Oberoi Realty lifts margin as quarterly profit stays flat year on year
Revenue fell 6.08% year on year, but lower expenses and interest costs limited the impact on profit; the results were filed after market close.
Filed 16 Oct 2026, 16:46 IST · after market close · Oberoi Realty Ltd (OBEROIRLTY)
Key takeaways
- Oberoi Realty's consolidated net profit was broadly flat year on year at Rs 761.65 cr despite a 6.08% decline in revenue.
- Operating margin improved 4.56 percentage points sequentially to 60.99% as revenue grew 28.45%, faster than expenses at 15.00%.
- Other income contributed 7.00% of pre-tax profit, while the stock has fallen after six of its last eight results with a median absolute move of 4.01%.
Price around the results
Revenue fell year on year but rebounded sequentially
Oberoi Realty reported consolidated revenue of Rs 1,670.95 cr, down 6.08% year on year but up 28.45% from the previous quarter. The year-on-year decline did not translate into a material profit decline because expenses fell faster, by 14.10%, while interest costs declined 18.31%. Profit before tax therefore edged up 0.25% year on year, and net profit rose 0.18%.
Lower cost growth lifted operating margin
Operating margin rose 3.64 percentage points year on year and 4.56 percentage points sequentially to 60.99%. Sequentially, revenue growth of 28.45% outpaced expense growth of 15.00%, which drove the margin expansion. Other income was Rs 69.66 cr, equal to 7.00% of pre-tax profit, so it supported earnings but was not the main explanation for the operating improvement.
Margin has improved for two straight quarters
The margin increased from 54.88% in Q4FY26 to 56.43% in Q1FY27 and 60.99% in Q2FY27, reversing the decline seen in Q4FY26. The company's margin was 51.39 percentage points above the 9.60% median for the 17 Consumer Discretionary peers that had reported the same quarter, placing it above all of them on this measure.
No immediate market reaction after the post-close filing
The results were filed after market close, so there is no immediate market reaction to report. Across the last eight result reactions, the stock fell six times and rose twice; the median absolute move was 4.01%, providing the recent context for the next trading response.
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 | YoY |
|---|---|---|---|---|
| Revenue | ₹1,671 cr | ₹1,301 cr | +28.45% | -6.08% |
| Other income | ₹70 cr | ₹65 cr | +7.30% | -10.06% |
| Expenses | ₹652 cr | ₹567 cr | +15.00% | -14.10% |
| Operating profit | ₹1,019 cr | ₹734 cr | +38.83% | -0.11% |
| Operating margin (%) | 60.99% | 56.43% | — | — |
| Interest | ₹58 cr | ₹52 cr | +10.89% | -18.31% |
| Depreciation | ₹35 cr | ₹35 cr | +0.09% | +4.76% |
| Profit before tax | ₹996 cr | ₹712 cr | +39.91% | +0.25% |
| Tax | ₹234 cr | ₹168 cr | +39.19% | +0.49% |
| Net profit | ₹762 cr | ₹544 cr | +40.14% | +0.18% |
| EPS (₹) | ₹20.95 | ₹14.95 | +40.13% | +0.19% |
Operating margin of 60.99% compares with a Consumer Discretionary sector median of 9.60% across 17 peers that have reported Q2FY27.
What to watch
- Whether operating margin holds above 60.99% after its 4.56-percentage-point sequential increase.
- Whether expenses continue to grow more slowly than revenue after the latest 28.45% revenue and 15.00% expense growth rates.
- Whether other income remains near its latest 7.00% share of pre-tax profit.