PCBL profit halves as costs outpace flat revenue
Operating margin fell to 11.90% as expenses grew 4.92% quarter-on-quarter, while other income supplied 15.65% of pre-tax profit.
Filed 02 Nov 2026, 13:21 IST · PCBL Chemical Ltd (PCBL)
Key takeaways
- PCBL Chemical's consolidated net profit fell 52.15% quarter-on-quarter to Rs 74.14 cr as operating profit declined 25.55%.
- Expenses rose 4.92% while revenue grew only 0.04%, narrowing operating margin by 4.09 percentage points to 11.90%.
- Other income contributed 15.65% of pre-tax profit, while the tax rate rose 2.10 percentage points to 26.25%.
Price around the results
Flat revenue failed to protect operating profit
Consolidated revenue was virtually flat quarter-on-quarter at +0.04%, but operating profit fell 25.55% to Rs 294.48 cr. Expenses grew 4.92%, so the near-unchanged topline did not convert into operating earnings. Net profit fell 52.15% to Rs 74.14 cr, with EPS declining 52.28% to Rs 1.88.
Higher costs, interest and tax compressed earnings
The faster rise in expenses cut operating margin by 4.09 percentage points from 15.99% in Q1FY27 to 11.90%. Interest expense increased 12.29% to Rs 103.88 cr, adding pressure below operating profit. The tax rate also rose from 24.15% to 26.25%, while other income of Rs 15.73 cr accounted for 15.65% of pre-tax profit and partly supported reported earnings.
Margin trails the commodity peer median
PCBL's 11.90% operating margin was 2.73 percentage points below the 14.63% median for the 75 commodity-sector peers that had reported. It ranked 25th from the bottom on this measure. The available quarter-on-quarter direction was sharply negative, with margin moving from 15.99% in Q1FY27 to 11.90% in Q2FY27.
Q2FY27 at a glance
Consolidated figures as filed with NSE — cross-checked against an independent source.
| Line item | Q2FY27 | Q1FY27 | QoQ |
|---|---|---|---|
| Revenue | ₹2,474 cr | ₹2,473 cr | +0.04% |
| Other income | ₹16 cr | ₹4 cr | +257.50% |
| Expenses | ₹2,180 cr | ₹2,078 cr | +4.92% |
| Operating profit | ₹294 cr | ₹396 cr | -25.55% |
| Operating margin (%) | 11.90% | 15.99% | — |
| Interest | ₹104 cr | ₹93 cr | +12.29% |
| Depreciation | ₹106 cr | ₹103 cr | +2.55% |
| Profit before tax | ₹101 cr | ₹204 cr | -50.78% |
| Tax | ₹26 cr | ₹49 cr | -46.49% |
| Net profit | ₹74 cr | ₹155 cr | -52.15% |
| EPS (₹) | ₹1.88 | ₹3.94 | -52.28% |
Operating margin of 11.90% compares with a Commodities sector median of 14.63% across 75 peers that have reported Q2FY27.
What to watch
- Whether operating margin recovers from 11.90% after the 4.09-percentage-point quarter-on-quarter decline.
- Whether expenses moderate from the current +4.92% quarter-on-quarter growth while revenue remains near +0.04%.
- Whether interest expense moves below or above Rs 103.88 cr after rising +12.29% quarter-on-quarter.