Interest and depreciation limited SOLEX's Q1FY27 profit conversion
Operating profit of Rs 28.98 cr translated into an 11.11% margin, while other income was material against profit before tax of Rs 11.12 cr.
Filed 14 Aug 2026, 15:22 IST · SOLEX (SOLEX)
Key takeaways
- Consolidated operating profit of Rs 28.98 cr left profit before tax at Rs 11.12 cr after interest of Rs 12.48 cr and depreciation of Rs 10.19 cr.
- Other income of Rs 4.81 cr was material relative to profit before tax of Rs 11.12 cr, reducing the share of reported profit explained by operations.
- A 25.76% tax rate reduced consolidated profit before tax of Rs 11.12 cr to net profit of Rs 8.26 cr, with EPS at Rs 7.39.
Operating profit did not fully carry through to PBT
SOLEX reported consolidated revenue of Rs 260.82 cr and operating profit of Rs 28.98 cr in Q1FY27. Interest of Rs 12.48 cr and depreciation of Rs 10.19 cr absorbed a substantial part of operating profit before profit before tax reached Rs 11.12 cr. The result was an operating margin of 11.11%.
Other income supported reported earnings
Other income of Rs 4.81 cr was material relative to profit before tax of Rs 11.12 cr. This means reported PBT was not explained by operating profit alone. Tax at 25.76% then brought net profit to Rs 8.26 cr.
No sequential or year-on-year read-through yet
The quarter has no reported sequential or year-on-year comparison in the available results, so the change in revenue, costs and margin cannot be assessed against an earlier period. There is also no multi-quarter trend or peer-margin comparison to place the 11.11% operating margin in context.
Q1FY27 at a glance
Consolidated figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q1FY27 |
|---|---|
| Revenue | ₹261 cr |
| Other income | ₹5 cr |
| Expenses | ₹232 cr |
| Operating profit | ₹29 cr |
| Operating margin (%) | 11.11% |
| Interest | ₹12 cr |
| Depreciation | ₹10 cr |
| Profit before tax | ₹11 cr |
| Tax | ₹3 cr |
| Net profit | ₹8 cr |
| EPS (₹) | ₹7.39 |
What to watch
- Whether operating margin holds around the reported 11.11% in the next quarter.
- Whether interest remains a significant deduction from operating profit of Rs 28.98 cr.
- Whether other income stays material relative to profit before tax of Rs 11.12 cr.