Revenue fell 49.46% QoQ as other income drove Gayatri Projects' profit
Costs declined less than revenue, while other income accounted for 86.68% of consolidated profit before tax.
Filed 04 Nov 2026, 14:55 IST · Gayatri Projects Ltd (GAYAPROJ)
Key takeaways
- Consolidated revenue fell 49.46% QoQ, while operating margin narrowed 4.41 percentage points to 13.16% as expenses declined less than revenue.
- Other income contributed 86.68% of profit before tax, making the Rs 47.93 cr consolidated net profit heavily dependent on non-operating income.
- Operating margin was 0.92 percentage points above the 12.24% median for 143 Industrials peers that had reported the quarter.
Price around the results
Sequential revenue slowdown compressed operating leverage
Gayatri Projects' consolidated revenue fell 49.46% QoQ to Rs 115.63 cr, while expenses declined 46.75% to Rs 100.42 cr. Because costs fell less than revenue, operating profit dropped 62.13% and operating margin narrowed 4.41 percentage points to 13.16%.
Other income, not operations, drove reported profit
Other income rose 1,075.27% QoQ to Rs 44.19 cr and accounted for 86.68% of consolidated profit before tax. The tax rate increased from 0% to 5.97%, while interest expense rose 73.85% to Rs 3.79 cr; despite that, net profit increased 29.12% QoQ to Rs 47.93 cr because of the other-income contribution.
Margin stayed above the Industrials peer median
The 13.16% consolidated operating margin was 0.92 percentage points above the 12.24% median among 143 Industrials companies that had reported the same quarter. Sequentially, however, margin moved down from 17.57%, marking a weaker quarter on operating conversion even as reported profit increased.
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 | ₹116 cr | ₹229 cr | -49.46% |
| Other income | ₹44 cr | ₹4 cr | +1075.27% |
| Expenses | ₹100 cr | ₹189 cr | -46.75% |
| Operating profit | ₹15 cr | ₹40 cr | -62.13% |
| Operating margin (%) | 13.16% | 17.57% | — |
| Interest | ₹4 cr | ₹2 cr | +73.85% |
| Depreciation | ₹5 cr | ₹5 cr | -0.21% |
| Profit before tax | ₹51 cr | ₹37 cr | +37.34% |
| Tax | ₹3 cr | ₹0 cr | — |
| Net profit | ₹48 cr | ₹37 cr | +29.12% |
| EPS (₹) | ₹3.09 | ₹2.36 | +30.93% |
Operating margin of 13.16% compares with a Industrials sector median of 12.24% across 143 peers that have reported Q2FY27.
What to watch
- Whether operating margin recovers from 13.16% after the 4.41-percentage-point QoQ decline.
- Whether other income's contribution to profit before tax falls from 86.68%.
- Whether interest expense reverses from its 73.85% QoQ increase.