Surya Roshni slips 5.38% as Q1 margin trails Industrials peers
The 5.49% operating margin was 8.44 percentage points below the sector median, while depreciation and interest reduced operating profit before tax.
Filed 11 Aug 2026, 14:41 IST · Surya Roshni Ltd (SURYAROSNI)
Key takeaways
- Consolidated Q1FY27 net profit was Rs 59.60 cr after Rs 34.33 cr of depreciation and Rs 5.28 cr of interest.
- Operating margin of 5.49% was 8.44 percentage points below the 13.93% median for 112 reporting Industrials peers.
- The stock fell 5.38% on August 11, with trading volume at 11.63x its usual level.
Price around the results
Depreciation absorbed much of operating profit
Surya Roshni reported consolidated Q1FY27 operating profit of Rs 112.30 cr, but profit before tax was Rs 80.69 cr. Depreciation of Rs 34.33 cr and interest of Rs 5.28 cr more than offset Rs 8.00 cr of other income. Net profit was Rs 59.60 cr, with EPS at Rs 2.74.
Margin sits well below the Industrials peer median
The 5.49% operating margin was 8.44 percentage points below the 13.93% median among 112 Industrials companies that had reported the quarter. The result therefore stands near the weaker end of the sector comparison, with the company ranked 12th from the bottom.
Expansion remains focused on pipes capacity
The company said its Malanpur spiral pipe project carries an outlay of Rs 50 cr and is designed for capacity of about 24,000 tonnes per annum for water projects. The presentation also said the PVC pipes business had reached capacity of 12,500 MTPA.
Market reaction was sharply negative
The stock fell 5.38% on August 11 despite opening 0.52% higher; its relative return was -4.92%. Volume was 11.63x the usual level, indicating a substantial market response to the results.
Q1FY27 at a glance
Consolidated figures as filed with NSE — cross-checked against an independent source.
| Line item | Q1FY27 |
|---|---|
| Revenue | ₹2,046 cr |
| Other income | ₹8 cr |
| Expenses | ₹1,934 cr |
| Operating profit | ₹112 cr |
| Operating margin (%) | 5.49% |
| Interest | ₹5 cr |
| Depreciation | ₹34 cr |
| Profit before tax | ₹81 cr |
| Tax | ₹21 cr |
| Net profit | ₹60 cr |
| EPS (₹) | ₹2.74 |
Operating margin of 5.49% compares with a Industrials sector median of 13.93% across 112 peers that have reported Q1FY27.
How the stock reacted
| Window | Stock | vs NIFTY |
|---|---|---|
| Results day | -5.38% | -4.92% |
Volume on the results session was 11.63× its 20-day average.
What management said
From the company’s own investor presentation. Each point is checked against the source document before it appears here.
Expansion
- The Malanpur spiral pipe project had an outlay of ₹50 crore and capacity of about 24,000 tonnes per annum.
- The PVC pipes business reached capacity of 12,500 MTPA.
What to watch
- Whether operating margin improves from 5.49% in the next quarter.
- Progress on the Malanpur project against its Rs 50 cr outlay and 24,000 tonnes per annum capacity.
- Whether other income remains at Rs 8.00 cr while profit before tax is Rs 80.69 cr.