Revenue jumped 54.07%, but Synergy Green still reported a Rs 5.08 cr loss
A faster rise in revenue than expenses lifted operating margin 3.47 percentage points, though finance costs and depreciation kept profit before tax negative.
Filed 03 Nov 2026, 13:56 IST · Synergy Green Industries Ltd (SGIL)
Key takeaways
- Consolidated revenue rose 54.07% sequentially to Rs 115.78 cr, while operating margin improved 3.47 percentage points to 9.77%.
- Net loss narrowed 49.75% sequentially to Rs 5.08 cr, but interest and depreciation still exceeded operating profit.
- Operating margin was 1.50 percentage points below the 11.27% median for 90 reported Industrials peers.
Price around the results
Revenue growth lifted operating performance
Consolidated revenue increased 54.07% sequentially, while expenses grew 48.37%, allowing operating profit to rise 139.11% and operating margin to improve by 3.47 percentage points. The sequential improvement marks a better quarter at the operating level, although the margin remained below the Industrials peer median.
Interest and depreciation kept profit below zero
Operating profit of Rs 11.31 cr was outweighed by interest of Rs 7.15 cr and depreciation of Rs 9.97 cr, leaving profit before tax at a loss of Rs 5.29 cr. Net loss narrowed 49.75% from the previous quarter, but the improvement was not enough to produce a profit. Other income was Rs 0.53 cr and represented -10.02% of pre-tax profit, so it did not offset the loss.
Margin remains below the reported Industrials median
Synergy Green's 9.77% operating margin was 1.50 percentage points below the 11.27% median among 90 Industrials companies that had reported the same quarter. The sequential margin direction was positive, but the available trend covers only the move from Q1FY27 to Q2FY27 rather than a longer run of quarters.
The tax-rate change did not alter the loss outcome
The reported tax rate declined by 1.51 percentage points sequentially to 3.91%, alongside a tax credit of Rs 0.21 cr. That change supported the reduction in net loss, but operating profit still did not cover the combined burden of interest and depreciation.
Q2FY27 at a glance
Consolidated figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q2FY27 | Q1FY27 | QoQ |
|---|---|---|---|
| Revenue | ₹116 cr | ₹75 cr | +54.07% |
| Other income | ₹1 cr | ₹1 cr | -5.36% |
| Expenses | ₹104 cr | ₹70 cr | +48.37% |
| Operating profit | ₹11 cr | ₹5 cr | +139.11% |
| Operating margin (%) | 9.77% | 6.30% | — |
| Interest | ₹7 cr | ₹7 cr | -0.42% |
| Depreciation | ₹10 cr | ₹9 cr | +13.17% |
| Profit before tax | ₹-5 cr | ₹-11 cr | +50.51% |
| Tax | ₹-0 cr | ₹-1 cr | +63.79% |
| Net profit | ₹-5 cr | ₹-10 cr | +49.75% |
| EPS (₹) | ₹-3.27 | ₹-6.51 | +49.77% |
Operating margin of 9.77% compares with a Industrials sector median of 11.27% across 90 peers that have reported Q2FY27.
What to watch
- Whether operating margin holds above 9.77% in the next quarter.
- Whether interest remains near Rs 7.15 cr while operating profit scales up.
- Whether depreciation stays near Rs 9.97 cr and continues to exceed the gap between operating profit and pre-tax profit.