Costs outpaced revenue, slicing Gulf Petro’s operating margin by 6.16 points
Revenue rose 47.94% QoQ, but operating profit fell 25.92% and net profit fell 28.81% as expenses grew 58.32%.
Filed 27 Oct 2026, 14:49 IST · GULFPETRO (GULFPETRO)
Key takeaways
- Consolidated operating margin fell 6.16 percentage points QoQ as expenses grew 58.32%, faster than revenue's 47.94% rise.
- Net profit declined 28.81% QoQ despite higher revenue, as operating profit fell 25.92% and interest expense rose 76.12%.
- Other income contributed 3.51% of pre-tax profit, while the tax rate was nearly unchanged, down 0.04 percentage points QoQ.
Q2FY27 revenue growth did not reach profit
GulfPetro’s consolidated revenue rose 47.94% sequentially, but the additional sales did not translate into operating profit, which declined 25.92%. Net profit fell 28.81% to Rs 14.65, while EPS dropped 28.96% to Rs 2.87.
Costs and interest drove the earnings decline
Interest expense rose 76.12%, adding pressure below operating profit. Other income was limited to 3.51% of pre-tax profit, and the 0.04-percentage-point fall in the tax rate did little to offset the operating squeeze.
The quarter marks a sharp sequential reversal
Compared with Q1FY27, revenue increased from 230.33 to 340.75, but operating profit fell from 28.40 to 21.04 as the cost base expanded faster. Pre-tax profit declined 28.85%, broadly tracking the fall in net profit because the tax rate was almost unchanged.
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 | ₹341 cr | ₹230 cr | +47.94% |
| Other income | ₹1 cr | ₹1 cr | -9.21% |
| Expenses | ₹320 cr | ₹202 cr | +58.32% |
| Operating profit | ₹21 cr | ₹28 cr | -25.92% |
| Operating margin (%) | 6.17% | 12.33% | — |
| Interest | ₹1 cr | ₹1 cr | +76.12% |
| Depreciation | ₹1 cr | ₹1 cr | +4.71% |
| Profit before tax | ₹20 cr | ₹28 cr | -28.85% |
| Tax | ₹5 cr | ₹7 cr | -29.08% |
| Net profit | ₹15 cr | ₹21 cr | -28.81% |
| EPS (₹) | ₹2.87 | ₹4.04 | -28.96% |
What to watch
- Whether operating margin recovers from 6.17% after the 6.16-percentage-point QoQ decline.
- Whether expense growth moderates from 58.32% against revenue growth of 47.94%.
- Whether interest growth reverses from 76.12% QoQ.