Mukta Arts reports Rs 2.15 cr loss despite positive operating profit
Operating profit of Rs 0.89 cr was outweighed by interest and depreciation, while the results were filed after market close.
Filed 12 Aug 2026, 19:51 IST · after market close · MUKTAARTS (MUKTAARTS)
Key takeaways
- Consolidated Q1FY27 revenue of Rs 40.59 cr generated only Rs 0.89 cr of operating profit, leaving little cover for below-operating charges.
- Interest of Rs 2.76 cr and depreciation of Rs 4.91 cr outweighed operating profit and other income, resulting in a net loss of Rs 2.15 cr.
- The -11.65% tax rate did not improve earnings quality, as the company reported a pre-tax loss of Rs 1.92 cr.
Operating profit was too small to absorb fixed charges
Mukta Arts reported consolidated revenue of Rs 40.59 cr and operating profit of Rs 0.89 cr in Q1FY27. The modest operating surplus was insufficient against interest of Rs 2.76 cr and depreciation of Rs 4.91 cr, pushing profit before tax into a loss of Rs 1.92 cr.
Other income could not prevent a quarterly loss
Other income of Rs 4.86 cr provided support, but the company still reported a net loss of Rs 2.15 cr. The negative tax rate of -11.65% reflects tax expense despite the pre-tax loss and does not indicate an underlying earnings benefit.
No sequential or annual benchmark is available for this quarter
The reported operating margin was 2.18%, but there is no year-on-year or sequential comparison to establish whether profitability improved or weakened. The results were filed after market close, so there was no immediate market reaction to assess.
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 | ₹41 cr |
| Other income | ₹5 cr |
| Expenses | ₹40 cr |
| Operating profit | ₹1 cr |
| Operating margin (%) | 2.18% |
| Interest | ₹3 cr |
| Depreciation | ₹5 cr |
| Profit before tax | ₹-2 cr |
| Tax | ₹0 cr |
| Net profit | ₹-2 cr |
| EPS (₹) | ₹-0.95 |
What to watch
- Whether revenue moves above or below Rs 40.59 cr next quarter.
- Whether operating margin improves from 2.18%.
- Whether interest of Rs 2.76 cr and depreciation of Rs 4.91 cr continue to exceed operating profit.