Master Trust's margin expands as expenses fall sequentially
Operating profit rose 11.08% QoQ despite higher interest expense, while the results were filed after market close.
Filed 03 Nov 2026, 17:56 IST · after market close · Master Trust Ltd (MASTERTR)
Key takeaways
- Consolidated operating margin widened 3.41 percentage points QoQ to 44.69% as revenue rose 2.59% while expenses fell 3.38%.
- Net profit rose 10.53% QoQ to Rs 38.3 cr despite a 16.01% increase in interest expense, helped by operating leverage and a 0.45-point lower tax rate.
- At 44.69%, Master Trust's operating margin was 5.91 percentage points below the 50.6% median for 79 reporting Financial Services peers.
Price around the results
Lower expenses drove the margin expansion
Revenue increased 2.59% QoQ, but expenses declined 3.38%, allowing operating profit to rise 11.08% and operating margin to widen by 3.41 percentage points. The improvement came despite interest expense increasing 16.01% QoQ, which limited the conversion of operating profit into pre-tax profit. Other income contributed only 0.02% of pre-tax profit, so it did not materially support earnings quality.
Sequential profit momentum improved, but the peer gap remains
Pre-tax profit rose 9.86% QoQ and net profit increased 10.53%, while the tax rate eased 0.45 percentage points to 24.61%, providing a modest additional lift to reported profit. The quarter marked an upward sequential move in operating margin from 41.28% to 44.69%. Even after that expansion, the margin remained 5.91 percentage points below the 50.6% median among 79 Financial Services peers that had reported.
Results were filed after market close
Master Trust filed its consolidated Q2FY27 results at 17:56 IST on 03 November 2026, after market close. The immediate share-price response therefore is not covered here.
Q2FY27 at a glance
Consolidated figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q2FY27 | Q1FY27 | QoQ |
|---|---|---|---|
| Revenue | ₹154 cr | ₹150 cr | +2.59% |
| Other income | ₹0 cr | ₹0 cr | — |
| Expenses | ₹85 cr | ₹88 cr | -3.38% |
| Operating profit | ₹69 cr | ₹62 cr | +11.08% |
| Operating margin (%) | 44.69% | 41.28% | — |
| Interest | ₹17 cr | ₹15 cr | +16.01% |
| Depreciation | ₹1 cr | ₹1 cr | -2.88% |
| Profit before tax | ₹51 cr | ₹46 cr | +9.86% |
| Tax | ₹13 cr | ₹12 cr | +7.85% |
| Net profit | ₹38 cr | ₹35 cr | +10.53% |
| EPS (₹) | ₹3.10 | ₹2.80 | +10.71% |
Operating margin of 44.69% compares with a Financial Services sector median of 50.60% across 79 peers that have reported Q2FY27.
What to watch
- Whether operating margin remains above 44.69% after the 3.41-point QoQ expansion.
- Whether interest expense growth eases from 16.01% QoQ.
- Whether the tax rate remains close to 24.61%, after falling 0.45 percentage points QoQ.