Tax credit lifts Texmaco Rail profit as margin trails peers
The consolidated operating margin was 6.50 percentage points below the Industrials peer median, while other income and a tax credit supported reported profit.
Filed 03 Aug 2026, 16:19 IST · after market close · Texmaco Rail & Engineering Ltd (TEXRAIL)
Key takeaways
- A Rs 7.57 cr tax credit lifted consolidated Q1 net profit to Rs 50.07 cr despite operating profit of Rs 57.00 cr.
- The 7.53% operating margin was 6.50 percentage points below the 14.03% median for 39 reporting Industrials peers.
- Other income of Rs 22.92 cr was a substantial contributor to the Rs 42.50 cr consolidated pre-tax profit.
Price around the results
Reported profit benefited from tax and non-operating items
Texmaco Rail reported consolidated net profit of Rs 50.07 cr on revenue of Rs 756.68 cr in Q1FY27. The Rs 7.57 cr tax credit produced a negative 17.81% tax rate, lifting net profit above pre-tax profit of Rs 42.50 cr. Other income of Rs 22.92 cr also made a substantial contribution to pre-tax profit.
Operating margin lagged the Industrials peer set
Operating profit of Rs 57.00 cr translated into a 7.53% operating margin. That was 6.50 percentage points below the 14.03% median among 39 Industrials companies that had reported the same quarter. With no year-on-year or sequential comparison provided, the main read-through is the gap between Texmaco Rail's operating conversion and its sector peer set.
Results were filed after market close
The consolidated results were filed on 03 Aug 2026 at 16:19 IST, after the market closed. No post-results stock reaction is covered here.
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 | ₹757 cr |
| Other income | ₹23 cr |
| Expenses | ₹700 cr |
| Operating profit | ₹57 cr |
| Operating margin (%) | 7.53% |
| Interest | ₹25 cr |
| Depreciation | ₹12 cr |
| Profit before tax | ₹43 cr |
| Tax | ₹-8 cr |
| Net profit | ₹50 cr |
| EPS (₹) | ₹1.23 |
Operating margin of 7.53% compares with a Industrials sector median of 14.03% across 39 peers that have reported Q1FY27.
What to watch
- Whether operating margin moves up from 7.53% toward the 14.03% Industrials peer median.
- Whether net profit remains close to operating profit of Rs 57.00 cr without a Rs 7.57 cr tax credit.
- Whether other income remains a material contributor relative to pre-tax profit of Rs 42.50 cr.