NAM-India margin climbs as operating profit outpaces revenue
Costs grew slower than revenue, but lower other income pulled profit before tax down -13.68% sequentially.
Filed 27 Apr 2026, 15:28 IST · NAM-INDIA (NAM-INDIA)
Key takeaways
- Operating margin rose 4.19 percentage points year on year as revenue growth of +30.39% outpaced expense growth of +15.02%.
- Net profit increased +28.84% year on year, but -33.29 cr of other income pulled profit before tax down -13.68% sequentially.
- The stock gained +7.50% five sessions after the results, well above the 2.02% median absolute move after the last eight results.
Price around the results
Operating profit widened faster than revenue in Q4FY26
NAM-India’s consolidated operating profit grew +38.87% year on year, ahead of the +30.39% increase in revenue, as expenses rose only +15.02%. Sequentially, operating profit increased +7.87% even though profit before tax fell -13.68%, reflecting the sharp decline in other income from Rs 75.45 cr to -Rs 33.29 cr. Net profit therefore declined -4.75% sequentially despite the operating gain.
Lower costs lifted margin, while tax aided the sequential profit picture
Revenue grew +4.74% sequentially while expenses fell -1.51%, lifting operating margin by 1.99 percentage points; this followed three consecutive quarterly margin increases from Q1FY26 to Q4FY26. Year on year, the margin expanded by 4.19 percentage points because revenue growth outpaced expense growth. The tax rate fell 7.84 percentage points sequentially and 4.65 percentage points year on year, which supported net profit, while other income contributed -7.24% of pre-tax profit.
Margin stayed above the Financial Services peer median
NAM-India’s 68.65% operating margin was 9.24 percentage points above the 59.41% median for the 52 Financial Services peers that had reported the same quarter. The comparison supports the view that the quarter’s margin expansion was not only a sequential improvement but also left the company above its reported sector reference point.
Digital activity was a focus in the investor presentation
The investor presentation reported 5.04 million digital purchases in Q4FY26. It also said the Digital Business completed 17.16 million new purchase and new SIP transactions during FY26. These disclosures point to the company’s digital distribution activity as an operating development to track alongside revenue growth.
The post-result move was larger than NAM-India’s usual reaction
The stock rose +1.06% on the result date and was up +7.50% after five sessions, with a +6.94% relative move against the benchmark. That five-session reaction was above the 2.02% median absolute move across the last eight results, when the stock rose after five and fell after three.
Q4FY26 at a glance
Consolidated figures as filed with NSE — cross-checked against an independent source.
| Line item | Q4FY26 | Q3FY26 | QoQ | YoY |
|---|---|---|---|---|
| Revenue | ₹739 cr | ₹705 cr | +4.74% | +30.39% |
| Other income | ₹-33 cr | ₹75 cr | — | — |
| Expenses | ₹232 cr | ₹235 cr | -1.51% | +15.02% |
| Operating profit | ₹507 cr | ₹470 cr | +7.87% | +38.87% |
| Operating margin (%) | 68.65% | 66.66% | — | — |
| Interest | ₹2 cr | ₹2 cr | -7.91% | -9.44% |
| Depreciation | ₹12 cr | ₹11 cr | +12.17% | +41.51% |
| Profit before tax | ₹460 cr | ₹533 cr | -13.68% | +21.67% |
| Tax | ₹75 cr | ₹129 cr | -41.64% | -5.26% |
| Net profit | ₹385 cr | ₹404 cr | -4.75% | +28.84% |
| EPS (₹) | ₹6.04 | ₹6.34 | -4.73% | +28.24% |
Operating margin of 68.65% compares with a Financial Services sector median of 59.41% across 52 peers that have reported Q4FY26.
How the stock reacted
| Window | Stock | vs NIFTY |
|---|---|---|
| Results day | +1.06% | +0.24% |
| Next session | +4.48% | — |
| 5 sessions | +7.50% | +6.94% |
| 15 sessions | +10.50% | — |
| 30 sessions | +8.39% | — |
Volume on the results session was 0.55× its 20-day average.
What management said
From the company’s own investor presentation. Each point is checked against the source document before it appears here.
This quarter
- Digital purchases reached 5.04 million in Q4 FY26.
- Digital Business completed 17.16 million new purchase and new SIP transactions in FY26.
New initiatives
- NAM India allocated INR 233 million towards CSR initiatives in FY26.
What to watch
- Whether operating margin remains near or above 68.65%.
- Other income relative to the -Rs 33.29 cr reported in Q4FY26.
- Digital purchases compared with 5.04 million in Q4FY26.