Industrials · Q2FY27 · Consolidated

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.

By Ashutosh

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 itemQ2FY27Q1FY27QoQ
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.