MIDHANI's Q1 margin topped the sector median as the stock fell 4.51%
Standalone operating profit reached Rs 36.61 cr, but other income of Rs 9.98 cr materially supported pre-tax profit.
Filed 12 Aug 2026, 13:24 IST · Mishra Dhatu Nigam Ltd (MIDHANI)
Key takeaways
- Standalone Q1 operating margin was 15.29%, 0.87 percentage points above the 14.42% median for 146 reporting Industrials peers.
- Other income of Rs 9.98 cr was a large contributor to pre-tax profit of Rs 23.92 cr, making earnings quality an important read-through.
- The stock's results-day return was -4.51%, with volume at 4.6 times its normal level, before returning +4.00% the next day.
Price around the results
Operating profit held above the Industrials median
MIDHANI reported a standalone operating margin of 15.29%, which was 0.87 percentage points above the 14.42% median among 146 Industrials companies that had reported. The sector comparison puts the quarter's operating performance above the peer midpoint, even as net profit was Rs 16.31 cr on revenue of Rs 239.49 cr.
Other income was important to the profit bridge
Other income of Rs 9.98 cr was a meaningful contributor alongside pre-tax profit of Rs 23.92 cr, so reported earnings were not driven only by operations. Interest of Rs 6.08 cr and depreciation of Rs 16.60 cr reduced the conversion from operating profit of Rs 36.61 cr to pre-tax profit. The tax rate was 31.79%, leaving EPS at Rs 0.87.
Results-day selling reversed the following day
The stock's return on the results day was -4.51%, while its relative return was -4.37%; trading volume was 4.6 times the usual level. The return at the next session was +4.00%, indicating a sharp early reversal rather than a one-way market response.
Q1FY27 at a glance
Standalone figures as filed with NSE — cross-checked against an independent source.
| Line item | Q1FY27 |
|---|---|
| Revenue | ₹239 cr |
| Other income | ₹10 cr |
| Expenses | ₹203 cr |
| Operating profit | ₹37 cr |
| Operating margin (%) | 15.29% |
| Interest | ₹6 cr |
| Depreciation | ₹17 cr |
| Profit before tax | ₹24 cr |
| Tax | ₹8 cr |
| Net profit | ₹16 cr |
| EPS (₹) | ₹0.87 |
Operating margin of 15.29% compares with a Industrials sector median of 14.42% across 146 peers that have reported Q1FY27.
How the stock reacted
| Window | Stock | vs NIFTY |
|---|---|---|
| Results day | -4.51% | -4.37% |
| Next session | +4.00% | — |
Volume on the results session was 4.60× its 20-day average.
What to watch
- Whether operating margin holds above 15.29% in the next reported quarter.
- Whether pre-tax profit remains supported by other income around Rs 9.98 cr.
- Whether interest of Rs 6.08 cr and depreciation of Rs 16.60 cr continue to limit the conversion of operating profit into pre-tax profit.