Orissa Minerals swings back to profit as costs fall 48.83% QoQ
Revenue slipped 1.21% QoQ, but operating margin reversed from -32.24% to 31.51%; a lower tax rate also aided net profit.
Filed 18 Sep 2026, 15:02 IST · Orissa Minerals Development Company Ltd (ORISSAMINE)
Key takeaways
- Standalone OMDC swung to a Rs 3.45 cr net profit from a Rs 7.61 cr sequential loss.
- Expenses fell 48.83% QoQ while revenue slipped 1.21%, lifting operating margin by 63.75 percentage points.
- Operating margin at 31.51% was 17.64 percentage points above the 13.87% median for 161 reported commodities peers.
Price around the results
Cost reduction drove the standalone profit swing
On a standalone basis, revenue slipped 1.21% QoQ to Rs 28.65 cr, so the profit recovery did not come from topline growth. Expenses fell 48.83% to Rs 19.62 cr, reversing the operating loss in Q4FY26 and lifting operating profit to Rs 9.03 cr. The result was a 63.75-percentage-point improvement in operating margin, to 31.51%.
Lower tax helped, while interest stayed elevated
Interest expense rose 3.44% QoQ even as operating profit recovered, limiting the conversion of operating profit into pre-tax profit. Other income accounted for 17.54% of pre-tax profit, so reported earnings included a meaningful non-operating contribution. The tax rate fell by 7.36 percentage points to 27.90%, which also supported the sequential net-profit improvement.
Margin moved above the commodities peer median
OMDC's 31.51% operating margin was 17.64 percentage points above the 13.87% median among 161 commodities peers that had reported the quarter. The available quarter-on-quarter trend shows a sharp move from a -32.24% operating margin in Q4FY26 to positive territory in Q1FY27, rather than an established multi-quarter direction.
Shares fell after the filing
The stock declined 1.93% on the filing day and was down 4.15% by the fifth trading day. Trading volume was 3.06 times the average on the filing day.
Q1FY27 at a glance
Standalone figures as filed with NSE — cross-checked against an independent source.
| Line item | Q1FY27 | Q4FY26 | QoQ |
|---|---|---|---|
| Revenue | ₹29 cr | ₹29 cr | -1.21% |
| Other income | ₹1 cr | ₹2 cr | -65.71% |
| Expenses | ₹20 cr | ₹38 cr | -48.83% |
| Operating profit | ₹9 cr | ₹-9 cr | — |
| Operating margin (%) | 31.51% | -32.24% | — |
| Interest | ₹5 cr | ₹5 cr | +3.44% |
| Depreciation | ₹0 cr | ₹0 cr | +28.57% |
| Profit before tax | ₹5 cr | ₹-12 cr | — |
| Tax | ₹1 cr | ₹-4 cr | — |
| Net profit | ₹3 cr | ₹-8 cr | — |
| EPS (₹) | ₹5.75 | ₹-12.68 | — |
Operating margin of 31.51% compares with a Commodities sector median of 13.87% across 161 peers that have reported Q1FY27.
How the stock reacted
| Window | Stock | vs NIFTY |
|---|---|---|
| Results day | -1.93% | -2.26% |
| Next session | -1.94% | — |
| 5 sessions | -4.15% | -3.59% |
Volume on the results session was 3.06× its 20-day average.
What to watch
- Whether operating margin holds above 31.51%.
- Whether expenses remain below Rs 19.62 cr as revenue stays around Rs 28.65 cr.
- Whether other income remains a meaningful part of pre-tax profit after contributing 17.54% in Q1FY27.