Nahar Spinning profit rises despite a 7.42% sequential revenue drop
Lower interest and a 2.48-point tax-rate decline offset weaker sales; other income contributed 14.81% of pre-tax profit.
Filed 30 Oct 2026, 15:27 IST · Nahar Spinning Mills Ltd (NAHARSPING)
Key takeaways
- Standalone net profit rose +1.67% QoQ to Rs 71.05 cr despite a -7.42% revenue decline.
- Operating margin edged up 0.01 percentage points as expenses fell -7.43%, slightly faster than revenue.
- Other income contributed 14.81% of pre-tax profit, while the tax rate fell 2.48 percentage points to 22.69%.
Price around the results
Profit held up as sales weakened
Standalone revenue fell -7.42% QoQ to Rs 894.44 cr, while operating profit declined -7.30% to Rs 117.81 cr. Net profit nevertheless rose +1.67% to Rs 71.05 cr, helped by lower interest and tax costs below the operating line. EPS increased +1.60% to Rs 19.69.
Costs tracked revenue, but earnings quality was mixed
Expenses fell -7.43%, fractionally faster than revenue, keeping operating margin broadly stable at 13.17%, up 0.01 percentage points QoQ. Interest expense fell -30.01%, partly offsetting an +8.12% rise in depreciation. Other income accounted for 14.81% of pre-tax profit, while the lower 22.69% tax rate also supported net profit.
Margin was close to the consumer discretionary median
Nahar Spinning's 13.17% operating margin was 0.08 percentage points above the 13.09% median for the 129 Consumer Discretionary peers that had reported. The sequential move from 13.16% to 13.17% indicates stability rather than a material margin shift.
Q2FY27 at a glance
Standalone figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q2FY27 | Q1FY27 | QoQ |
|---|---|---|---|
| Revenue | ₹894 cr | ₹966 cr | -7.42% |
| Other income | ₹14 cr | ₹9 cr | +44.48% |
| Expenses | ₹777 cr | ₹839 cr | -7.43% |
| Operating profit | ₹118 cr | ₹127 cr | -7.30% |
| Operating margin (%) | 13.17% | 13.16% | — |
| Interest | ₹13 cr | ₹19 cr | -30.01% |
| Depreciation | ₹26 cr | ₹25 cr | +8.12% |
| Profit before tax | ₹92 cr | ₹93 cr | -1.58% |
| Tax | ₹21 cr | ₹24 cr | -11.28% |
| Net profit | ₹71 cr | ₹70 cr | +1.67% |
| EPS (₹) | ₹19.69 | ₹19.38 | +1.60% |
Operating margin of 13.17% compares with a Consumer Discretionary sector median of 13.09% across 129 peers that have reported Q2FY27.
What to watch
- Revenue and operating profit versus Rs 894.44 cr and Rs 117.81 cr in the next quarterly filing.
- Whether operating margin holds near 13.17% as expenses move from Rs 776.63 cr.
- Whether other income's 14.81% share of pre-tax profit declines and interest expense stays below Rs 13.04 cr.