Other income drives KNR Constructions' Rs 282.28 cr standalone profit
Other income of Rs 289.25 cr dwarfed operating profit, while the 15.00% margin was above the Industrials peer median.
Filed 14 Aug 2026, 08:10 IST · KNR Constructions Ltd (KNRCON)
Key takeaways
- Standalone net profit of Rs 282.28 cr was dominated by other income of Rs 289.25 cr, versus operating profit of Rs 65.50 cr.
- The 15.00% standalone operating margin was 0.58 percentage points above the 14.42% median for 138 Industrials peers.
- Management said the company received a mining project worth Rs 3,361 cr with an eight-year project period.
Price around the results
Standalone profit was led by non-operating income
KNR Constructions' Q1FY27 standalone profit was driven mainly by other income rather than operations. Other income of Rs 289.25 cr was larger than operating profit of Rs 65.50 cr and accounted for most of profit before tax of Rs 342.75 cr. This makes the reported net profit of Rs 282.28 cr a weak measure of operating earnings for the quarter.
Operating margin was ahead of the Industrials median
Expenses of Rs 371.19 cr absorbed most of revenue of Rs 436.69 cr, leaving an operating margin of 15.00%. That was 0.58 percentage points above the 14.42% median among 138 Industrials peers that had reported the quarter. With no sequential or year-on-year comparison provided, the quarter's margin direction cannot be assessed.
New mining award adds to the order pipeline
Management said KNR Constructions received a Rs 3,361 cr mining project with an eight-year period and a Rs 235 cr Telangana flyover project with a 24-month construction period. The company reported an order book of Rs 86,674 million as of 30 June 2026. Management also said two projects were transferred to Indus Infra Trust during the quarter and that the divestment of four SPVs is expected to be completed by 30 September 2026.
Q1FY27 at a glance
Standalone figures as filed with NSE — cross-checked against an independent source.
| Line item | Q1FY27 |
|---|---|
| Revenue | ₹437 cr |
| Other income | ₹289 cr |
| Expenses | ₹371 cr |
| Operating profit | ₹66 cr |
| Operating margin (%) | 15.00% |
| Interest | ₹2 cr |
| Depreciation | ₹10 cr |
| Profit before tax | ₹343 cr |
| Tax | ₹60 cr |
| Net profit | ₹282 cr |
| EPS (₹) | ₹10.04 |
Operating margin of 15.00% compares with a Industrials sector median of 14.42% across 138 peers that have reported Q1FY27.
What management said
From the company’s own investor presentation. Each point is checked against the source document before it appears here.
This quarter
- KNR Constructions transferred two projects to Indus Infra Trust during the quarter.
- The company reported an order book of Rs. 86,674 million as of 30th June 2026.
Planned next quarter
- The divestment of four SPVs is expected to be completed on or before 30th September 2026.
Expansion
- KNR Constructions received a mining project with a cost of Rs. 3,361 crore and an eight-year project period.
- KNR Constructions received an EPC flyover project in Telangana costing Rs. 235 crore, with a 24-month construction period.
New orders
- KNR Constructions received a Letter of Acceptance for coal mining and overburden removal works at Kusmunda OCP in Chhattisgarh.
- KNR Constructions received a Letter of Acceptance for a six-lane bi-directional flyover project in Telangana.
New initiatives
- The company executed agreements with Indus Infra Trust to sell its 100% shareholding in four special purpose vehicles.
What to watch
- Whether operating margin remains around the current 15.00% while operating profit contributes more to earnings.
- Progress toward management's stated completion of the four-SPV divestment by 30 September 2026.
- Execution against the Rs 86,674 million order book, including the Rs 3,361 cr mining project.