D B Corp Q2 FY27 Results (NSE: DBCORP)
Signal: Revenue declined
The read
Q2FY27 marks a sharp reversal after two quarters of margin expansion: revenue fell 5.5% YoY to ₹580.81 crore, gross margin compressed 540bps to 68.1%, and operating margin fell 684bps to 15.7%; PAT fell 26.6% to ₹68.62 crore and was supported by a ₹13.39 crore lease-termination gain.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹580.81 Cr | -5.5% | -3.8% |
| Net profit | ₹68.62 Cr | -26.6% | |
| EPS | ₹3.85 | -26.5% | |
| EBIT margin | 15.7% |
P&L walk
Consolidated revenue fell 5.5% YoY to ₹580.81 crore as material cost rose 13.0% YoY and gross margin compressed 540bps to 68.1%; EBITDA margin fell 684bps to 15.7%, and PAT declined 26.6% to ₹68.62 crore despite higher other income.
Segments
No segment table was disclosed; consolidated PAT of ₹68.62 crore was only ₹0.12 crore above standalone PAT of ₹68.50 crore, indicating negligible subsidiary contribution to the quarter.
Key positives
- H1FY27 operating cash flow increased 26.4% YoY to ₹96.02 crore despite H1 PAT declining 2.8% YoY to ₹169.35 crore.
- Finance costs declined 11.5% YoY to ₹6.18 crore in the quarter.
- Consolidated and standalone PAT were nearly identical at ₹68.62 crore and ₹68.50 crore, so subsidiaries did not materially dilute reported earnings.
Key concerns
- Revenue declined 5.5% YoY to ₹580.81 crore after Q1FY27 growth of 8.1%, indicating a sharp sequential slowdown.
- Gross margin compressed 540bps YoY to 68.1% as material cost increased to 31.6% of revenue from 26.5%; the filing does not disclose the cause.
- Operating margin fell 684bps YoY to 15.7% from approximately 22.5%, reversing the margin expansion seen in Q4FY26 and Q1FY27.
Research and educational content only. Not investment advice.