IRM Energy profit drops 24.79% as costs outpace revenue
Q2FY27 consolidated operating margin fell 4.79 percentage points qoq and was 0.66 percentage points below the 17-peer energy median.
Filed 30 Oct 2026, 21:23 IST · after market close · IRM Energy Ltd (IRMENERGY)
Key takeaways
- Revenue grew +2.47% QoQ, but expenses rose +8.52%, cutting operating margin by 4.79 percentage points to 14.17%.
- Net profit fell -24.79% QoQ as PBT declined -25.78%, despite a 0.95 percentage-point fall in the tax rate.
- IRM Energy's 14.17% operating margin was 0.66 percentage points below the 14.83% median of 17 reported Energy peers.
Price around the results
Costs outpaced revenue in Q2FY27
Consolidated revenue grew +2.47% QoQ, but expenses rose +8.52%, so operating profit fell -23.39% and operating margin contracted by 4.79 percentage points to 14.17%. This was a weaker operating quarter than Q1FY27, when margin was 18.96%.
Lower tax softened the profit decline
PBT fell -25.78% QoQ and net profit declined -24.79%, despite interest and depreciation falling -6.50% and -15.90%, respectively. The tax rate fell by 0.95 percentage points, cushioning the earnings decline; other income accounted for 12.39% of PBT, giving reported profit a meaningful non-operating contribution.
Margin lagged the Energy peer median
Among 17 Energy peers that had reported the same quarter, IRM Energy's 14.17% operating margin was 0.66 percentage points below the 14.83% median and ranked eighth from the bottom. The company filed its consolidated results after market close at 21:23 IST on 30 Oct 2026, so no post-results market move is assessed here.
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 | ₹334 cr | ₹326 cr | +2.47% |
| Other income | ₹4 cr | ₹5 cr | -9.64% |
| Expenses | ₹287 cr | ₹264 cr | +8.52% |
| Operating profit | ₹47 cr | ₹62 cr | -23.39% |
| Operating margin (%) | 14.17% | 18.96% | — |
| Interest | ₹3 cr | ₹3 cr | -6.50% |
| Depreciation | ₹14 cr | ₹16 cr | -15.90% |
| Profit before tax | ₹35 cr | ₹47 cr | -25.78% |
| Tax | ₹9 cr | ₹13 cr | -28.29% |
| Net profit | ₹25 cr | ₹34 cr | -24.79% |
| EPS (₹) | ₹6.19 | ₹8.23 | -24.79% |
Operating margin of 14.17% compares with a Energy sector median of 14.83% across 17 peers that have reported Q2FY27.
What to watch
- Whether expenses growth narrows from +8.52% QoQ relative to revenue growth of +2.47%.
- Whether operating margin moves above 14.17% after the 4.79 percentage-point QoQ decline.
- Whether other income's 12.39% share of PBT becomes smaller in the next reported quarter.