Interest and depreciation cut PRAKASH's Q1 operating-to-PBT conversion
Standalone net profit was Rs 71.27 cr, while interest and depreciation absorbed a substantial part of operating profit before tax.
Filed 11 Aug 2026, 14:56 IST · PRAKASH (PRAKASH)
Key takeaways
- Standalone Q1FY27 net profit was Rs 71.27 cr, with operating profit of Rs 147.34 cr supporting a 14.28% operating margin.
- Interest of Rs 18.43 cr and depreciation of Rs 42.85 cr reduced operating profit to profit before tax of Rs 92.74 cr.
- Other income of Rs 6.68 cr was not the main contributor to profit before tax, while the tax rate was 23.15%.
Standalone Q1 earnings profile
PRAKASH's standalone Q1FY27 result generated Rs 1,032 cr of revenue and Rs 147.34 cr of operating profit, a 14.28% operating margin. Net profit was Rs 71.27 cr, showing that the main pressure on earnings came after the operating line.
Interest and depreciation shaped the profit bridge
Interest of Rs 18.43 cr and depreciation of Rs 42.85 cr reduced operating profit to profit before tax of Rs 92.74 cr. This makes the gap between operating profit and net profit primarily a function of financing and asset-related charges, rather than other income.
Other income was a limited profit-quality factor
Other income of Rs 6.68 cr was small relative to profit before tax of Rs 92.74 cr, so reported earnings were not mainly supported by non-operating income. The company reported a tax charge of Rs 21.47 cr, corresponding to a 23.15% tax rate.
Q1FY27 at a glance
Standalone figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q1FY27 |
|---|---|
| Revenue | ₹1,032 cr |
| Other income | ₹7 cr |
| Expenses | ₹885 cr |
| Operating profit | ₹147 cr |
| Operating margin (%) | 14.28% |
| Interest | ₹18 cr |
| Depreciation | ₹43 cr |
| Profit before tax | ₹93 cr |
| Tax | ₹21 cr |
| Net profit | ₹71 cr |
| EPS (₹) | ₹3.98 |
What to watch
- Whether operating margin remains above 14.28%.
- Whether interest and depreciation continue to take a large share of operating profit.
- Whether the tax rate remains near 23.15%.