Expenses outpace revenue as Vesuvius India margin slips to 15.46%
Standalone operating profit rose +1.14% QoQ, but lower other income and a 0.05-percentage-point higher tax rate pulled net profit down -2.41%.
Filed 02 Nov 2026, 20:35 IST · after market close · Vesuvius India Ltd (VESUVIUS)
Key takeaways
- Standalone revenue rose +5.72% QoQ, but expenses grew +6.60%, narrowing operating margin by 0.70 percentage points to 15.46%.
- Net profit fell -2.41% QoQ even as operating profit rose +1.14%, partly because other income contributed 10.16% of pre-tax profit.
- Vesuvius India’s 15.46% operating margin was 3.93 percentage points above the Industrials median of 11.53% across 88 reported peers.
Price around the results
Revenue growth did not reach net profit
Standalone revenue increased +5.72% QoQ to Rs 566.84 cr, but the faster rise in expenses limited operating profit growth to +1.14%. Net profit declined -2.41% to Rs 57.10 cr as other income fell -21.90% to Rs 7.81 cr. The tax rate also edged up by 0.05 percentage points to 25.70%.
Faster cost growth cut operating margin
Expenses grew +6.60%, ahead of revenue growth of +5.72%, which reduced operating margin from 16.16% in Q1FY27 to 15.46% in Q2FY27. Other income accounted for 10.16% of pre-tax profit, making reported profit partly dependent on non-operating income. Interest expense fell -3.13%, but that was not enough to offset the margin and other-income pressure.
Margin remains above the Industrials median
The 15.46% operating margin was 3.93 percentage points above the 11.53% median for 88 Industrials peers that had reported the quarter. Sequentially, however, margin moved lower from 16.16%, while operating profit rose only +1.14% despite the +5.72% revenue increase.
Results were filed after market close
The standalone results were filed after market close on 02 Nov 2026 at 20:35 IST. The filing leaves no post-results market move to assess in this update.
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 | ₹567 cr | ₹536 cr | +5.72% |
| Other income | ₹8 cr | ₹10 cr | -21.90% |
| Expenses | ₹479 cr | ₹450 cr | +6.60% |
| Operating profit | ₹88 cr | ₹87 cr | +1.14% |
| Operating margin (%) | 15.46% | 16.16% | — |
| Interest | ₹0 cr | ₹0 cr | -3.13% |
| Depreciation | ₹18 cr | ₹18 cr | +3.74% |
| Profit before tax | ₹77 cr | ₹79 cr | -2.35% |
| Tax | ₹20 cr | ₹20 cr | -2.18% |
| Net profit | ₹57 cr | ₹59 cr | -2.41% |
| EPS (₹) | ₹2.82 | ₹2.88 | -2.08% |
Operating margin of 15.46% compares with a Industrials sector median of 11.53% across 88 peers that have reported Q2FY27.
What to watch
- Whether operating margin recovers from 15.46% after the 0.70-percentage-point QoQ decline.
- Whether revenue growth of +5.72% outpaces expense growth of +6.60%.
- Whether other income’s 10.16% share of pre-tax profit remains at a similar level.