Standard Industries swings to loss as quarterly revenue collapses
Revenue fell 95.99% sequentially, but expenses declined only 89.09%, driving a 94.78-point contraction in operating margin.
Filed 03 Nov 2026, 13:38 IST · Standard Industries Ltd (SIL)
Key takeaways
- Consolidated revenue fell 95.99% QoQ to Rs 7.73 cr, while expenses declined only 89.09%, pushing operating margin down 94.78 percentage points.
- The company swung from a Rs 80.39 cr net profit to a Rs 5.87 cr net loss, with the zero tax rate reflecting the loss rather than a tax-led uplift.
- Its -49.96% operating margin was 62.19 percentage points below the Consumer Discretionary peer median and ranked fifth from the bottom among 188 companies.
Price around the results
Revenue collapse erased the prior-quarter profit
Standard Industries reported consolidated revenue of Rs 7.73 cr in Q2FY27, down 95.99% from Q1FY27. Expenses fell 89.09%, a slower decline than revenue, leaving the company with a Rs 3.86 cr operating loss versus Rs 86.31 cr of operating profit in the prior quarter. Net profit consequently swung to a Rs 5.87 cr loss from Rs 80.39 cr profit.
Margin fell as costs did not keep pace with the revenue decline
Operating margin contracted 94.78 percentage points to -49.96% because revenue declined faster than expenses. Other income was negative at Rs 1.19 cr and accounted for 20.27% of pre-tax loss, adding to the deterioration below operating profit. The tax rate fell 5.86 percentage points to zero as the company reported a loss, so the absence of tax did not improve profit quality.
Margin sits well below the reported peer set
Standard Industries' -49.96% operating margin was 62.19 percentage points below the 12.23% median for 188 Consumer Discretionary peers that had reported the quarter. It ranked fifth from the bottom of that group. The available quarter-on-quarter trend shows a sharp reversal from the 44.82% margin recorded in Q1FY27.
Shares fell despite a higher opening
The stock declined 1.73% on the results date, after opening 3.82% above the previous close. Its relative return was -3.30%, while traded volume was 0.43 times the reference level. The response was therefore weaker by the close despite the positive opening gap.
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 | ₹8 cr | ₹193 cr | -95.99% |
| Other income | ₹-1 cr | ₹0 cr | — |
| Expenses | ₹12 cr | ₹106 cr | -89.09% |
| Operating profit | ₹-4 cr | ₹86 cr | — |
| Operating margin (%) | -49.96% | 44.82% | — |
| Interest | ₹0 cr | ₹1 cr | -86.15% |
| Depreciation | ₹1 cr | ₹1 cr | +0.00% |
| Profit before tax | ₹-6 cr | ₹85 cr | — |
| Tax | ₹0 cr | ₹5 cr | -100.00% |
| Net profit | ₹-6 cr | ₹80 cr | — |
| EPS (₹) | ₹-0.91 | ₹12.50 | — |
Operating margin of -49.96% compares with a Consumer Discretionary sector median of 12.23% across 188 peers that have reported Q2FY27.
How the stock reacted
| Window | Stock | vs NIFTY |
|---|---|---|
| Results day | -1.73% | -3.30% |
Volume on the results session was 0.43× its 20-day average.
What to watch
- Whether revenue recovers from Rs 7.73 cr after the 95.99% QoQ decline.
- Whether operating margin improves from -49.96% in the next quarter.
- Whether expenses decline faster than revenue after falling 89.09% QoQ.