Interest and depreciation weakened Sintercom's Q1 profit conversion
Standalone net profit was Rs 0.49 cr after a 44.19% tax rate; the results were filed after market close.
Filed 12 Aug 2026, 19:35 IST · after market close · SINTERCOM (SINTERCOM)
Key takeaways
- Standalone operating profit of Rs 4.67 cr did not translate cleanly into earnings: interest of Rs 1.59 cr and depreciation of Rs 2.22 cr left profit before tax at Rs 0.89 cr.
- Net profit of Rs 0.49 cr was after a 44.19% tax rate, limiting conversion from pre-tax profit.
- Other income was only Rs 0.04 cr, so reported profit was not materially supported by non-operating income.
Operating profit faced a heavy below-the-line burden
Sintercom's standalone operating profit of Rs 4.67 cr was reduced to Rs 0.89 cr before tax. Interest of Rs 1.59 cr and depreciation of Rs 2.22 cr were the main deductions between operating profit and pre-tax earnings.
Tax absorbed a large share of pre-tax earnings
The 44.19% tax rate further reduced profit after the interest and depreciation charge. Other income of Rs 0.04 cr was small relative to profit before tax, indicating that earnings quality was not reliant on investment or other non-operating gains.
Results were filed after market close
The standalone results were filed after market close on 12 August 2026. No immediate market reaction is covered.
Q1FY27 at a glance
Standalone figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q1FY27 |
|---|---|
| Revenue | ₹28 cr |
| Other income | ₹0 cr |
| Expenses | ₹24 cr |
| Operating profit | ₹5 cr |
| Operating margin (%) | 16.56% |
| Interest | ₹2 cr |
| Depreciation | ₹2 cr |
| Profit before tax | ₹1 cr |
| Tax | ₹0 cr |
| Net profit | ₹0 cr |
| EPS (₹) | ₹0.18 |
What to watch
- Whether operating margin holds around 16.56%.
- Whether interest remains below the Rs 1.59 cr reported this quarter.
- Whether the tax rate moves from 44.19%.