Revenue more than doubled, but operating margin fell 8.41 points
Standalone Q2 revenue rose 111.63% QoQ, while expenses grew 147.62%; zero tax lifted net profit.
Filed 30 Oct 2026, 17:21 IST · after market close · Norben Tea & Exports Ltd (NORBTEAEXP)
Key takeaways
- Standalone Q2FY27 revenue rose +111.63% QoQ, but expenses grew +147.62%, cutting operating margin by 8.41 percentage points to 42.93%.
- Net profit rose +131.25% QoQ as the tax rate stayed at 0.00%, while interest expense increased +65.00%.
- Operating margin was 30.46 percentage points above the 12.47% median for 29 reported FMCG peers.
Price around the results
Revenue more than doubled, but cost growth was faster
Norben Tea & Exports reported standalone Q2FY27 revenue of Rs 2.73 cr, up +111.63% QoQ. Expenses increased +147.62%, faster than revenue, so operating margin narrowed 8.41 percentage points to 42.93%. Operating profit still rose +77.27%, but lagged the pace of revenue growth.
Zero tax rate supported profit conversion
Interest expense rose +65.00% QoQ, adding pressure below operating profit, while depreciation was unchanged. The 0.00% tax rate allowed profit before tax to flow fully into net profit. Other income contributed 6.76% of profit before tax, making it a secondary contributor rather than the main profit driver.
Margin remains well above the FMCG peer median
The 42.93% operating margin was 30.46 percentage points above the 12.47% median among 29 FMCG peers that had reported the quarter. Sequentially, margin declined from 51.34% in Q1FY27, marking a lower second quarter in the available trend. The results were filed after market close, so there is no post-results stock reaction to assess yet.
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 | ₹3 cr | ₹1 cr | +111.63% |
| Other income | ₹0 cr | ₹0 cr | +400.00% |
| Expenses | ₹2 cr | ₹1 cr | +147.62% |
| Operating profit | ₹1 cr | ₹1 cr | +77.27% |
| Operating margin (%) | 42.93% | 51.34% | — |
| Interest | ₹0 cr | ₹0 cr | +65.00% |
| Depreciation | ₹0 cr | ₹0 cr | +0.00% |
| Profit before tax | ₹1 cr | ₹0 cr | +131.25% |
| Tax | ₹0 cr | ₹0 cr | — |
| Net profit | ₹1 cr | ₹0 cr | +131.25% |
| EPS (₹) | ₹0.48 | ₹0.21 | +128.57% |
Operating margin of 42.93% compares with a Fast Moving Consumer Goods sector median of 12.47% across 29 peers that have reported Q2FY27.
What to watch
- Whether operating margin recovers from 42.93% after the 8.41-percentage-point QoQ decline.
- Whether expense growth slows from +147.62% QoQ relative to revenue growth of +111.63%.
- Whether the tax rate remains at 0.00% and other income stays close to 6.76% of profit before tax.