Gokul Agro's sales jump, but faster costs squeeze operating margin
Sequential profit rose 19.21%, though higher interest and tax costs limited the conversion of revenue growth into earnings.
Filed 28 Oct 2026, 17:12 IST · after market close · Gokul Agro Resources Ltd (GOKULAGRO)
Key takeaways
- Consolidated revenue rose 41.63% sequentially, but expenses grew faster at 42.11%, narrowing operating margin by 0.32 percentage points.
- Consolidated net profit increased 19.21% sequentially as interest costs rose 48.33% and the tax rate increased 2.67 percentage points.
- The 3.54% operating margin was 8.93 percentage points below the 12.47% median of 19 reported FMCG peers.
Price around the results
Revenue grew faster, but not enough to protect margin
Consolidated revenue increased 41.63% sequentially, while operating profit grew 29.80%, showing weaker profit conversion as scale increased. With no year-on-year comparison provided, the sequential move is the clearest read on current momentum.
Higher interest and tax costs weighed on earnings
Interest expense rose 48.33% sequentially, faster than revenue, and was a larger drag on profit in Q2FY27. The tax rate also increased by 2.67 percentage points to 25.05%, limiting the benefit from the operating profit increase. Other income contributed 5.59% of pre-tax profit, so reported earnings were not entirely generated by operations.
Margin remains near the bottom of the FMCG peer set
Gokul Agro's 3.54% consolidated operating margin was 8.93 percentage points below the 12.47% median for the 19 FMCG companies that had reported the quarter, placing it fifth from the bottom. The results were filed after market close, so there is no market reaction to assess yet.
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 | ₹7,481 cr | ₹5,282 cr | +41.63% |
| Other income | ₹11 cr | ₹13 cr | -14.30% |
| Expenses | ₹7,216 cr | ₹5,078 cr | +42.11% |
| Operating profit | ₹265 cr | ₹204 cr | +29.80% |
| Operating margin (%) | 3.54% | 3.86% | — |
| Interest | ₹66 cr | ₹44 cr | +48.33% |
| Depreciation | ₹15 cr | ₹14 cr | +3.73% |
| Profit before tax | ₹195 cr | ₹158 cr | +23.47% |
| Tax | ₹49 cr | ₹35 cr | +38.25% |
| Net profit | ₹146 cr | ₹123 cr | +19.21% |
| EPS (₹) | ₹4.95 | ₹4.16 | +18.99% |
Operating margin of 3.54% compares with a Fast Moving Consumer Goods sector median of 12.47% across 19 peers that have reported Q2FY27.
What to watch
- Whether operating margin recovers from 3.54% after the 0.32-percentage-point sequential decline.
- Whether interest-cost growth moderates from 48.33% sequentially.
- Whether the tax rate moves back from 25.05% toward the Q1FY27 level of 22.38%.