Praxis’ operating margin falls 7.13 points as costs outpace revenue
Revenue declined 5.83% qoq while expenses increased 0.42%, widening the standalone PBT loss by 15.73%.
Filed 05 Nov 2026, 18:42 IST · after market close · Praxis Home Retail Ltd (PRAXIS)
Key takeaways
- Praxis’ standalone operating margin narrowed 7.13 percentage points qoq to -14.69% as revenue fell 5.83% while expenses rose 0.42%.
- The standalone PBT loss widened 15.73% qoq to Rs 12.8 cr, with interest nearly unchanged at Rs 5.6 cr and the tax rate at 0.0%.
- Praxis’ -14.69% operating margin was 26.25 percentage points below the 11.56% median for 262 Consumer Discretionary peers that had reported.
Price around the results
Revenue-cost mismatch deepened the operating loss
In Q2FY27, standalone revenue declined 5.83% qoq while expenses increased 0.42%. That mismatch pushed the operating margin down 7.13 percentage points to -14.69%, extending the operating loss rather than reflecting a simple volume-led slowdown.
Interest remained a drag below operating profit
Interest was broadly unchanged qoq, falling just 0.36%, while depreciation declined 2.10%; neither was enough to offset the operating loss. Other income represented -8.91% of PBT because PBT remained negative, so it did not reverse the loss, and the unchanged 0.0% tax rate did not flatter the qoq comparison.
Margin was near the bottom of the reported peer set
Praxis’ -14.69% operating margin was 26.25 percentage points below the 11.56% median among 262 reported Consumer Discretionary peers, ranking 13th from the bottom. The Q2FY27 results were filed after market close on 5 November 2026, so there is no post-results stock reaction to assess yet.
Q2FY27 at a glance
Standalone figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q2FY27 | Q1FY27 | QoQ |
|---|---|---|---|
| Revenue | ₹25 cr | ₹27 cr | -5.83% |
| Other income | ₹1 cr | ₹1 cr | -13.64% |
| Expenses | ₹29 cr | ₹29 cr | +0.42% |
| Operating profit | ₹-4 cr | ₹-2 cr | -83.08% |
| Operating margin (%) | -14.69% | -7.56% | — |
| Interest | ₹6 cr | ₹6 cr | -0.36% |
| Depreciation | ₹5 cr | ₹5 cr | -2.10% |
| Profit before tax | ₹-13 cr | ₹-11 cr | -15.73% |
| Tax | ₹0 cr | ₹0 cr | — |
| Net profit | ₹-13 cr | ₹-11 cr | -15.73% |
| EPS (₹) | ₹-0.69 | ₹-0.60 | -15.00% |
Operating margin of -14.69% compares with a Consumer Discretionary sector median of 11.56% across 262 peers that have reported Q2FY27.
What to watch
- Whether operating margin improves from -14.69% after the 7.13 percentage-point qoq decline.
- Whether revenue reverses the 5.83% qoq decline while expenses remain near the 0.42% qoq increase.
- Whether interest moves materially from Rs 5.6 cr as the PBT loss is tracked.