Revenue nearly tripled, but costs compressed GKSL's operating margin
Consolidated operating margin fell 12.81 percentage points YoY as expenses grew faster than revenue, despite a 2.39-point QoQ recovery.
Filed 04 Nov 2026, 18:38 IST · after market close · Gujarat Kidney & Super Speciality Ltd (GKSL)
Key takeaways
- Consolidated revenue rose +194.59% YoY to Rs 38.09 cr, but expenses grew +256.85%, cutting operating margin by 12.81 percentage points.
- QoQ momentum improved as revenue grew +11.08% against expense growth of +7.56%, lifting operating margin by 2.39 percentage points.
- Net profit grew +129.17% YoY to Rs 6.6 cr, helped by a 5.14-percentage-point fall in the tax rate, while other income was 6.84% of pre-tax profit.
Price around the results
Revenue scaled, but costs grew faster year on year
Gujarat Kidney & Super Speciality's consolidated revenue rose +194.59% YoY to Rs 38.09 cr, while operating profit increased a slower +99.61% to Rs 10.22 cr. Expenses grew +256.85%, outpacing revenue and reducing operating margin by 12.81 percentage points to 26.82%. Sequentially, revenue grew +11.08% and operating profit rose +21.96%, showing better near-term operating momentum.
The YoY profit increase included tax-rate support
The tax rate fell 5.14 percentage points YoY to 23.50%, which supported the +129.17% increase in consolidated net profit to Rs 6.6 cr. Interest expense also rose +135.71% YoY, adding to the pressure below operating profit. Other income accounted for 6.84% of pre-tax profit, so it was a contributor but not the main earnings driver.
Margin recovered from Q1 but remains below last year
Operating margin improved from 24.43% in Q1FY27 to 26.82% in Q2FY27 because revenue growth exceeded expense growth sequentially. It remains well below the 39.63% recorded in Q2FY26, marking a partial recovery after the prior-year decline. The margin was 5.42 percentage points above the 21.40% median for 69 healthcare peers that had reported the quarter.
Results were filed after market close
The consolidated results were filed at 18:38 IST on 4 November 2026, after market close. There is therefore no same-session price reaction to assess.
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 | YoY |
|---|---|---|---|---|
| Revenue | ₹38 cr | ₹34 cr | +11.08% | +194.59% |
| Other income | ₹1 cr | ₹1 cr | -14.49% | +555.56% |
| Expenses | ₹28 cr | ₹26 cr | +7.56% | +256.85% |
| Operating profit | ₹10 cr | ₹8 cr | +21.96% | +99.61% |
| Operating margin (%) | 26.82% | 24.43% | — | — |
| Interest | ₹1 cr | ₹1 cr | +0.00% | +135.71% |
| Depreciation | ₹2 cr | ₹1 cr | +5.56% | +68.89% |
| Profit before tax | ₹9 cr | ₹7 cr | +23.85% | +113.90% |
| Tax | ₹2 cr | ₹2 cr | +23.78% | +76.52% |
| Net profit | ₹7 cr | ₹5 cr | +24.06% | +129.17% |
| EPS (₹) | ₹0.74 | ₹0.66 | +12.12% | +42.31% |
Operating margin of 26.82% compares with a Healthcare sector median of 21.40% across 69 peers that have reported Q2FY27.
What to watch
- Whether operating margin holds above 26.82% after the QoQ recovery.
- Whether expense growth remains below revenue growth, compared with +7.56% versus +11.08% QoQ in Q2FY27.
- Whether the tax rate stays close to 23.50% after falling 5.14 percentage points YoY.