Gaja's margin swings from -13.17% to 68.00% in one quarter
Revenue rose 145.78% sequentially as expenses fell, while other income and a tax credit made a material contribution to profit.
Filed 04 Nov 2026, 10:23 IST · Gaja Alternative Asset Management Ltd (GAJA)
Key takeaways
- Consolidated operating margin rose 81.17 percentage points to 68.00% as revenue grew 145.78% sequentially while expenses fell 30.51%.
- Net profit rose 137.55% sequentially, but 53.30% of pre-tax profit came from other income and a tax rate of -27.31% also lifted earnings.
- Gaja's 68.00% operating margin was 16.34 percentage points above the 51.66% median for 93 Financial Services peers that reported the quarter.
Price around the results
Revenue rebound restored operating profit
Gaja reported consolidated revenue growth of 145.78% sequentially, taking operating profit from a loss of Rs 2.06 cr to Rs 26.14 cr. The operating margin consequently improved by 81.17 percentage points, from -13.17% in Q1FY27 to 68.00% in Q2FY27.
Lower costs drove the margin, but profit quality was mixed
Expenses fell 30.51% sequentially even as revenue rose 145.78%, so costs did not grow faster than revenue and operating leverage drove the margin recovery. Other income declined 25.20% to Rs 27.07 cr, but still contributed 53.30% of pre-tax profit. The tax rate moved from 14.76% to -27.31%, indicating a tax credit that further supported the 137.55% sequential increase in net profit.
Margin sits above the reported peer median
Gaja's 68.00% operating margin was 16.34 percentage points above the 51.66% median for 93 Financial Services peers reporting the same quarter. Within Gaja's available trend, this is a move from a -13.17% margin in Q1FY27 to 68.00% in Q2FY27; the data does not establish a longer multi-quarter direction.
Management flags new funds and strategies
Management said Fund V and Eastgate Secondaries Fund I are new funds in its pipeline. The company also said it is developing investment strategies beyond its flagship private-equity strategy. These comments point to expansion of the platform beyond the current flagship approach, but they are company statements rather than reported results for the quarter.
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 | ₹38 cr | ₹16 cr | +145.78% |
| Other income | ₹27 cr | ₹36 cr | -25.20% |
| Expenses | ₹12 cr | ₹18 cr | -30.51% |
| Operating profit | ₹26 cr | ₹-2 cr | — |
| Operating margin (%) | 68.00% | -13.17% | — |
| Interest | ₹1 cr | ₹1 cr | -12.98% |
| Depreciation | ₹1 cr | ₹1 cr | +42.70% |
| Profit before tax | ₹51 cr | ₹32 cr | +59.07% |
| Tax | ₹-14 cr | ₹5 cr | — |
| Net profit | ₹65 cr | ₹27 cr | +137.55% |
| EPS (₹) | ₹5.06 | ₹9.50 | -46.74% |
Operating margin of 68.00% compares with a Financial Services sector median of 51.66% across 93 peers that have reported Q2FY27.
What management said
From the company’s own investor presentation. Each point is checked against the source document before it appears here.
Expansion
- Gaja has identified Fund V and Eastgate Secondaries Fund I as new funds in its pipeline.
New initiatives
- The company says it is developing new investment strategies beyond its flagship private-equity strategy.
What to watch
- Whether consolidated operating margin holds above 68.00% after the 81.17-percentage-point sequential recovery.
- Whether other income remains a material contributor after accounting for 53.30% of pre-tax profit.
- Whether the tax rate stays below 0% after the reported -27.31% rate in Q2FY27.