Kotyark Q2 FY27: Consolidated PAT Soars 147% YoY to ₹6.24 Cr on Margin Expansion

Kotyark Industries' consolidated (primary) profit for Q2 FY27 came in at ₹6.24 Cr, up 147% year-on-year from ₹2.52 Cr and up 40% sequentially from ₹4.46 Cr, even as consolidated revenue from operations fell 5.5% YoY to ₹61.27 Cr (and 33.4% QoQ from an unusually strong ₹91.98 Cr in Q1). The divergence between a shrinking top line and a strongly growing bottom line is a margin story: net profit margin widened to 10.2% from 3.9% a year ago and 4.9% last quarter, while EBITDA margin rose to roughly 20.7% from ~13.0% YoY and QoQ. The swing is visible in the cost structure — cost of materials consumed dropped to ₹10.17 Cr from ₹47.41 Cr a year ago, offset by a large ₹32.83 Cr inventory-drawdown adjustment, indicating the company ran down finished-goods/trade stock rather than buying fresh feedstock at current prices, which likely flattered the margin this quarter. There are no exceptional items on either side of the YoY comparison, so the 147% PAT growth is not one-off-driven, though the scale of the inventory swing means it may not be fully repeatable. Standalone PAT of ₹3.71 Cr (EPS ₹0.33) on standalone revenue of ₹57.42 Cr is materially lower than the consolidated print — a gap wider than the usual rounding, driven by subsidiary Kotyark Bio Specialities Limited, which the auditor's review notes contributed ₹2.53 Cr of net profit this quarter (versus nil-revenue, near-zero results from the other two subsidiaries). Readers comparing the two headline numbers should attribute the difference to this subsidiary, not to any restatement. Kotyark carries no analyst coverage (confirmed via web search — zero estimates on record), so there is no street consensus to grade this print against, and the company has issued no formal forward guidance in our records or found via search, so vsGuidance is unknown rather than a miss. Management's own framing was not available (no press release accompanied this filing). The quarter's other disclosed events were largely procedural: a board meeting originally slated for Oct 9, 2026 was cancelled and results were instead approved on Oct 28, 2026, alongside a regulatory explanation for fines tied to the delay. The auditors' limited-review report separately flags an unresolved Rajasthan High Court matter over four raw-material storage tanks seized at the Swaroopganj unit under a Bio-Fuel Authority registration dispute; management maintains there has been no production or supply disruption and continues to carry the seized material as inventory, with the court permitting continued operations in the interim.