Interest costs pushed McLeod Russel into a Rs 13.38 cr loss
Operating profit of Rs 29.13 cr was marginally below interest expense, while depreciation added to the pre-tax loss.
Filed 14 Aug 2026, 17:05 IST · after market close · MCLEODRUSS (MCLEODRUSS)
Key takeaways
- Consolidated interest expense of Rs 29.33 cr exceeded operating profit of Rs 29.13 cr, leaving the company with a Rs 13.38 cr net loss.
- Q1FY27 operating margin was 11.16%, but operating earnings did not cover interest and depreciation of Rs 15.72 cr.
- Other income was Rs 2.59 cr and tax was Rs 0.05 cr, neither offsetting the pre-tax loss of Rs 13.33 cr.
Operating earnings fell short of financing costs
McLeod Russel reported a consolidated operating profit of Rs 29.13 cr on revenue of Rs 261.11 cr in Q1FY27. Interest expense was Rs 29.33 cr, slightly higher than operating profit, and depreciation of Rs 15.72 cr took the company to a pre-tax loss of Rs 13.33 cr.
Other income did not change the loss outcome
Other income of Rs 2.59 cr was not enough to offset the gap created by interest and depreciation. Tax was Rs 0.05 cr, with a tax rate of -0.38%, so the net loss was broadly in line with the pre-tax loss at Rs 13.38 cr.
No market reaction is available yet
The consolidated results were filed after market close on 14 Aug 2026. The results are therefore too fresh for a post-results stock reaction to assess, and there is no quarter-on-quarter or year-on-year comparison in the reported data.
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 | ₹261 cr |
| Other income | ₹3 cr |
| Expenses | ₹232 cr |
| Operating profit | ₹29 cr |
| Operating margin (%) | 11.16% |
| Interest | ₹29 cr |
| Depreciation | ₹16 cr |
| Profit before tax | ₹-13 cr |
| Tax | ₹0 cr |
| Net profit | ₹-13 cr |
| EPS (₹) | ₹-1.28 |
What to watch
- Whether operating profit can cover interest expense of Rs 29.33 cr in the next quarter.
- Whether operating margin remains around 11.16%.
- Whether depreciation stays near Rs 15.72 cr while the company remains loss-making.