Revenue recovered, but Regency Ceramics remained loss-making
Lower expenses sharply improved operating margin, but the collapse in other income left the standalone pre-tax loss wider sequentially.
Filed 12 Nov 2026, 19:07 IST · after market close · Regency Ceramics Ltd (REGENCERAM)
Key takeaways
- Revenue rose +26.90% QoQ while expenses fell -22.75%, narrowing the standalone operating loss to Rs 2.68 cr.
- The standalone pre-tax loss widened to Rs 3.34 cr as other income fell -98.52% QoQ to Rs 0.20 cr.
- Regency Ceramics' -11.50% operating margin was 22.73 percentage points below the 11.23% median for 329 Consumer Discretionary peers.
Price around the results
Revenue recovery narrowed the operating loss
The standalone revenue increase to Rs 23.26 cr was accompanied by a -22.75% QoQ decline in expenses, so costs did not grow faster than sales. That combination narrowed the operating loss from Rs 15.25 cr in Q1FY27 to Rs 2.68 cr and improved operating margin by 71.74 percentage points, although it remained negative at -11.50%.
Lower other income weakened reported profit quality
Other income fell -98.52% QoQ from Rs 13.54 cr to Rs 0.20 cr, removing the support it provided in the previous quarter. The pre-tax loss therefore widened from Rs 2.57 cr to Rs 3.34 cr despite the much smaller operating loss; the reported other-income-to-PBT ratio was -5.99%. Interest was unchanged at Rs 0.14 cr, depreciation rose +1.41%, and the zero tax charge meant net loss matched pre-tax loss.
Margin remained below the sector despite the sequential improvement
Regency Ceramics' -11.50% operating margin was 22.73 percentage points below the 11.23% median among 329 Consumer Discretionary peers that had reported the quarter. The company ranked 19th from the bottom on this measure. The results were filed after market close on 12 November 2026.
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 | ₹23 cr | ₹18 cr | +26.90% |
| Other income | ₹0 cr | ₹14 cr | -98.52% |
| Expenses | ₹26 cr | ₹34 cr | -22.75% |
| Operating profit | ₹-3 cr | ₹-15 cr | +82.43% |
| Operating margin (%) | -11.50% | -83.24% | — |
| Interest | ₹0 cr | ₹0 cr | +0.00% |
| Depreciation | ₹1 cr | ₹1 cr | +1.41% |
| Profit before tax | ₹-3 cr | ₹-3 cr | -29.96% |
| Tax | ₹0 cr | ₹0 cr | — |
| Net profit | ₹-3 cr | ₹-3 cr | -29.96% |
| EPS (₹) | ₹-1.26 | ₹-0.97 | -29.90% |
Operating margin of -11.50% compares with a Consumer Discretionary sector median of 11.23% across 329 peers that have reported Q2FY27.
What to watch
- Whether operating margin improves from -11.50% after the 71.74-percentage-point sequential recovery.
- Whether revenue builds on Rs 23.26 cr without expenses rising from Rs 25.94 cr.
- Whether other income remains near Rs 0.20 cr rather than returning to the Q1FY27 level of Rs 13.54 cr.