MGEL's 2.29% margin trails FMCG peer median by 18.16 points
Interest expense of Rs 9.87 cr weighed on pre-tax profit; the consolidated results were filed after market close.
Filed 19 Oct 2026, 18:01 IST · after market close · Mangalam Global Enterprise Ltd (MGEL)
Key takeaways
- MGEL's consolidated operating margin of 2.29% was 18.16 percentage points below the 20.45% median for six reported FMCG peers.
- Interest expense of Rs 9.87 cr took a substantial share of the Rs 22.54 cr operating profit, leaving Rs 12.27 cr before tax.
- With other income at only Rs 0.57 cr, the Rs 9.25 cr net profit did not rely on a large non-operating contribution.
Price around the results
Operating margin was the quarter's main weakness
MGEL reported consolidated revenue of Rs 982.56 cr and operating profit of Rs 22.54 cr in Q2FY27, resulting in a 2.29% operating margin. That was the lowest margin among six reported FMCG peers and sat 18.16 percentage points below their 20.45% median. The peer comparison points to a company-specific profitability gap rather than a sector-wide margin reference alone.
Interest absorbed much of the operating profit
Interest expense of Rs 9.87 cr materially reduced the conversion of operating profit into pre-tax profit, which stood at Rs 12.27 cr. Other income was just Rs 0.57 cr, so it provided little support to reported pre-tax earnings. Tax of Rs 3.02 cr then left consolidated net profit at Rs 9.25 cr.
Results were filed after market close
The company filed its consolidated Q2FY27 results at 18:01 IST on 19 October 2026, after market close. No market reaction is covered for this filing window. There is also no quarter-on-quarter or year-on-year comparison in the reported set, so the peer-margin gap is the clearest available benchmark.
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 | ₹983 cr |
| Other income | ₹1 cr |
| Expenses | ₹960 cr |
| Operating profit | ₹23 cr |
| Operating margin (%) | 2.29% |
| Interest | ₹10 cr |
| Depreciation | ₹1 cr |
| Profit before tax | ₹12 cr |
| Tax | ₹3 cr |
| Net profit | ₹9 cr |
| EPS (₹) | ₹0.28 |
Operating margin of 2.29% compares with a Fast Moving Consumer Goods sector median of 20.45% across 6 peers that have reported Q2FY27.
What to watch
- Whether operating margin moves up from 2.29% toward the 20.45% FMCG peer median.
- Whether interest expense declines from Rs 9.87 cr relative to operating profit of Rs 22.54 cr.
- Whether net profit remains supported mainly by operating earnings rather than other income of Rs 0.57 cr.