Revenue growth restored operating profit, but Purple Style Labs still lost Rs 68.29 cr
Sequential revenue growth outpaced expense growth, but interest and depreciation kept the consolidated result deeply negative.
Filed 02 Nov 2026, 18:21 IST · after market close · Purple Style Labs Ltd (PERNIASPOP)
Key takeaways
- Consolidated revenue rose 18.98% sequentially while expenses grew 6.55%, lifting operating margin by 11.64 percentage points to 0.11%.
- The 0.11% operating margin was 12.39 percentage points below the 12.50% median for 155 Consumer Discretionary peers that had reported.
Price around the results
Q2 revenue growth moved operations back into profit
Purple Style Labs' consolidated revenue increased 18.98% sequentially, while expenses rose 6.55%, taking operating profit from a loss of Rs 13.78 cr in Q1FY27 to Rs 0.15 cr in Q2FY27. That combination expanded operating margin by 11.64 percentage points, although the resulting 0.11% margin remained thin. Other income also moved from negative Rs 5.52 cr to Rs 0.77 cr, but it was only -1.13% of pre-tax profit because the company remained loss-making.
Financing and depreciation absorbed the operating recovery
The operating improvement did not reach net profit because interest was Rs 33.94 cr and depreciation was Rs 35.28 cr in the quarter. Interest was broadly unchanged sequentially at -0.15%, while depreciation increased 1.26%, leaving the company with a consolidated pre-tax and net loss of Rs 68.29 cr. The tax rate was 0.00%, so there was no tax-rate benefit behind the reported loss.
Margin remains near the bottom of the reporting peer set
Q2FY27 marked an improvement from Q1FY27's -11.53% operating margin, but the latest 0.11% was 12.39 percentage points below the 12.50% median of 155 Consumer Discretionary peers that had reported. Purple Style Labs ranked 15th from the bottom on this measure. With only Q1FY27 and Q2FY27 in the available trend, the direction is a sharp sequential margin recovery rather than a sustained multi-quarter trend.
Management linked the strategy to luxury and new centres
Management said it had opened four large-format experience centres, with Fort Mumbai and South-Ex Delhi operational since Q2FY26 and Madison Avenue New York and Linking Road Bandra Mumbai since Q1FY27. The company said it had been removing the mass-premium long tail among designers and customers since FY25 and was sharpening its focus on luxury categories. Management also stated that returns compound from FY27; the results were filed after market close on 2 November 2026, so there was no reported market reaction yet.
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 |
|---|---|---|---|
| Revenue | ₹142 cr | ₹119 cr | +18.98% |
| Other income | ₹1 cr | ₹-6 cr | — |
| Expenses | ₹142 cr | ₹133 cr | +6.55% |
| Operating profit | ₹0 cr | ₹-14 cr | — |
| Operating margin (%) | 0.11% | -11.53% | — |
| Interest | ₹34 cr | ₹34 cr | -0.15% |
| Depreciation | ₹35 cr | ₹35 cr | +1.26% |
| Profit before tax | ₹-68 cr | ₹-88 cr | +22.51% |
| Tax | ₹0 cr | ₹0 cr | — |
| Net profit | ₹-68 cr | ₹-88 cr | +22.51% |
| EPS (₹) | ₹-9.51 | ₹-12.92 | +26.39% |
Operating margin of 0.11% compares with a Consumer Discretionary sector median of 12.50% across 155 peers that have reported Q2FY27.
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 states that returns will compound from FY27.
Expansion
- Four new large-format centres were opened, with Fort Mumbai and South-Ex Delhi operational since Q2FY26 and the other two from Q1FY27.
New initiatives
- Since FY25, the company has implemented a strategy to eliminate the mass-premium long tail among designers and customers.
- The company is sharpening its focus on luxury categories.
What to watch
- Whether operating margin holds above the Q2FY27 level of 0.11%.
- Whether expense growth remains below revenue growth, after +6.55% versus +18.98% sequentially in Q2FY27.
- Whether the consolidated net loss narrows from Rs 68.29 cr while interest remains near Rs 33.94 cr and depreciation near Rs 35.28 cr.