Sansera profit jumps 107.84% as operating margin reaches 19.32%
Profit growth was helped by other income equal to 19.7% of pre-tax profit and a 5.15-point YoY decline in the tax rate.
Filed 28 May 2026, 11:38 IST · after market close · Sansera Engineering Ltd (SANSERA)
Key takeaways
- Consolidated net profit rose +107.84% YoY, far outpacing the +27.77% increase in revenue.
- Operating margin expanded 3.07 percentage points YoY to 19.32% as expenses grew +23.10%, slower than revenue.
- The stock rose 14.81% on the reaction day, well above its 2.53% median absolute move after eight recent results.
Price around the results
Revenue momentum accelerated in Q4FY26
Sansera’s consolidated revenue grew +27.77% YoY and +10.03% QoQ, while net profit increased +107.84% YoY and +77.27% QoQ. The sequential improvement shows that the quarter was not only benefiting from a softer year-ago base. Operating profit also grew +51.86% YoY, reflecting better conversion of revenue into earnings.
Costs supported the margin expansion, but profit quality needs scrutiny
Expenses grew +23.10% YoY and +8.35% QoQ, slower than revenue in both comparisons, lifting operating margin by 3.07 percentage points YoY and 1.26 percentage points QoQ. The tax rate fell 5.15 percentage points YoY and 5.28 percentage points QoQ, which amplified net-profit growth. Other income accounted for 19.7% of pre-tax profit, so the reported profit increase was not entirely operating in nature.
Margin has improved for four straight quarters
Operating margin has risen from 16.25% in Q4FY25 to 19.32% in Q4FY26, increasing in every quarter in between. The latest margin was 4.51 percentage points above the 14.81% median for 93 Consumer Discretionary peers that had reported the quarter.
Management points to semiconductors and emerging segments
Management said the international business recorded its highest-ever quarterly topline in Q4FY26. The company said semiconductor-parts production has entered regular production, with ramp-up expected in Q3 and Q4 of 2026, and said it is committed to raising emerging-segment revenue contribution to 40%. Management also outlined Rs 2,500 million of capex over the next few years, while saying the new ADS facility supports growth beyond FY27 and forging capacity is being added at Pantnagar Plant 6.
Market reaction was unusually positive for Sansera
The stock rose 14.81% on the recorded reaction day and was up 17.22% after 15 sessions. This was much larger than Sansera’s 2.53% median absolute move across its eight recent results reactions, when five moves were positive and three were negative.
Q4FY26 at a glance
Consolidated figures as filed with NSE — cross-checked against an independent source.
| Line item | Q4FY26 | Q3FY26 | QoQ | YoY |
|---|---|---|---|---|
| Revenue | ₹999 cr | ₹908 cr | +10.03% | +27.77% |
| Other income | ₹31 cr | ₹-9 cr | — | +199.13% |
| Expenses | ₹806 cr | ₹744 cr | +8.35% | +23.10% |
| Operating profit | ₹193 cr | ₹164 cr | +17.68% | +51.86% |
| Operating margin (%) | 19.32% | 18.06% | — | — |
| Interest | ₹11 cr | ₹8 cr | +41.74% | +16.84% |
| Depreciation | ₹56 cr | ₹52 cr | +6.01% | +18.51% |
| Profit before tax | ₹157 cr | ₹95 cr | +65.33% | +94.18% |
| Tax | ₹34 cr | ₹26 cr | +33.01% | +56.95% |
| Net profit | ₹123 cr | ₹69 cr | +77.27% | +107.84% |
| EPS (₹) | ₹19.51 | ₹11.05 | +76.56% | +103.87% |
Operating margin of 19.32% compares with a Consumer Discretionary sector median of 14.81% across 93 peers that have reported Q4FY26.
How the stock reacted
| Window | Stock | vs NIFTY |
|---|---|---|
| Results day | +14.81% | +14.83% |
| Next session | +14.79% | — |
| 5 sessions | +15.08% | +15.55% |
| 15 sessions | +17.22% | — |
| 30 sessions | +28.33% | — |
Volume on the results session was 14.84× its 20-day average.
What management said
From the company’s own investor presentation. Each point is checked against the source document before it appears here.
This quarter
- The international business achieved its highest-ever quarterly topline in Q4FY26.
Guidance & outlook
- Semiconductor parts production is expected to ramp up in Q3 and Q4 of 2026, followed by a stable period.
- Sansera is committed to increasing emerging-segment revenue contribution to 40%.
Expansion
- Sansera plans INR 2,500 million of capex over the next few years for buildings and machinery.
- The new ADS facility is intended to support ADS growth beyond FY27.
- Sansera is adding forging capacity at its existing Pantnagar Plant 6.
New initiatives
- Sansera has entered regular production of semiconductor parts manufacturing.
What to watch
- Whether operating margin holds above 19.32% next quarter.
- Whether semiconductor-parts production shows the ramp-up management described for Q3 and Q4 of 2026.
- Progress toward management’s stated 40% emerging-segment revenue contribution.