Mukta Arts narrows loss as revenue grows and operating margin recovers
Revenue grew faster than expenses, lifting operating margin by 9.54 percentage points, but finance and depreciation costs kept the quarter loss-making.
Filed 05 Nov 2026, 18:31 IST · after market close · MUKTAARTS (MUKTAARTS)
Key takeaways
- Consolidated revenue rose +12.27% QoQ to Rs 45.57 cr, while expenses increased only +1.34%.
- Operating margin improved 9.54 percentage points to 11.72%, but interest and depreciation still left the company with a Rs 0.45 cr pre-tax loss.
- Net loss narrowed to Rs 0.36 cr from Rs 2.15 cr in Q1FY27, though other income fell -73.05% QoQ to Rs 1.31 cr.
Revenue growth brought the quarter closer to break-even
Consolidated revenue increased +12.27% QoQ to Rs 45.57 cr, while expenses rose only +1.34% to Rs 40.23 cr. That operating leverage lifted operating profit to Rs 5.34 cr from Rs 0.89 cr, but the company remained loss-making before tax at Rs 0.45 cr.
Margin recovery was offset by finance and depreciation costs
Operating margin expanded 9.54 percentage points to 11.72% because revenue grew faster than expenses. Interest declined -9.06% QoQ to Rs 2.51 cr and depreciation fell -6.52% to Rs 4.59 cr, but together they remained larger than operating profit. Other income fell -73.05% to Rs 1.31 cr and represented -291.11% of pre-tax profit, a distorted ratio because pre-tax profit was negative.
Loss narrowed sequentially, with no year-on-year benchmark
Net loss narrowed to Rs 0.36 cr from Rs 2.15 cr in Q1FY27, while EPS improved to negative Rs 0.16 from negative Rs 0.95. The improvement came mainly from the operating recovery rather than other income, which declined sharply; the available quarter trend shows operating margin moving up from 2.18% to 11.72%. The results were filed after market close on 5 Nov 2026, so there is no market reaction to assess yet.
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 | ₹46 cr | ₹41 cr | +12.27% |
| Other income | ₹1 cr | ₹5 cr | -73.05% |
| Expenses | ₹40 cr | ₹40 cr | +1.34% |
| Operating profit | ₹5 cr | ₹1 cr | +500.00% |
| Operating margin (%) | 11.72% | 2.18% | — |
| Interest | ₹3 cr | ₹3 cr | -9.06% |
| Depreciation | ₹5 cr | ₹5 cr | -6.52% |
| Profit before tax | ₹-0 cr | ₹-2 cr | +76.56% |
| Tax | ₹-0 cr | ₹0 cr | — |
| Net profit | ₹-0 cr | ₹-2 cr | +83.26% |
| EPS (₹) | ₹-0.16 | ₹-0.95 | +83.16% |
What to watch
- Whether operating margin holds above 11.72% in the next quarter.
- Whether revenue growth remains above +12.27% QoQ.
- Whether interest stays below Rs 2.51 cr and depreciation below Rs 4.59 cr.