Revenue momentum lifted Reliance Chemotex's margin and profit in Q2FY27
Standalone revenue grew faster than expenses sequentially, but a tax credit was also central to the jump in net profit.
Filed 05 Nov 2026, 12:12 IST · Reliance Chemotex Industries Ltd (RELCHEMQ)
Key takeaways
- Standalone revenue rose 20.23% sequentially as expenses grew 19.28%, lifting operating margin by 0.71 percentage points to 11.64%.
- Net profit rose 234.31% sequentially to Rs 4.58 cr, helped by a tax rate of -10.01% and a tax credit.
- The stock gained 5.71% on the filing day, while the company's 11.64% operating margin was 0.06 percentage points above the 265-peer sector median.
Price around the results
Revenue growth outpaced cost growth
Standalone revenue increased to Rs 118.81 cr, up 20.23% sequentially from Q1FY27. Expenses grew 19.28%, so operating profit rose 28.06% and operating margin widened 0.71 percentage points to 11.64%. The margin was 0.06 percentage points above the 11.58% median for 265 Consumer Discretionary peers that had reported the quarter.
Tax credit amplified the profit increase
Net profit rose 234.31% sequentially to Rs 4.58 cr, while profit before tax increased 220.00% to Rs 4.16 cr. The tax rate moved from -5.13% to -10.01%, indicating that a larger tax credit supported the reported profit increase. Other income contributed 19.47% of pre-tax profit, so earnings quality was not entirely operating-led.
The quarter improved on Q1FY27 across key operating lines
Operating profit rose 28.06% sequentially, ahead of the 20.23% revenue increase, while interest was broadly stable with a 0.30% increase and depreciation rose 1.93%. This is the first sequential comparison in the available trend, so it shows improvement from Q1FY27 rather than a multi-quarter direction.
Shares rose 5.71% after the filing
The stock gained 5.71% on the filing day, with a 25.3 times volume ratio and a 3.3% relative move. The filing was made at 12:12 IST, so the market reaction occurred during the trading session.
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 | ₹119 cr | ₹99 cr | +20.23% |
| Other income | ₹1 cr | ₹1 cr | -10.00% |
| Expenses | ₹105 cr | ₹88 cr | +19.28% |
| Operating profit | ₹14 cr | ₹11 cr | +28.06% |
| Operating margin (%) | 11.64% | 10.93% | — |
| Interest | ₹7 cr | ₹7 cr | +0.30% |
| Depreciation | ₹4 cr | ₹4 cr | +1.93% |
| Profit before tax | ₹4 cr | ₹1 cr | +220.00% |
| Tax | ₹-0 cr | ₹-0 cr | -500.00% |
| Net profit | ₹5 cr | ₹1 cr | +234.31% |
| EPS (₹) | ₹6.07 | ₹1.81 | +235.36% |
Operating margin of 11.64% compares with a Consumer Discretionary sector median of 11.58% across 265 peers that have reported Q2FY27.
How the stock reacted
| Window | Stock | vs NIFTY |
|---|---|---|
| Results day | +5.71% | +3.30% |
Volume on the results session was 25.30× its 20-day average.
What to watch
- Whether operating margin holds above 11.64% after the 0.71 percentage-point sequential improvement.
- Whether interest remains near Rs 6.78 cr as operating profit grows.
- Whether the tax rate remains near -10.01% or moves back toward the Q1FY27 level of -5.13%.