Revenue rose 11.35% QoQ, but net profit slipped 0.8%
Better mix and Noida Unit 3 operating leverage lifted margin, but lower other income and a higher tax rate limited profit growth.
Filed 05 Nov 2026, 16:17 IST · after market close · Optiemus Infracom Ltd (OPTIEMUS)
Key takeaways
- Consolidated revenue grew 11.35% sequentially, faster than expenses at 10.61%, lifting operating margin by 0.64 percentage points.
- Net profit declined 0.8% QoQ as other income fell 69.6% and the tax rate rose 2.3 percentage points.
- At 4.08%, Optiemus's operating margin was 20.73 percentage points below the 24.81% median of 11 reported telecom peers.
Price around the results
Revenue growth converted into operating profit, not net profit
Optiemus reported consolidated revenue growth of 11.35% QoQ in Q2FY27, while expenses grew 10.61%; operating profit therefore rose 32.0%. The benefit did not reach net profit, which fell 0.8% as other income declined 69.6% and the tax rate increased by 2.3 percentage points. Other income still accounted for 11.25% of pre-tax profit, making it a meaningful contributor to reported earnings.
Mix and Noida ramp lifted the 4.08% margin
The presentation attributed the 0.64 percentage-point sequential improvement in operating margin to a better product mix and operating leverage from the ramp-up of Unit 3 in Noida. Interest expense fell 6.74%, but depreciation rose 30.77%, reflecting a higher cost burden below operating profit. Management said incubation expenses for the drones and cover-glass businesses reduced Q2 EBITDA by Rs 357 lakh and PAT by Rs 411 lakh.
Margin remains near the bottom of the telecom peer set
Optiemus's 4.08% operating margin was 20.73 percentage points below the 24.81% median among 11 telecom peers that have reported the quarter. It ranked second from the bottom in that comparison. With only Q1FY27 in the supplied trend, the available direction is a sequential margin recovery from 3.44%, rather than evidence of a longer multi-quarter trend.
Management maintained FY27 revenue guidance and outlined capacity additions
Management said it maintained its guidance to double overall revenue in FY27 and told analysts it expects FY29 revenue growth of 30–35% to reach Rs 8,500 cr. The company said its brownfield plant is being scaled from 2 million to 5 million screen-protector pieces per month, with commissioning expected by January 2027, while the greenfield plant has capacity for 20 million pieces per month and is expected to be operational by March 2027. Management also said non-mobile partnerships gained traction in Q2 and that the next B2C launch is planned for Q4 FY27.
Results were filed after market close
The consolidated results were filed after market close on 5 November 2026. There is no reported market reaction yet, so the share-price response cannot be placed against the stock's post-results history.
Q2FY27 at a glance
Consolidated figures as filed with NSE — cross-checked against an independent source.
| Line item | Q2FY27 | Q1FY27 | QoQ |
|---|---|---|---|
| Revenue | ₹983 cr | ₹883 cr | +11.35% |
| Other income | ₹3 cr | ₹11 cr | -69.60% |
| Expenses | ₹943 cr | ₹853 cr | +10.61% |
| Operating profit | ₹40 cr | ₹30 cr | +32.00% |
| Operating margin (%) | 4.08% | 3.44% | — |
| Interest | ₹6 cr | ₹6 cr | -6.74% |
| Depreciation | ₹9 cr | ₹7 cr | +30.77% |
| Profit before tax | ₹29 cr | ₹28 cr | +2.34% |
| Tax | ₹8 cr | ₹7 cr | +11.76% |
| Net profit | ₹21 cr | ₹21 cr | -0.80% |
| EPS (₹) | ₹2.42 | ₹2.39 | +1.26% |
Operating margin of 4.08% compares with a Telecommunication sector median of 24.81% across 11 peers that have reported Q2FY27.
How the stock reacted
| Window | Stock | vs NIFTY |
|---|---|---|
| Results day | -10.65% | -12.66% |
Volume on the results session was 1.18× 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
- Non-mobile partnerships gained traction during Q2.
- Q2 EBITDA margin improved sequentially due to product mix and operating leverage from ramping up Unit 3 in Noida.
Guidance & outlook
- The company maintained its guidance to double overall revenue in FY27.
- The company expects FY29 revenue growth of 30–35% to reach ₹8,500 crore.
Expansion
- The brownfield plant is being scaled from 2 million to 5 million screen-protector pieces per month.
- The new greenfield plant has capacity to manufacture 20 million pieces per month.
- The brownfield expansion is expected to come on stream by January 2027.
- The new greenfield plant is expected to be operational by March 2027.
New initiatives
- Optiemus and Nothing are progressing a roughly 51:49 joint venture for CMF.
- Optiemus Unmanned Systems is a wholly owned subsidiary developing defence and precision-agriculture platforms.
- The company plans its next B2C launch in Q4 FY27.
Problems & risks
- The company is accelerating capex in response to the recent BIS compliance mandate.
- Incubation expenses for the drones and cover-glass businesses reduced Q2 EBITDA and PAT by ₹357 lakh and ₹411 lakh, respectively.
- Higher depreciation increased 44% year over year in Q2.
What to watch
- Whether operating margin holds above 4.08% as Unit 3 in Noida ramps further.
- Whether the brownfield expansion comes on stream by January 2027, as management said.
- Whether the greenfield plant becomes operational by March 2027, as management said.