V2 Retail’s Q2 profit fell 56.49% QoQ as margin narrowed
Revenue fell 9.19% QoQ, while interest rose 18.69% and the tax rate increased 7.64 percentage points.
Filed 03 Nov 2026, 18:39 IST · after market close · V2 Retail Ltd (V2RETAIL)
Key takeaways
- Consolidated net profit fell 56.49% QoQ to Rs 18.21 cr as revenue declined 9.19%.
- Operating margin narrowed 0.71 percentage points to 13.28% because expenses fell 8.44%, less than revenue.
- Interest rose 18.69% and the tax rate climbed 7.64 percentage points, while other income contributed 10.01% of PBT.
Price around the results
Sequential profit compression in Q2FY27
V2 Retail reported consolidated revenue of Rs 905.60 cr in Q2FY27, down 9.19% QoQ, while operating profit fell 13.76% to Rs 120.27 cr. Net profit declined 56.49% to Rs 18.21 cr, a much sharper fall than revenue because higher financing, depreciation and tax costs reduced the conversion from operating profit to earnings. EPS fell 56.52% to Rs 0.50.
Slower cost reduction squeezed the margin
Expenses fell 8.44% QoQ, less than the 9.19% revenue decline, which narrowed operating margin by 0.71 percentage points. Interest rose 18.69% to Rs 29.66 cr and depreciation increased 6.95% to Rs 68.31 cr, pushing profit before tax down 51.97%. The tax rate also rose 7.64 percentage points to 26.51%, while other income accounted for 10.01% of PBT, making a material contribution to reported pre-tax profit.
Margin remains above peers but has moved lower
Operating margin declined from 13.99% in Q1FY27 to 13.28% in Q2FY27, extending the sequential deterioration across the two quarters shown. Even after the decline, V2 Retail was 1.05 percentage points above the 12.23% median for the 188 Consumer Discretionary peers that had reported. The comparison is sequential because no year-on-year data is provided.
Results filed after the market close
The consolidated results were filed after market close on 03 Nov 2026. The immediate post-results stock response is therefore not covered 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 | ₹906 cr | ₹997 cr | -9.19% |
| Other income | ₹2 cr | ₹1 cr | +150.51% |
| Expenses | ₹785 cr | ₹858 cr | -8.44% |
| Operating profit | ₹120 cr | ₹139 cr | -13.76% |
| Operating margin (%) | 13.28% | 13.99% | — |
| Interest | ₹30 cr | ₹25 cr | +18.69% |
| Depreciation | ₹68 cr | ₹64 cr | +6.95% |
| Profit before tax | ₹25 cr | ₹52 cr | -51.97% |
| Tax | ₹7 cr | ₹10 cr | -32.48% |
| Net profit | ₹18 cr | ₹42 cr | -56.49% |
| EPS (₹) | ₹0.50 | ₹1.15 | -56.52% |
Operating margin of 13.28% compares with a Consumer Discretionary sector median of 12.23% across 188 peers that have reported Q2FY27.
What to watch
- Whether operating margin holds above 13.28% after the 0.71 percentage-point QoQ decline.
- Whether interest remains near Rs 29.66 cr after rising 18.69% QoQ.
- Whether other income continues to represent around 10.01% of PBT.