Mahindra EPC's 6.37% margin trails Industrials peer median in Q2FY27
Expenses of Rs 68.02 cr left limited operating profit, while the quarter's Rs 2.23 cr net profit was not materially driven by other income.
Filed 15 Oct 2026, 17:58 IST · after market close · Mahindra EPC Irrigation Ltd (MAHEPC)
Key takeaways
- Mahindra EPC Irrigation reported consolidated operating profit of Rs 4.63 cr on revenue of Rs 72.65 cr in Q2FY27.
- The 6.37% operating margin was 7.03 percentage points below the 13.40% median for 10 reported Industrials peers.
- Net profit was Rs 2.23 cr, with other income of Rs 0.30 cr and a 24.66% tax rate.
Price around the results
A low-margin consolidated quarter
Mahindra EPC Irrigation generated Rs 72.65 cr of revenue but retained only Rs 4.63 cr as operating profit, pointing to limited operating conversion in Q2FY27. The company reported Rs 2.23 cr of net profit and EPS of Rs 0.80. Other income was Rs 0.30 cr, so it was not the main source of reported profit.
Costs left little room below operating profit
Expenses of Rs 68.02 cr absorbed most of revenue, leaving a 6.37% operating margin. Interest of Rs 1.22 cr and depreciation of Rs 0.75 cr further reduced operating profit to profit before tax of Rs 2.96 cr. The 24.66% tax rate resulted in Rs 0.73 cr of tax.
Margin remains below the Industrials peer midpoint
Mahindra EPC's 6.37% operating margin was 7.03 percentage points below the 13.40% median among 10 Industrials companies that had reported the same quarter. The results were filed after market close on 15 October 2026, so there is no reported market reaction to place against the stock's past results.
Q2FY27 at a glance
Consolidated figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q2FY27 |
|---|---|
| Revenue | ₹73 cr |
| Other income | ₹0 cr |
| Expenses | ₹68 cr |
| Operating profit | ₹5 cr |
| Operating margin (%) | 6.37% |
| Interest | ₹1 cr |
| Depreciation | ₹1 cr |
| Profit before tax | ₹3 cr |
| Tax | ₹1 cr |
| Net profit | ₹2 cr |
| EPS (₹) | ₹0.80 |
Operating margin of 6.37% compares with a Industrials sector median of 13.40% across 10 peers that have reported Q2FY27.
What to watch
- Whether operating margin holds above 6.37% in the next reported quarter.
- Whether expenses remain close to the Rs 68.02 cr level relative to revenue.
- Whether interest stays near Rs 1.22 cr as operating profit converts into profit before tax.