Kritika's 1.47% operating margin trails its previous quarter
Standalone profit was helped by a tax credit, while other income of Rs 1.35 cr was nearly as large as pre-tax profit.
Filed 04 Aug 2026, 15:50 IST · after market close · KRITIKA (KRITIKA)
Key takeaways
- Standalone operating profit was Rs 2.38 cr on revenue of Rs 161.86 cr, leaving a 1.47% operating margin.
- Other income of Rs 1.35 cr was nearly as large as pre-tax profit of Rs 1.43 cr, making reported earnings dependent on non-operating income.
- A tax credit reflected in the -11.49% tax rate lifted net profit to Rs 1.6 cr despite interest of Rs 1.34 cr and depreciation of Rs 0.95 cr.
Operating margin fell from Q2FY26
Kritika reported standalone revenue of Rs 161.86 cr and operating profit of Rs 2.38 cr in Q1FY27. The 1.47% operating margin was below the 2.79% recorded in Q2FY26, indicating weaker operating conversion than in the previous reported quarter. Expenses of Rs 159.48 cr absorbed most of revenue.
Tax credit lifted reported profit
Interest of Rs 1.34 cr and depreciation of Rs 0.95 cr reduced operating profit to pre-tax profit of Rs 1.43 cr. Tax was a credit of Rs 0.16 cr, producing a -11.49% tax rate and lifting net profit to Rs 1.6 cr. The tax line therefore supported net profit rather than reducing it.
Other income makes earnings quality mixed
Other income contributed Rs 1.35 cr against pre-tax profit of Rs 1.43 cr, so a large part of reported profit came from outside operations. That leaves the 1.47% operating margin as the clearer measure of the quarter's core performance.
Results were filed after market close
The company filed its standalone Q1FY27 results at 15:50 IST on 4 August 2026, after market close. There was therefore no immediate market reaction to assess.
Q1FY27 at a glance
Standalone figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q1FY27 |
|---|---|
| Revenue | ₹162 cr |
| Other income | ₹1 cr |
| Expenses | ₹159 cr |
| Operating profit | ₹2 cr |
| Operating margin (%) | 1.47% |
| Interest | ₹1 cr |
| Depreciation | ₹1 cr |
| Profit before tax | ₹1 cr |
| Tax | ₹-0 cr |
| Net profit | ₹2 cr |
| EPS (₹) | ₹0.06 |
What to watch
- Whether operating margin recovers from 1.47% after standing at 2.79% in Q2FY26.
- Whether other income remains close to the Rs 1.35 cr reported in Q1FY27.
- Whether the tax rate moves away from the -11.49% level that supported net profit.