MAHASTEEL's Q1 operating margin is just 2.16%
Rs 261.86 cr of expenses against Rs 267.63 cr of revenue left consolidated operating profit at Rs 5.77 cr.
Filed 13 Aug 2026, 13:59 IST · MAHASTEEL (MAHASTEEL)
Key takeaways
- MAHASTEEL reported consolidated Q1FY27 net profit of Rs 2.13 cr, with an operating margin of just 2.16%.
- Revenue of Rs 267.63 cr translated into only Rs 5.77 cr of operating profit after Rs 261.86 cr of expenses.
- Interest of Rs 0.69 cr, depreciation of Rs 2.31 cr and tax of Rs 0.75 cr reduced profit before tax of Rs 2.88 cr to net profit of Rs 2.13 cr.
A thin operating surplus in Q1FY27
MAHASTEEL's consolidated Q1FY27 revenue of Rs 267.63 cr produced operating profit of Rs 5.77 cr. The resulting 2.16% operating margin points to limited earnings conversion from sales. Net profit was Rs 2.13 cr, or EPS of Rs 1.30.
Finance and depreciation absorbed much of operating profit
Interest of Rs 0.69 cr and depreciation of Rs 2.31 cr reduced operating profit to profit before tax of Rs 2.88 cr. Tax of Rs 0.75 cr further lowered profit to Rs 2.13 cr. Other income was Rs 0.11 cr, so the quarter's profit was primarily generated through operations rather than non-operating income.
No sequential or year-on-year trend is available
The quarter has no reported sequential or year-on-year comparison in the supplied results, so the direction of revenue, costs and margins cannot yet be assessed. The next comparable result will show whether the 2.16% operating margin is sustained or changes.
Q1FY27 at a glance
Consolidated figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q1FY27 |
|---|---|
| Revenue | ₹268 cr |
| Other income | ₹0 cr |
| Expenses | ₹262 cr |
| Operating profit | ₹6 cr |
| Operating margin (%) | 2.16% |
| Interest | ₹1 cr |
| Depreciation | ₹2 cr |
| Profit before tax | ₹3 cr |
| Tax | ₹1 cr |
| Net profit | ₹2 cr |
| EPS (₹) | ₹1.30 |
What to watch
- Whether operating margin improves from 2.16% in the next quarter.
- Whether expenses remain close to or below Rs 261.86 cr as revenue changes.
- Whether net profit rises from Rs 2.13 cr after interest of Rs 0.69 cr and depreciation of Rs 2.31 cr.