Revenue growth outpaced costs, lifting Veegaland’s Q2 operating margin
Standalone revenue rose 43.08% QoQ as expenses grew 40.25%; management linked revenue visibility to its order book.
Filed 05 Nov 2026, 14:40 IST · VEEGALAND (VEEGALAND)
Key takeaways
- Revenue grew 43.08% QoQ while expenses rose 40.25%, lifting operating profit 56.42% and operating margin by 1.63 percentage points.
- Net profit increased 64.51% QoQ even as the tax rate rose 0.38 percentage points, although other income contributed 11.32% of pre-tax profit.
- Management said the order book provides revenue visibility, with 12 projects ongoing and three upcoming across four cities in Kerala.
Q2 revenue accelerated alongside project bookings
Standalone revenue rose 43.08% QoQ to Rs 106.34 cr, while operating profit grew 56.42% to Rs 20.35 cr. The company said it booked 1,46,786 sq ft during the quarter. Net profit rose 64.51% QoQ to Rs 15.99 cr.
Slower expense growth widened the operating margin
Expenses grew 40.25%, below the 43.08% increase in revenue, so operating margin expanded by 1.63 percentage points to 19.14%. Interest expense fell 1.82% QoQ, partly supporting profit growth, while the tax rate increased by 0.38 percentage points. Other income accounted for 11.32% of pre-tax profit, making it a notable contributor to reported earnings.
Order book and upcoming projects support the revenue pipeline
Management said the order book provides revenue visibility and that unrecognised revenue will move into the profit and loss statement as construction progresses. The presentation shows 12 ongoing projects and three upcoming projects across four cities in Kerala. Management said the upcoming projects in Kochi and Kozhikode total 212 units and 4,62,010 sq ft of saleable area, with estimated GDV of Rs 450 cr; approvals are in progress for land that has already been acquired.
Sequential margin direction improved in Q2
Operating margin increased from 17.51% in Q1FY27 to 19.14% in Q2FY27, reversing the immediate sequential pressure visible in the prior quarter’s base. Pre-tax profit rose 65.28% QoQ, faster than revenue, helped by the wider operating margin and lower interest expense.
Q2FY27 at a glance
Standalone figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q2FY27 | Q1FY27 | QoQ |
|---|---|---|---|
| Revenue | ₹106 cr | ₹74 cr | +43.08% |
| Other income | ₹2 cr | ₹1 cr | +86.92% |
| Expenses | ₹86 cr | ₹61 cr | +40.25% |
| Operating profit | ₹20 cr | ₹13 cr | +56.42% |
| Operating margin (%) | 19.14% | 17.51% | — |
| Interest | ₹1 cr | ₹1 cr | -1.82% |
| Depreciation | ₹0 cr | ₹0 cr | +9.09% |
| Profit before tax | ₹21 cr | ₹13 cr | +65.28% |
| Tax | ₹5 cr | ₹3 cr | +67.58% |
| Net profit | ₹16 cr | ₹10 cr | +64.51% |
| EPS (₹) | ₹4.46 | ₹2.88 | +54.86% |
What management said
From the company’s own investor presentation. Each point is checked against the source document before it appears here.
This quarter
- The company booked 1,46,786 sq ft during the quarter.
Guidance & outlook
- The company says its order book provides strong revenue visibility.
- Unrecognised revenue is expected to flow to the P&L over time as construction progresses.
Expansion
- The company has 12 ongoing projects and three upcoming projects across four cities in Kerala.
- Three upcoming projects in Kochi and Kozhikode comprise 212 units and 4,62,010 sq ft of saleable area, with estimated GDV of ₹450 crore.
- The upcoming projects are backed by acquired land, with approvals in progress.
- The company acquired 70 cents of land in Q1.
New products
- Veegaland Amora offers 3 BHK and 3 BHK plus study configurations.
- Veegaland Amora has 1,59,923 sq ft of saleable area and estimated developable value of ₹150 crore.
New initiatives
- The company launched Veegaland Amora in Maradu, Kochi, in the premium segment during Q1 FY27.
What to watch
- Whether operating margin holds above 19.14% after the 1.63-percentage-point sequential improvement.
- The conversion of the 12 ongoing projects into reported revenue as construction progresses.
- Whether quarterly bookings remain near the 1,46,786 sq ft recorded in Q2FY27.