SCI margin jumps 10.63 points as Q1FY27 profit rises 74.87%
Revenue grew 40.31% year on year, while lower tax and other income also supported the consolidated earnings outcome.
Filed 06 Aug 2026, 19:15 IST · after market close · Shipping Corporation of India Ltd (SCI)
Key takeaways
- SCI's consolidated operating margin widened 10.63 percentage points year on year to 47.79% as revenue grew faster than expenses.
- Consolidated net profit rose 74.87% year on year to Rs 619.34 cr, helped by a tax rate of 1.43%.
- Other income contributed 10.38% of consolidated pre-tax profit, making it a notable part of the quarter's earnings quality.
Price around the results
Revenue growth outpaced expenses in Q1FY27
SCI's consolidated revenue grew 40.31% year on year and 22.03% sequentially, while expenses increased 16.57% and 6.97%, respectively. That gap lifted operating profit growth to 80.46% year on year and 44.21% sequentially. Operating margin also expanded 10.63 percentage points year on year and 7.35 percentage points from Q4FY26.
Low tax rate and other income lifted profit conversion
Net profit grew faster than pre-tax profit year on year, at 74.87% versus 71.54%, as the tax rate fell 1.87 percentage points to 1.43%. The sequential tax-rate decline was 1.21 percentage points. Other income accounted for 10.38% of pre-tax profit, so the quarter's earnings were not derived entirely from operations.
Margin recovered after Q2FY26 weakness
The operating margin has moved up from 30.36% in Q2FY26 to 42.08% in Q3FY26, 40.44% in Q4FY26 and 47.79% in Q1FY27. This is a recovery after the Q4FY25-to-Q2FY26 decline, rather than a third straight quarterly contraction. SCI's margin was 24.77 percentage points above the 23.02% median for 17 Services-sector peers that had reported.
Results were filed after market close
The results were filed after market close, so there is no reported market reaction yet. Across the last eight result reactions, the stock rose after five and fell after three, with a median absolute move of 6.14%, indicating a mixed but generally positive historical response.
Q1FY27 at a glance
Consolidated figures as filed with NSE — cross-checked against an independent source.
| Line item | Q1FY27 | Q4FY26 | QoQ | YoY |
|---|---|---|---|---|
| Revenue | ₹1,847 cr | ₹1,513 cr | +22.03% | +40.31% |
| Other income | ₹65 cr | ₹138 cr | -52.69% | -58.56% |
| Expenses | ₹964 cr | ₹901 cr | +6.97% | +16.57% |
| Operating profit | ₹882 cr | ₹612 cr | +44.21% | +80.46% |
| Operating margin (%) | 47.79% | 40.44% | — | — |
| Interest | ₹37 cr | ₹47 cr | -20.65% | +22.51% |
| Depreciation | ₹282 cr | ₹287 cr | -1.78% | +12.95% |
| Profit before tax | ₹628 cr | ₹416 cr | +51.19% | +71.54% |
| Tax | ₹9 cr | ₹11 cr | -18.38% | -25.87% |
| Net profit | ₹619 cr | ₹405 cr | +53.07% | +74.87% |
| EPS (₹) | ₹13.30 | ₹8.69 | +53.05% | +75.00% |
Operating margin of 47.79% compares with a Services sector median of 23.02% across 17 peers that have reported Q1FY27.
How the stock reacted
| Window | Stock | vs NIFTY |
|---|---|---|
| Results day | -1.52% | -1.26% |
Volume on the results session was 5.53× its 20-day average.
What to watch
- Whether consolidated operating margin holds above 47.79%.
- Whether the consolidated tax rate remains close to 1.43%.
- Whether revenue growth stays ahead of the 6.97% sequential expense growth recorded in Q1FY27.