Websol margin expands despite sequential revenue decline
Expenses fell faster than revenue, lifting operating margin by 1.79 percentage points and supporting a 3.11% rise in consolidated net profit.
Filed 04 Nov 2026, 20:01 IST · after market close · Websol Energy System Ltd (WEBELSOLAR)
Key takeaways
- Consolidated operating margin rose 1.79 percentage points QoQ to 35.49% as expenses fell 5.72% against a 3.11% revenue decline.
- Consolidated net profit increased 3.11% QoQ to Rs 80.21 cr, helped by a 0.44 percentage-point lower tax rate and a 9.35% fall in interest.
- Websol's 35.49% operating margin was 23.25 percentage points above the 12.24% median for 143 reported Industrials peers.
Price around the results
Revenue eased, but operating profit still grew
Consolidated revenue declined 3.11% QoQ to Rs 361.02 cr, while operating profit increased 2.04% to Rs 128.14 cr. The improvement came because expenses fell 5.72% to Rs 232.88 cr, outpacing the revenue decline. Profit before tax rose 2.51% to Rs 106.58 cr, and net profit increased 3.11% to Rs 80.21 cr.
Lower costs drove the margin expansion
Operating margin expanded by 1.79 percentage points to 35.49% because expenses contracted faster than revenue. Interest expense fell 9.35% to Rs 3.78 cr, while depreciation rose 1.24% to Rs 22.09 cr. The 24.74% tax rate was 0.44 percentage points lower than in Q1FY27, which also supported net profit; other income contributed 4.04% of profit before tax, so it was not the main earnings driver.
Margin remains well above the Industrials peer median
On the available sequential comparison, margin improved from 33.70% in Q1FY27 to 35.49% in Q2FY27, although revenue moved down from Rs 372.60 cr to Rs 361.02 cr. Websol's margin was 23.25 percentage points above the 12.24% median among 143 Industrials companies that had reported the same quarter. The consolidated results were filed after market close on 04 Nov 2026 at 20:01 IST.
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 | ₹361 cr | ₹373 cr | -3.11% |
| Other income | ₹4 cr | ₹4 cr | -1.60% |
| Expenses | ₹233 cr | ₹247 cr | -5.72% |
| Operating profit | ₹128 cr | ₹126 cr | +2.04% |
| Operating margin (%) | 35.49% | 33.70% | — |
| Interest | ₹4 cr | ₹4 cr | -9.35% |
| Depreciation | ₹22 cr | ₹22 cr | +1.24% |
| Profit before tax | ₹107 cr | ₹104 cr | +2.51% |
| Tax | ₹26 cr | ₹26 cr | +0.73% |
| Net profit | ₹80 cr | ₹78 cr | +3.11% |
| EPS (₹) | ₹1.85 | ₹1.79 | +3.35% |
Operating margin of 35.49% compares with a Industrials sector median of 12.24% across 143 peers that have reported Q2FY27.
What to watch
- Whether consolidated operating margin remains above 35.49%.
- The next quarter's revenue relative to Rs 361.02 cr and expenses relative to Rs 232.88 cr.
- Interest expense relative to Rs 3.78 cr and the tax rate relative to 24.74%.