price around the results
Revenue growth did not fully reach profit
On a consolidated basis, revenue grew 46.97% QoQ, while operating profit rose 38.72%, showing weaker conversion of the higher sales base. Net profit increased 26.20% to Rs 6.55 cr, below the pace of operating-profit growth because interest rose 17.79% and the tax rate increased by 16.62 percentage points.
Costs and tax were the main restraints
Other income contributed only 0.9% of pre-tax profit, so it did not materially support earnings quality. The higher 40.76% tax rate was the larger pressure below operating profit.
Margin trails the reported commodities peer median
Dynemic's 13.45% operating margin was 1.88 percentage points below the 15.33% median among 54 commodities peers that had reported the quarter. Sequentially, this was a second-quarter comparison against Q1FY27, when margin was 14.25%; the available trend therefore shows a 0.8-percentage-point decline, but does not establish a longer run of contraction.
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 |
|---|---|---|---|
| Revenue | ₹127 cr | ₹86 cr | +46.97% |
| Other income | ₹0 cr | ₹0 cr | -67.74% |
| Expenses | ₹110 cr | ₹74 cr | +48.33% |
| Operating profit | ₹17 cr | ₹12 cr | +38.72% |
| Operating margin (%) | 13.45% | 14.25% | — |
| Interest | ₹2 cr | ₹2 cr | +17.79% |
| Depreciation | ₹4 cr | ₹4 cr | +1.45% |
| Profit before tax | ₹11 cr | ₹7 cr | +61.46% |
| Tax | ₹5 cr | ₹2 cr | +173.33% |
| Net profit | ₹7 cr | ₹5 cr | +26.20% |
| EPS (₹) | ₹5.27 | ₹4.18 | +26.08% |
Operating margin of 13.45% compares with a Commodities sector median of 15.33% across 54 peers that have reported Q2FY27.
What to watch
- Whether operating margin recovers from 13.45% after expenses grew 48.33% QoQ.
- Whether the tax rate moves down from 40.76% after rising 16.62 percentage points QoQ.
- Whether interest growth moderates from 17.79% QoQ.