Steel Exchange's 11.08% margin trails Industrials median in Q2FY27
Interest of Rs 14.11 cr and a 0.0% tax rate shaped the conversion from operating profit to net profit.
Filed 04 Nov 2026, 12:57 IST · Steel Exchange India Ltd (STEELXIND)
Key takeaways
- Consolidated Q2FY27 operating profit of Rs 38.01 cr left an 11.08% margin, 1.16 percentage points below the Industrials median across 143 reported peers.
- Interest of Rs 14.11 cr and depreciation of Rs 6.47 cr reduced operating profit to pre-tax profit of Rs 17.62 cr.
- Net profit matched pre-tax profit at Rs 17.62 cr because the reported tax rate was 0.0%, while other income was only Rs 0.19 cr.
Price around the results
Operating conversion was the key read
On consolidated revenue of Rs 343.16 cr, expenses of Rs 305.14 cr left operating profit at Rs 38.01 cr. That translated into an 11.08% operating margin, making cost absorption the central measure of the quarter.
Margin lagged 143 Industrials peers
Steel Exchange's 11.08% operating margin was 1.16 percentage points below the 12.24% median for the 143 Industrials companies that had reported the same quarter. The gap puts the quarter's operating performance below the sector reference point.
Interest absorbed much of operating profit
Interest of Rs 14.11 cr and depreciation of Rs 6.47 cr reduced operating profit of Rs 38.01 cr to pre-tax profit of Rs 17.62 cr. Other income was Rs 0.19 cr, so it did not materially support the pre-tax result. A 0.0% reported tax rate meant net profit equalled pre-tax profit at Rs 17.62 cr.
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 | ₹343 cr |
| Other income | ₹0 cr |
| Expenses | ₹305 cr |
| Operating profit | ₹38 cr |
| Operating margin (%) | 11.08% |
| Interest | ₹14 cr |
| Depreciation | ₹6 cr |
| Profit before tax | ₹18 cr |
| Tax | ₹0 cr |
| Net profit | ₹18 cr |
| EPS (₹) | ₹0.14 |
Operating margin of 11.08% compares with a Industrials sector median of 12.24% across 143 peers that have reported Q2FY27.
What to watch
- Whether operating margin moves up from 11.08% toward the 12.24% Industrials median.
- Whether interest remains close to Rs 14.11 cr relative to operating profit.
- Whether the reported tax rate remains at 0.0%.