Laurus Labs Q1FY27 profit rises 123.94% YoY to Rs 362.07 cr
Consolidated revenue rose 29.10% YoY, while operating margin improved to 23.92% in the quarter ended June 30, 2026.
Filed 24 Jul 2026, 14:49 IST · Laurus Labs Ltd (LAURUSLABS)
Key takeaways
- Laurus Labs' consolidated operating margin expanded 7.15 percentage points YoY to 31.50% as revenue growth outpaced expense growth.
- Consolidated net profit rose 123.94% YoY to Rs 362.07 cr, helped by a lower tax rate of 24.79% versus 28.08%.
- The stock gained 2.10% on results day, an ordinary move against its 3.08% median absolute reaction after the past eight results.
Price around the results
Revenue growth accelerated without a matching cost increase
Consolidated revenue grew 29.10% YoY and 11.85% QoQ, while expenses increased 16.89% YoY and 6.82% QoQ. The wider spread between revenue and expense growth lifted operating profit 67.03% YoY and 24.64% QoQ. Net profit growth was faster at 123.94% YoY and 28.35% QoQ as interest costs fell 18.02% YoY.
Margin expansion continued, but tax also supported earnings
Operating margin widened 7.15 percentage points YoY and 3.23 percentage points QoQ because costs grew more slowly than revenue. The 24.79% tax rate was 3.29 percentage points lower than a year earlier, which flattered net-profit growth; it was 2.81 percentage points higher than in Q4FY26. Other income contributed only 1.92% of pre-tax profit, so reported earnings were not materially dependent on it.
Laurus remains above the Healthcare peer median
Operating margin has risen every quarter from 24.35% in Q1FY26 to 31.50% in Q1FY27, extending the recent quarter-by-quarter improvement. Among 61 Healthcare peers that have reported, Laurus Labs' margin was 8.83 percentage points above the 22.67% sector median. The quarter therefore combined sequential momentum with a clear margin advantage over the reported peer set.
Results-day reaction was positive but within the stock's usual range
The stock gained 2.10% on results day after opening with a -0.53% gap. That move was below the 3.08% median absolute reaction across the past eight result events, when the stock rose five times and fell three times. The immediate response was positive, but not unusual for Laurus Labs.
Q1FY27 at a glance
Consolidated figures as filed with NSE — cross-checked against an independent source.
| Line item | Q1FY27 | Q4FY26 | QoQ | YoY |
|---|---|---|---|---|
| Revenue | ₹2,026 cr | ₹1,812 cr | +11.85% | +29.10% |
| Other income | ₹9 cr | ₹12 cr | -22.70% | -16.05% |
| Expenses | ₹1,388 cr | ₹1,299 cr | +6.82% | +16.89% |
| Operating profit | ₹638 cr | ₹512 cr | +24.64% | +67.03% |
| Operating margin (%) | 31.50% | 28.27% | — | — |
| Interest | ₹42 cr | ₹40 cr | +4.40% | -18.02% |
| Depreciation | ₹124 cr | ₹122 cr | +1.45% | +6.02% |
| Profit before tax | ₹481 cr | ₹362 cr | +33.16% | +114.14% |
| Tax | ₹119 cr | ₹79 cr | +50.23% | +89.06% |
| Net profit | ₹362 cr | ₹282 cr | +28.35% | +123.94% |
| EPS (₹) | ₹6.81 | ₹5.17 | +31.72% | +125.50% |
Operating margin of 31.50% compares with a Healthcare sector median of 22.67% across 61 peers that have reported Q1FY27.
How the stock reacted
| Window | Stock | vs NIFTY |
|---|---|---|
| Results day | +2.10% | +2.53% |
| Next session | +9.25% | — |
| 5 sessions | +15.81% | +13.65% |
Volume on the results session was 1.12× its 20-day average.
What to watch
- Whether operating margin holds above 31.50% after its 7.15-percentage-point YoY expansion.
- Whether expense growth remains below revenue growth, following 16.89% versus 29.10% YoY in Q1FY27.
- Whether the tax rate stays near 24.79% rather than returning to the 28.08% level seen a year earlier.