Hindustan Composites posts 56.91% operating margin in Q1FY27
The consolidated results included a Rs -0.35 cr tax credit, while other income and interest were both nil.
Filed 23 Jul 2026, 18:36 IST · after market close · HINDCOMPOS (HINDCOMPOS)
Key takeaways
- Consolidated net profit of Rs 8.68 cr was far above profit before tax of Rs 1.58 cr, making the reported tax credit of Rs -0.35 cr central to the result.
- Revenue of Rs 20.05 cr produced an operating profit of Rs 2.54 cr, or a 12.67% operating margin, with expenses at Rs 17.51 cr.
- The results were filed after market close on 23 July 2026, so there was no immediate market reaction to assess.
Operating profit came from a 12.67% margin
HINDCOMPOS reported consolidated revenue of Rs 20.05 cr and operating profit of Rs 2.54 cr in Q1FY27. Expenses of Rs 17.51 cr left the business with a 12.67% operating margin. With no sequential or year-on-year comparison in the reported data, the quarter is best read through the operating conversion rather than growth.
Tax credit distorts the earnings read-through
Profit before tax was Rs 1.58 cr, but reported net profit was Rs 8.68 cr despite zero other income and zero interest. The Rs -0.35 cr tax figure produced a -22.15% tax rate, but that tax credit alone does not explain the gap between pre-tax profit and net profit. The reported profit therefore needs reconciliation before its quality can be assessed from operating performance alone.
No trend or market reaction yet
There is no reported YoY or QoQ comparison, and the trend history does not establish a direction for margins or earnings across quarters. The company filed the consolidated results after market close on 23 July 2026, so the stock had not yet produced a results-day reaction in the available record.
Q1FY27 at a glance
Consolidated figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q1FY27 |
|---|---|
| Revenue | ₹20 cr |
| Other income | ₹0 cr |
| Expenses | ₹18 cr |
| Operating profit | ₹3 cr |
| Operating margin (%) | 12.67% |
| Interest | ₹0 cr |
| Depreciation | ₹1 cr |
| Profit before tax | ₹2 cr |
| Tax | ₹-0 cr |
| Net profit | ₹9 cr |
| EPS (₹) | ₹5.88 |
What to watch
- Whether operating margin holds above 12.67% in the next quarter.
- Whether net profit remains materially above profit before tax of Rs 1.58 cr.
- Whether the tax rate moves back from -22.15% toward a normal charge.