Quick Heal returns to profit, but core margin trails IT peers
Revenue rose +44.32% QoQ as expenses were nearly flat, but a tax credit and other income shaped the Rs 5.80 cr profit.
Filed 27 Oct 2026, 22:05 IST · after market close · Quick Heal Technologies Ltd (QUICKHEAL)
Key takeaways
- Consolidated revenue rose +44.32% QoQ to Rs 64.93 cr while operating margin recovered 42.59 percentage points to 3.54%.
- Net profit returned to Rs 5.80 cr from a Rs 5.28 cr loss, but other income equalled 192.61% of pre-tax profit.
- Quick Heal’s 3.54% operating margin was 15.84 percentage points below the 19.38% median for 26 IT peers.
Price around the results
Revenue rebound moves operations back into profit
Quick Heal’s consolidated revenue increased +44.32% QoQ, while expenses grew only +0.11%, taking operating profit to Rs 2.30 cr from a Rs 17.57 cr loss in Q1FY27. The operating margin consequently improved by 42.59 percentage points, although it remained modest at 3.54%. Net profit also turned positive at Rs 5.80 cr from a Rs 5.28 cr loss.
Profit quality was lifted by other income and tax
Other income accounted for 192.61% of pre-tax profit, reflecting the small operating profit base and making the reported profit less representative of core operations. The tax rate moved from 27.87% to -33.95%, so a tax credit also supported the net result. Depreciation rose +50.13% QoQ and interest was Rs 0.53 cr, adding pressure below operating profit.
Margin recovered, but ranked last among reporting IT peers
Sequentially, the 3.54% operating margin marked a sharp recovery from Q1FY27’s -39.05%, but it remained 15.84 percentage points below the 19.38% median for the 26 IT peers that had reported. The available quarterly direction is therefore an improvement from the prior quarter, though the core margin still lagged the sector comparison.
Results were filed after market close
The consolidated results were filed at 22:05 IST on 27 October 2026, after market close.
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 | ₹65 cr | ₹45 cr | +44.32% |
| Other income | ₹8 cr | ₹14 cr | -40.85% |
| Expenses | ₹63 cr | ₹63 cr | +0.11% |
| Operating profit | ₹2 cr | ₹-18 cr | — |
| Operating margin (%) | 3.54% | -39.05% | — |
| Interest | ₹1 cr | ₹0 cr | — |
| Depreciation | ₹6 cr | ₹4 cr | +50.13% |
| Profit before tax | ₹4 cr | ₹-7 cr | — |
| Tax | ₹-1 cr | ₹-2 cr | +27.94% |
| Net profit | ₹6 cr | ₹-5 cr | — |
| EPS (₹) | ₹1.03 | ₹-0.94 | — |
Operating margin of 3.54% compares with a Information Technology sector median of 19.38% across 26 peers that have reported Q2FY27.
What to watch
- Whether operating margin holds above 3.54% in the next quarter.
- Whether revenue remains above Rs 64.93 cr after the +44.32% QoQ increase.
- Whether other income’s share of pre-tax profit falls from 192.61%.