Commodities · Q2FY27 · Standalone

Revenue rose 41.06%, but profit fell as other income dropped

The standalone operating margin recovered from -10.38% to 0.36%, but higher tax and lower other income reduced net profit.

By Ashutosh

Filed 06 Nov 2026, 18:01 IST · after market close · Hindprakash Industries Ltd (HPIL)

Key takeaways

  • Standalone operating margin recovered 10.74 percentage points QoQ to 0.36%, but remained 12.47 percentage points below the Commodities peer median.
  • Revenue rose 41.06% QoQ while expenses grew 27.34%, yet net profit fell 60.47% as other income declined 65.13%.
  • Other income was 345.65% of pre-tax profit, leaving the Rs 0.34 cr net profit reliant on a large non-operating contribution.

Price around the results

Revenue rebounded, but earnings weakened

Hindprakash Industries reported standalone revenue growth of +41.06% QoQ, while expenses rose +27.34%. That brought operating profit back to Rs 0.13 cr from a Rs 2.76 cr loss in Q1FY27, but profit before tax fell 28.12% and net profit declined 60.47% to Rs 0.34 cr.

Operating margin recovered but still trails peers

Revenue grew faster than expenses, lifting operating margin by 10.74 percentage points from -10.38% to 0.36%. Interest expense still rose +8.49% QoQ to Rs 1.15 cr, limiting the benefit of the operating recovery. Among 137 Commodities companies that have reported, HPIL's margin was 12.47 percentage points below the 12.83% sector median and ranked ninth from the bottom.

Other income drove profit quality concerns

Other income fell 65.13% QoQ to Rs 1.59 cr, but still equalled 345.65% of pre-tax profit because interest and other charges absorbed much of operating earnings. The tax rate moved from -34.35% in Q1FY27 to 26.85%, a 61.20-percentage-point increase that also reduced the conversion of pre-tax profit into net profit.

Results were filed after market close

The standalone results were filed at 18:01 IST after market close. There is no market reaction to assess yet.

Q2FY27 at a glance

Standalone figures as filed with NSE — cross-checked against an independent source.

Line itemQ2FY27Q1FY27QoQ
Revenue₹37 cr₹27 cr+41.06%
Other income₹2 cr₹5 cr-65.13%
Expenses₹37 cr₹29 cr+27.34%
Operating profit₹0 cr₹-3 cr—
Operating margin (%)0.36%-10.38%—
Interest₹1 cr₹1 cr+8.49%
Depreciation₹0 cr₹0 cr+0.00%
Profit before tax₹0 cr₹1 cr-28.12%
Tax₹0 cr₹-0 cr—
Net profit₹0 cr₹1 cr-60.47%
EPS (₹)₹0.30₹0.75-60.00%

Operating margin of 0.36% compares with a Commodities sector median of 12.83% across 137 peers that have reported Q2FY27.

What to watch

  • Whether operating margin holds above 0.36% in the next quarter.
  • Whether other income's 345.65% share of pre-tax profit declines.
  • Whether interest expense growth reverses from +8.49% QoQ.