Texmaco Infra profit jumps, but operating margin stays negative
Revenue growth outpaced expenses sequentially, but other income contributed 131.60% of pre-tax profit and operating margin remained far below the sector median.
Filed 05 Nov 2026, 17:53 IST · after market close · Texmaco Infrastructure & Holdings Ltd (TEXINFRA)
Key takeaways
- Consolidated net profit rose +261.73% QoQ to Rs 5.86 cr, but operating profit remained negative at Rs -1.23 cr.
- Other income accounted for 131.60% of pre-tax profit, making the quarter's Rs 5.86 cr net profit heavily dependent on non-operating income.
- Operating margin improved 22.91 percentage points QoQ as revenue grew +32.13% versus expense growth of +11.73%, but it remained at -25.73%.
Price around the results
Revenue improved, but the core business remained loss-making
In consolidated Q2FY27, revenue grew +32.13% QoQ while expenses increased +11.73%, narrowing the operating loss from Rs -1.76 cr to Rs -1.23 cr. Operating margin consequently improved by 22.91 percentage points, but remained negative at -25.73%. The quarter therefore showed better operating momentum without reaching operating profitability.
Other income carried the quarter's profit
Other income rose +97.66% QoQ and accounted for 131.60% of pre-tax profit, more than offsetting the operating loss. The tax rate fell by 5.97 percentage points to 23.71%, which also supported the increase in net profit. Interest expense rose +17.02% and depreciation increased +11.86%, adding to the pressure below operating profit.
Margin remains near the bottom of the Services peer set
Texmaco Infrastructure's -25.73% operating margin was 47.23 percentage points below the 21.50% median for the 53 Services companies that had reported the quarter, placing it third from the bottom. Sequentially, the margin improved from -48.64% in Q1FY27, but the available trend covers only this one quarter-over-quarter change rather than a sustained recovery.
Results were filed after market close
The consolidated results were filed after market close on 5 Nov 2026. No post-results stock reaction is assessed here.
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 | ₹5 cr | ₹4 cr | +32.13% |
| Other income | ₹10 cr | ₹5 cr | +97.66% |
| Expenses | ₹6 cr | ₹5 cr | +11.73% |
| Operating profit | ₹-1 cr | ₹-2 cr | +30.11% |
| Operating margin (%) | -25.73% | -48.64% | — |
| Interest | ₹1 cr | ₹0 cr | +17.02% |
| Depreciation | ₹1 cr | ₹1 cr | +11.86% |
| Profit before tax | ₹8 cr | ₹2 cr | +234.35% |
| Tax | ₹2 cr | ₹1 cr | +167.65% |
| Net profit | ₹6 cr | ₹2 cr | +261.73% |
| EPS (₹) | ₹0.45 | ₹0.13 | +246.15% |
Operating margin of -25.73% compares with a Services sector median of 21.50% across 53 peers that have reported Q2FY27.
What to watch
- Whether operating margin improves from -25.73% in the next quarter.
- Whether revenue growth remains ahead of expense growth after the +32.13% versus +11.73% QoQ gap.
- Whether other income's contribution falls from 131.60% of pre-tax profit.