Other income exceeds operating profit in Sarla Poly's Q1FY27
The consolidated business generated Rs 27.49 cr of operating profit, while Rs 27.86 cr of other income materially shaped reported profit.
Filed 05 Aug 2026, 16:58 IST · after market close · SARLAPOLY (SARLAPOLY)
Key takeaways
- Other income of Rs 27.86 cr exceeded consolidated operating profit of Rs 27.49 cr, making non-operating income central to Q1FY27 profit.
- Consolidated operating margin was 24.27% on revenue of Rs 113.26 cr, separating core profitability from reported earnings.
- A 19.47% tax rate left consolidated net profit at Rs 37.28 cr, with EPS of Rs 4.72.
Core earnings were smaller than reported profit
Sarla Poly's consolidated operations generated Rs 27.49 cr of operating profit at a 24.27% margin on Rs 113.26 cr of revenue. Profit before tax was Rs 46.30 cr, so reported earnings were materially shaped by income outside the operating business. Net profit stood at Rs 37.28 cr after Rs 9.02 cr of tax.
Other income is the key profit-quality issue
Other income of Rs 27.86 cr was higher than operating profit of Rs 27.49 cr, making the quarter's profit mix less dependent on core operations. Interest expense was Rs 2.80 cr and depreciation was Rs 6.25 cr. The 19.47% tax rate also determined how much of pre-tax profit flowed through to net profit.
Results were filed after market close
The consolidated results were filed after market close on 05 Aug 2026, so there is no market reaction to assess yet. With no sequential or year-on-year comparison in this release, the main issue for the next update is whether operating earnings continue to support profit without a similarly large contribution from other income.
Q1FY27 at a glance
Consolidated figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q1FY27 |
|---|---|
| Revenue | ₹113 cr |
| Other income | ₹28 cr |
| Expenses | ₹86 cr |
| Operating profit | ₹27 cr |
| Operating margin (%) | 24.27% |
| Interest | ₹3 cr |
| Depreciation | ₹6 cr |
| Profit before tax | ₹46 cr |
| Tax | ₹9 cr |
| Net profit | ₹37 cr |
| EPS (₹) | ₹4.72 |
What to watch
- Whether consolidated operating margin holds at or above 24.27%.
- Whether other income remains a material contributor alongside Rs 27.49 cr of operating profit.
- Whether the tax rate stays near 19.47%.