Lenskart's Q4 margin widened as profit growth outpaced revenue
Operating margin rose for a third straight quarter, while lower tax and interest costs amplified the 53.43% sequential rise in net profit.
Filed 20 May 2026, 15:18 IST · Lenskart Solutions Ltd (LENSKART)
Key takeaways
- Consolidated operating profit rose 16.01% sequentially as revenue growth of 9.01% exceeded expense growth of 7.25%.
- Net profit increased 53.43% sequentially, helped by a 5.72-percentage-point fall in the tax rate and lower interest costs.
- Operating margin reached 21.40%, 6.59 percentage points above the 14.81% median for 93 reported Consumer Discretionary peers.
Price around the results
Q4 revenue growth translated into faster operating profit growth
Lenskart Solutions reported consolidated revenue growth of 9.01% sequentially in Q4FY26, while operating profit grew 16.01%. Expenses rose 7.25%, slower than revenue, allowing operating margin to widen by 1.29 percentage points to 21.40%. This was the third straight quarterly increase in margin, from 19.77% in Q2FY26 to 20.11% in Q3FY26 and 21.40% in Q4FY26.
Tax and interest amplified the net-profit increase
Net profit rose 53.43% sequentially, faster than operating profit, as interest expense fell 10.61% and the tax rate declined by 5.72 percentage points to 19.90%. Other income increased 40.47% and accounted for 18.42% of profit before tax, so part of the profit increase came from non-operating income. The quarter's operating margin was 6.59 percentage points above the 14.81% median for 93 Consumer Discretionary peers that had reported.
Shares dipped initially but recovered by the fifth session
The stock fell 1.19% on the results day and underperformed its benchmark by 1.36 percentage points. It then gained 5.74% by the fifth session and 8.18% by day 30. Trading volume on the results day was 1.69 times the usual level.
Q4FY26 at a glance
Consolidated figures as filed with NSE — cross-checked against an independent source.
| Line item | Q4FY26 | Q3FY26 | QoQ |
|---|---|---|---|
| Revenue | ₹2,516 cr | ₹2,308 cr | +9.01% |
| Other income | ₹47 cr | ₹33 cr | +40.47% |
| Expenses | ₹1,977 cr | ₹1,844 cr | +7.25% |
| Operating profit | ₹538 cr | ₹464 cr | +16.01% |
| Operating margin (%) | 21.40% | 20.11% | — |
| Interest | ₹44 cr | ₹49 cr | -10.61% |
| Depreciation | ₹288 cr | ₹270 cr | +6.36% |
| Profit before tax | ₹254 cr | ₹178 cr | +42.47% |
| Tax | ₹51 cr | ₹46 cr | +10.65% |
| Net profit | ₹204 cr | ₹133 cr | +53.43% |
| EPS (₹) | ₹1.17 | ₹0.77 | +51.95% |
Operating margin of 21.40% compares with a Consumer Discretionary sector median of 14.81% across 93 peers that have reported Q4FY26.
How the stock reacted
| Window | Stock | vs NIFTY |
|---|---|---|
| Results day | -1.19% | -1.36% |
| Next session | +1.18% | — |
| 5 sessions | +5.74% | +4.52% |
| 15 sessions | +1.94% | — |
| 30 sessions | +8.18% | — |
Volume on the results session was 1.69× its 20-day average.
What to watch
- Whether operating margin holds above 21.40% after its third consecutive quarterly increase.
- Whether other income remains below or above its Q4 contribution of 18.42% of profit before tax.