Monarch's Q2 profit rose +25.19% QoQ, but margin fell 3.53 points
Revenue grew +35.48% QoQ, but expenses grew +49.58%; the tax rate also rose 2.81 percentage points to 21.54%.
Filed 29 Oct 2026, 15:36 IST · after market close · Monarch Networth Capital Ltd (MONARCH)
Key takeaways
- Consolidated net profit rose +25.19% QoQ to Rs 56.56 cr, while EPS increased +25.09% to Rs 7.13.
- Expenses grew +49.58% QoQ, faster than revenue at +35.48%, cutting operating margin by 3.53 percentage points to 62.47%.
- Operating margin of 62.47% was 2.94 percentage points above the 59.53% median for 58 reported Financial Services peers.
Price around the results
Revenue growth lifted Q2 profit
Monarch Networth Capital reported consolidated revenue growth of +35.48% QoQ, taking operating profit up +28.24% and net profit up +25.19% to Rs 56.56 cr. Net profit grew slower than operating profit as interest expense rose +23.48% and the tax rate increased by 2.81 percentage points. Other income contributed only 0.53% of pre-tax profit, so the quarter's earnings were largely operating-led.
Faster cost growth cut operating margin
Expenses grew +49.58% QoQ, outpacing revenue growth of +35.48%, which narrowed operating margin by 3.53 percentage points to 62.47%. Interest expense also increased +23.48%, while the tax rate rose from 18.73% to 21.54%. The margin decline is the first sequential direction visible in the reported trend, moving down from 66.00% in Q1FY27.
Margin stayed above the peer median
Monarch's 62.47% operating margin was 2.94 percentage points above the 59.53% median among 58 Financial Services peers that had reported the quarter. The results were filed after market close, so there is no post-results market reaction to assess.
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 | ₹123 cr | ₹91 cr | +35.48% |
| Other income | ₹0 cr | ₹0 cr | +137.50% |
| Expenses | ₹46 cr | ₹31 cr | +49.58% |
| Operating profit | ₹77 cr | ₹60 cr | +28.24% |
| Operating margin (%) | 62.47% | 66.00% | — |
| Interest | ₹3 cr | ₹2 cr | +23.48% |
| Depreciation | ₹2 cr | ₹2 cr | +4.42% |
| Profit before tax | ₹72 cr | ₹56 cr | +29.70% |
| Tax | ₹16 cr | ₹10 cr | +49.18% |
| Net profit | ₹57 cr | ₹45 cr | +25.19% |
| EPS (₹) | ₹7.13 | ₹5.70 | +25.09% |
Operating margin of 62.47% compares with a Financial Services sector median of 59.53% across 58 peers that have reported Q2FY27.
What to watch
- Whether operating margin holds above 62.47% next quarter.
- Whether expense growth moderates from +49.58% QoQ.
- Whether the tax rate moves below 21.54%.