Sanathan Textiles’ 8.10% margin trails 65-peer sector median
Interest and depreciation absorbed much of operating profit, while tax at 37.84% further limited the conversion to net profit.
Filed 03 Aug 2026, 18:03 IST · after market close · Sanathan Textiles Ltd (SANATHAN)
Key takeaways
- Sanathan Textiles reported a consolidated operating margin of 8.10%, 5.33 percentage points below the 13.43% median for 65 Consumer Discretionary peers.
- Interest of Rs 38.63 cr and depreciation of Rs 34.72 cr reduced operating profit of Rs 108.08 cr to profit before tax of Rs 38.32 cr.
- Tax at 37.84% of profit before tax left consolidated net profit at Rs 23.82 cr, with EPS of Rs 2.82.
Price around the results
Q1FY27 profit conversion weakened below operating level
Sanathan Textiles reported consolidated revenue of Rs 1334.74 cr and operating profit of Rs 108.08 cr in Q1FY27. Interest of Rs 38.63 cr and depreciation of Rs 34.72 cr brought profit before tax down to Rs 38.32 cr. Other income was Rs 3.59 cr, a small contribution relative to pre-tax profit, while tax at 37.84% resulted in net profit of Rs 23.82 cr.
Operating margin sits below the reported peer median
The company’s 8.10% operating margin was 5.33 percentage points below the 13.43% median among 65 Consumer Discretionary peers that had reported the quarter. Sanathan Textiles ranked 16th from the bottom on this measure, placing its margin meaningfully below the sector comparison.
Results were filed after the market close
The consolidated results were filed at 18:03 IST on 3 August 2026, after the market close. There is no reported post-results stock reaction yet, so the quarter’s market response cannot be assessed.
Q1FY27 at a glance
Consolidated figures as filed with NSE — cross-checked against an independent source.
| Line item | Q1FY27 |
|---|---|
| Revenue | ₹1,335 cr |
| Other income | ₹4 cr |
| Expenses | ₹1,227 cr |
| Operating profit | ₹108 cr |
| Operating margin (%) | 8.10% |
| Interest | ₹39 cr |
| Depreciation | ₹35 cr |
| Profit before tax | ₹38 cr |
| Tax | ₹15 cr |
| Net profit | ₹24 cr |
| EPS (₹) | ₹2.82 |
Operating margin of 8.10% compares with a Consumer Discretionary sector median of 13.43% across 65 peers that have reported Q1FY27.
What to watch
- Whether operating margin moves up from 8.10% toward the 13.43% sector median.
- Whether interest remains around the Rs 38.63 cr level relative to operating profit.
- Whether net profit conversion improves from the Rs 23.82 cr reported in Q1FY27.