NESCO Q2 FY27: PAT falls 11.5% YoY to ₹105.2 Cr, margins compress as Foods profit slides

NESCO's consolidated profit after tax came in at ₹105.21 Cr for Q2 FY27, down 11.5% from ₹118.91 Cr a year earlier, as consolidated revenue from operations slipped 4.5% YoY to ₹228.44 Cr from ₹239.18 Cr. Sequentially PAT rose 5.3% and revenue 7.9% from Q1 FY27 (₹99.96 Cr / ₹211.80 Cr), but for an exhibitions-and-realty business with a seasonal calendar, that QoQ pickup reads as a return toward a normal run-rate rather than a standalone positive — the YoY decline is the real signal. Net profit margin (PAT/total income) compressed to 41.65% from 45.11% YoY, and operating margin eased to 55.95% from 56.91% YoY, even though both metrics improved from Q1's 39.14%/48.33%. No exceptional items were booked in either period, so the YoY softness is entirely operational, not a base-effect from one-offs. Segment data show the drag concentrated in two places. The Foods business — Nesco's smallest reporting segment — saw segment profit before tax collapse to ₹0.57 Cr from ₹5.25 Cr a year ago (-89%) even though its revenue held nearly flat at ₹52.92 Cr (vs ₹54.03 Cr), pointing to a cost or mix problem rather than a volume one. Exhibitions & Events, the second-largest segment, saw revenue fall 15.7% YoY to ₹63.21 Cr and segment profit fall 12.7% to ₹39.53 Cr, consistent with a lighter trade-show calendar at Bombay Exhibition Centre versus last year. Realty, the largest segment, was the one area of growth — segment profit up 4.3% YoY to ₹86.84 Cr on revenue of ₹100.81 Cr — and partly offset the other two. A new Way-Side Amenities segment, not present a year ago, posted a small ₹0.89 Cr segment loss as it ramps toward the end-FY27 commencement management flagged on the last concall. Management gave no formal quantitative guidance for the quarter on the last concall (Aug 2026) — only project-level capex markers: the ₹3,500 Cr Tower 2 (60 months from a commencement certificate not yet granted as of that call), the ₹200 Cr BEC Hall 1 modernization, and Way-Side Amenities targeted for 'by end FY27.' None of these set a hard beat/miss bar for this quarter's P&L, but the direction is intact: capital work-in-progress rose to ₹813.93 Cr from ₹763.34 Cr at 31 March 2026, and the company received environmental clearance in August 2026 for its Realty and Exhibition projects — a procedural step toward Tower 2, though the commencement certificate itself remains outstanding. No street consensus estimate for Q2 FY27 PAT could be confirmed via search, so this print cannot be graded against the Street; the clean comparison is the prior-year quarter, against which both revenue and profit declined. The quarter also carried a ₹2.1 Cr penalty from NHLML for project delay (flagged in September 2026) and a property tax demand notice — both immaterial next to ₹105 Cr of profit but worth tracking if they recur. No management press release accompanied this filing to cross-check against.