Purple Style Labs posts Rs 88.13 cr loss as operating margin turns negative
Interest of Rs 33.99 cr and depreciation of Rs 34.84 cr widened the loss, while management pointed to FY26 investments and a sharper luxury focus.
Filed 24 Sep 2026, 18:31 IST · after market close · Purple Style Labs Ltd (PERNIASPOP)
Key takeaways
- A Rs 88.13 cr consolidated net loss was driven below a Rs 13.78 cr operating loss by Rs 33.99 cr of interest and Rs 34.84 cr of depreciation.
- Operating margin was -11.53%, versus the 11.45% median for 383 reported Consumer Discretionary peers, a -22.98 percentage-point gap.
- Management said returns from FY26 investments are expected to compound from FY27 as the company sharpens its focus on luxury.
Price around the results
Operating loss widened by financing and depreciation charges
Purple Style Labs reported a consolidated operating loss of Rs 13.78 cr in Q1FY27, as expenses of Rs 133.22 cr exceeded revenue of Rs 119.44 cr. Interest of Rs 33.99 cr, depreciation of Rs 34.84 cr and negative other income of Rs 5.52 cr pushed the loss before tax to Rs 88.13 cr. With tax at zero, the reported net loss was also Rs 88.13 cr.
Margin was well below the reported peer median
The -11.53% operating margin places the company below the 11.45% median among 383 Consumer Discretionary peers that had reported the same quarter. The gap was -22.98 percentage points, and the company ranked 13th from the bottom on this measure.
New stores and a narrower luxury strategy shape the next phase
The company said Fort Mumbai and South-Ex Delhi have been fully operational since Q2FY26, while Madison Avenue New York and Linking Road Bandra Mumbai became operational in Q1FY27. Management said it has been removing the mass-premium long tail among designers and customers since FY25 and is sharpening its focus on luxury. It also said returns from investments made in FY26 are expected to compound from FY27.
Results were filed after market close
The company filed these consolidated results after market close on 24 Sep 2026. The post-results stock reaction is therefore not part of this update.
Q1FY27 at a glance
Consolidated figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q1FY27 |
|---|---|
| Revenue | ₹119 cr |
| Other income | ₹-6 cr |
| Expenses | ₹133 cr |
| Operating profit | ₹-14 cr |
| Operating margin (%) | -11.53% |
| Interest | ₹34 cr |
| Depreciation | ₹35 cr |
| Profit before tax | ₹-88 cr |
| Tax | ₹0 cr |
| Net profit | ₹-88 cr |
| EPS (₹) | ₹-12.92 |
Operating margin of -11.53% compares with a Consumer Discretionary sector median of 11.45% across 383 peers that have reported Q1FY27.
What management said
From the company’s own investor presentation. Each point is checked against the source document before it appears here.
Guidance & outlook
- The company expects returns from its FY26 investments to compound from FY27.
Expansion
- Fort Mumbai and South-Ex Delhi have been fully operational since Q2FY26.
- Madison Avenue New York and Linking Road Bandra Mumbai became operational from Q1FY27.
New initiatives
- The company has implemented a strategy to eliminate the mass-premium long tail among designers and customers since FY25.
- The company is sharpening its focus on luxury as part of its third-generation strategy.
What to watch
- Whether operating margin improves from -11.53%.
- Whether revenue moves ahead of the Rs 133.22 cr expense base after Q1FY27 revenue of Rs 119.44 cr.
- Whether interest of Rs 33.99 cr and depreciation of Rs 34.84 cr continue to weigh on earnings.