Revenue surge lifts Hindustan Copper margin to 54.29%
Consolidated net profit rose 137.36% YoY as revenue growth far outpaced expense growth, while the initial stock reaction was followed by a five-session decline.
Filed 15 May 2026, 16:18 IST · after market close · Hindustan Copper Ltd (HINDCOPPER)
Key takeaways
- Consolidated revenue grew 58.06% YoY while expenses rose 13.73%, lifting operating margin by 17.83 percentage points to 54.29%.
- Net profit increased 137.36% YoY to Rs 444.27 cr, helped by a lower tax rate of 25.01% versus 26.95%.
- The stock initially rose 1.91% after the results, slightly above its 1.44% median historical move, before falling 4.33% over five sessions.
Price around the results
Revenue growth widened the operating spread
Consolidated revenue grew 58.06% YoY and 68.20% QoQ, while expenses increased 13.73% and 19.35%, respectively. That gap expanded operating margin by 17.83 percentage points YoY and 18.72 percentage points QoQ. Other income contributed 5.55% of pre-tax profit, so it was not the main source of the earnings increase.
Q4 reversed the margin slide from H2
Operating margin had declined from 41.06% in Q1FY26 to 39.29% in Q2FY26 and 35.57% in Q3FY26, before rebounding to 54.29% in Q4FY26. The quarter's profit conversion also benefited from a 1.94 percentage-point YoY reduction in the tax rate and a 54.29% fall in interest expense. Depreciation rose 28.59% YoY, partly offsetting those gains.
Margin was well above the commodities peer median
Hindustan Copper's 54.29% operating margin was 35.52 percentage points above the 18.77% median for the 51 Commodities peers that had reported the quarter. This placed the company above every reported peer in the comparison.
Initial market gain was followed by a sharper decline
The stock rose 1.91% on the reaction day, versus a 1.44% median absolute move across its eight recent results reactions, making the initial response slightly larger than usual. The move then turned negative, with returns of -4.33% after five sessions, -8.88% after 15 sessions and -13.97% after 30 sessions.
Q4FY26 at a glance
Consolidated figures as filed with NSE — cross-checked against an independent source.
| Line item | Q4FY26 | Q3FY26 | QoQ | YoY |
|---|---|---|---|---|
| Revenue | ₹1,156 cr | ₹687 cr | +68.20% | +58.06% |
| Other income | ₹33 cr | ₹18 cr | +83.74% | -24.51% |
| Expenses | ₹529 cr | ₹443 cr | +19.35% | +13.73% |
| Operating profit | ₹628 cr | ₹245 cr | +156.66% | +135.31% |
| Operating margin (%) | 54.29% | 35.57% | — | — |
| Interest | ₹1 cr | ₹2 cr | -60.59% | -54.29% |
| Depreciation | ₹67 cr | ₹48 cr | +40.28% | +28.59% |
| Profit before tax | ₹592 cr | ₹212 cr | +178.85% | +131.22% |
| Tax | ₹148 cr | ₹56 cr | +163.52% | +114.55% |
| Net profit | ₹444 cr | ₹156 cr | +184.37% | +137.36% |
| EPS (₹) | ₹4.59 | ₹1.62 | +183.33% | +136.60% |
Operating margin of 54.29% compares with a Commodities sector median of 18.77% across 51 peers that have reported Q4FY26.
How the stock reacted
| Window | Stock | vs NIFTY |
|---|---|---|
| Results day | +1.91% | +1.88% |
| Next session | -0.13% | — |
| 5 sessions | -4.33% | -5.97% |
| 15 sessions | -8.88% | — |
| 30 sessions | -13.97% | — |
Volume on the results session was 2.47× its 20-day average.
What to watch
- Whether operating margin holds above 54.29% after the Q4 rebound.
- Whether revenue growth remains ahead of expense growth, which was 58.06% versus 13.73% YoY in Q4.
- Whether the tax rate stays near 25.01% rather than returning to 26.95%.