Consumer Discretionary · Q1FY27 · Consolidated

Embassy Developments posts Rs 234.4 cr loss as costs overwhelm revenue

The consolidated operating margin fell to -60.28%, while Rs 118.57 cr of interest deepened the pre-tax loss.

By Ashutosh

Filed 10 Aug 2026, 21:28 IST · after market close · Embassy Developments Ltd (EMBDL)

Key takeaways

  • Embassy Developments reported a consolidated net loss of Rs 234.4 cr in Q1FY27 as expenses of Rs 347.41 cr exceeded revenue of Rs 216.75 cr.
  • Operating margin was -60.28%, with interest of Rs 118.57 cr adding to the operating loss.
  • The company ranked first from the bottom among 137 reported Consumer Discretionary peers, with a margin 73.58 percentage points below the 13.3% sector median.

Price around the results

Revenue did not cover the cost base

Embassy Developments reported consolidated revenue of Rs 216.75 cr against expenses of Rs 347.41 cr, producing an operating loss of Rs 130.66 cr. Interest of Rs 118.57 cr and depreciation of Rs 12.98 cr took the pre-tax loss to Rs 234.11 cr. Other income of Rs 28.09 cr did not offset these charges, and the company reported a net loss of Rs 234.4 cr, or EPS of Rs -1.69. The results were filed after market close.

Operating margin was deeply negative

Expenses were Rs 130.66 cr above revenue, which explains the -60.28% operating margin. Interest was also a material charge at Rs 118.57 cr, further widening the loss below operating profit. Tax of Rs 0.29 cr had little effect on the reported net result, with the tax rate at -0.12%.

Lowest margin among 137 reported peers

Embassy Developments' -60.28% operating margin was 73.58 percentage points below the 13.3% median for the 137 Consumer Discretionary peers that had reported. It ranked first from the bottom in that comparison. With no sequential or year-on-year comparison provided, the quarter's cost coverage and financing burden are the clearest indicators of performance.

Q1FY27 at a glance

Consolidated figures as filed with NSE — cross-checked against an independent source.

Line itemQ1FY27
Revenue₹217 cr
Other income₹28 cr
Expenses₹347 cr
Operating profit₹-131 cr
Operating margin (%)-60.28%
Interest₹119 cr
Depreciation₹13 cr
Profit before tax₹-234 cr
Tax₹0 cr
Net profit₹-234 cr
EPS (₹)₹-1.69

Operating margin of -60.28% compares with a Consumer Discretionary sector median of 13.30% across 137 peers that have reported Q1FY27.

What to watch

  • Whether revenue moves closer to covering expenses of Rs 347.41 cr.
  • Whether operating margin improves from -60.28%.
  • Whether interest remains around the Rs 118.57 cr level.