Servotech Q2 operating margin tops Industrials median by 2.10 points
Consolidated revenue of Rs 167.18 cr produced operating profit of Rs 21.95 cr, while interest and depreciation reduced profit before tax to Rs 12.77 cr.
Filed 03 Nov 2026, 18:37 IST · after market close · Servotech Renewable Power System Ltd (SERVOTECH)
Key takeaways
- Consolidated operating margin was 13.13%, 2.10 percentage points above the 11.03% median for 108 Industrials peers reporting this quarter.
- Interest of Rs 5.37 cr and depreciation of Rs 5.67 cr narrowed operating profit of Rs 21.95 cr to profit before tax of Rs 12.77 cr.
- Other income was Rs 1.86 cr and tax absorbed 23.65% of pre-tax profit, leaving net profit at Rs 9.75 cr.
Price around the results
Operating profit converted into Rs 9.75 cr of net profit
On a consolidated basis, revenue of Rs 167.18 cr converted into operating profit of Rs 21.95 cr and a 13.13% operating margin. Interest of Rs 5.37 cr and depreciation of Rs 5.67 cr then reduced profit before tax to Rs 12.77 cr, with net profit at Rs 9.75 cr and EPS at Rs 0.41.
Margin was above the reported Industrials peer median
Servotech’s 13.13% operating margin was 2.10 percentage points above the 11.03% median among 108 Industrials companies that had reported the same quarter. This places the company above the sector comparison available for this reporting cycle, although no year-on-year or sequential margin direction is provided here.
Other income was present but did not drive the quarter
Other income contributed Rs 1.86 cr against profit before tax of Rs 12.77 cr, so the quarter’s earnings were primarily linked to operating profit rather than non-operating income. Tax at 23.65% of pre-tax profit further reduced earnings to Rs 9.75 cr.
Results were filed after the market close
The consolidated results were filed at 18:37 IST on 03 November 2026, after market close. There is no reported market reaction yet, so the stock’s response cannot be assessed against its post-results history.
Q2FY27 at a glance
Consolidated figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q2FY27 |
|---|---|
| Revenue | ₹167 cr |
| Other income | ₹2 cr |
| Expenses | ₹145 cr |
| Operating profit | ₹22 cr |
| Operating margin (%) | 13.13% |
| Interest | ₹5 cr |
| Depreciation | ₹6 cr |
| Profit before tax | ₹13 cr |
| Tax | ₹3 cr |
| Net profit | ₹10 cr |
| EPS (₹) | ₹0.41 |
Operating margin of 13.13% compares with a Industrials sector median of 11.03% across 108 peers that have reported Q2FY27.
What to watch
- Whether operating margin remains at or above 13.13% in the next reported quarter.
- The next quarter’s interest expense against Rs 5.37 cr and depreciation against Rs 5.67 cr.
- Whether other income remains at or below Rs 1.86 cr as a contributor to pre-tax profit.