Kilitch margin expands, but higher interest and depreciation cut profit
Q2 consolidated revenue grew +11.90% qoq while net profit fell -28.43%; other income contributed 64.86% of pre-tax profit.
Filed 06 Nov 2026, 20:49 IST · after market close · KILITCH (KILITCH)
Key takeaways
- Consolidated operating margin widened 6.77 percentage points sequentially as revenue grew 11.90% while expenses rose 3.79%.
- Net profit fell 28.43% sequentially despite the operating improvement, as interest rose 92.05% and depreciation rose 250.46%.
- Other income contributed 64.86% of consolidated pre-tax profit, while the tax rate increased 8.56 percentage points to 57.63%.
Operating margin more than doubled sequentially
KILITCH’s consolidated revenue grew 11.90% sequentially, while expenses increased only 3.79%. That operating leverage lifted the margin by 6.77 percentage points to 13.31%, compared with 6.54% in Q1FY27. Operating profit consequently rose 127.21%.
Higher finance and depreciation costs reversed the operating gain
The improvement in operating profit did not flow through to net profit because interest expense rose 92.05% and depreciation increased 250.46% sequentially. Pre-tax profit fell 13.73%, while net profit declined 28.43% and EPS fell 22.89%. Profit quality was also mixed: other income accounted for 64.86% of pre-tax profit, and the tax rate rose 8.56 percentage points to 57.63%.
Results were filed after market close
The consolidated Q2FY27 results were filed after market close on 06 Nov 2026. With no market reaction yet, the key contrast is between the sharp operating improvement and the sequential decline in reported profit after interest, depreciation and tax.
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 | ₹50 cr | ₹45 cr | +11.90% |
| Other income | ₹2 cr | ₹3 cr | -25.52% |
| Expenses | ₹44 cr | ₹42 cr | +3.79% |
| Operating profit | ₹7 cr | ₹3 cr | +127.21% |
| Operating margin (%) | 13.31% | 6.54% | — |
| Interest | ₹2 cr | ₹1 cr | +92.05% |
| Depreciation | ₹4 cr | ₹1 cr | +250.46% |
| Profit before tax | ₹3 cr | ₹4 cr | -13.73% |
| Tax | ₹2 cr | ₹2 cr | +1.05% |
| Net profit | ₹1 cr | ₹2 cr | -28.43% |
| EPS (₹) | ₹0.64 | ₹0.83 | -22.89% |
What to watch
- Whether consolidated operating margin holds above 13.31%.
- Whether interest expense moves down from its 92.05% sequential increase.
- Whether the tax rate declines from 57.63% and other income contributes less than 64.86% of pre-tax profit.