Emkay Global turns around: consolidated PAT swings to ₹31 Cr, NPM leaps to 20.5%
PAT +6543.4% YoY · revenue +109.9% · margins expanding
₹151.35 Cr
+109.9% YoY
₹30.99 Cr
+6543.4% YoY
19.78%
+19.2pp YoY
₹11.37
Emkay Global's consolidated net profit for the quarter (attributable to owners) came in at ₹30.99 Cr on revenue from operations of ₹151.35 Cr, against ₹0.46 Cr profit on ₹72.09 Cr revenue in Q2 FY26 — revenue nearly doubled (+109.9% YoY) and the profit swing is better read in absolute terms than as a percentage, since last year's base was a near-breakeven quarter. Standalone tells the sharper version of the same story: the parent entity alone posted a ₹2.11 Cr loss in Q2 FY26 and is now at ₹29.55 Cr profit — a genuine loss-to-profit turnaround at the core-entity level, even though the consolidated headline a year ago was technically (barely) positive thanks to subsidiary and associate income. Sequentially, consolidated PAT is up 240% and revenue up 64.7% on Q1 FY27 (₹9.11 Cr PAT, ₹91.92 Cr revenue), continuing rather than one-off-spiking the YoY trend.
Q2 FY-2027 vs prior quarters
The driver sits almost entirely in operating leverage within the Advisory & Transactional Services segment (broking, distribution, investment banking): segment PBT swung to ₹38.97 Cr from a ₹1.57 Cr loss in Q2 FY26, while the smaller Financing & Investment segment contributed a steady ₹2.04 Cr (versus ₹1.89 Cr YoY) and alone kept the group profitable a year ago. Group-wide, total expenses rose only 50.7% YoY (₹76.76 Cr to ₹115.69 Cr) against revenue's 109.9% rise, pulling net profit margin from 0.6% to 20.5% and the PBT-based operating margin from 1.95% to 27.1%; both margins also expanded sequentially (9.4% NPM, 12.4% OPM in Q1 FY27), confirming the move is building rather than a one-quarter pop. Finance costs did rise (₹2.80 Cr to ₹5.76 Cr YoY) as the company now carries freshly raised NCD and warrant-conversion capital, but this stayed a small drag against the revenue and operating-leverage gains.
The stock went into the print at ₹287.4, up 5.9% over the past month of trading.
For context: this is the highest quarterly PAT in the last 6 quarters on our records; PAT has now risen for 4 consecutive quarters; revenue is at a 6-quarter high.
What the summary numbers don't show
Consolidated EPS (basic) ₹11.37 vs ₹0.18 YoY and ₹3.39 QoQ.
We have no verified street/consensus estimate for this print — a web search turned up only a pre-results preview with no numeric forecast — so vsStreet is unknown; our records and the filing also carry no prior management guidance to grade this against, and no press release or MD&A commentary accompanied the filing, only the board-outcome intimation and financial statements, so there is no management framing to reconcile against the numbers. The quarter carried structural moves that tie into the balance sheet: a ₹50 Cr NCD placement (September 7, 2026, rated [ICRA]BBB+/Stable) and partial conversion of the September-2025-approved preferential warrants by promoters Krishna Kumar Karwa and Prakash Kacholia lifted consolidated net worth to ₹446.35 Cr from ₹380.67 Cr at FY26-end. Separately, the board approved folding the Wealth Management business and subsidiaries EIML/EWAL into a new step-down entity, Emkay Capital Pvt Ltd, and flagged a material deviation in preferential-issue proceeds utilisation; NSE also fined the company ₹82.9 Lakh (October 9, 2026) for client code modifications, disclosed separately from this result.
W1
Execution of the Wealth Management business transfer from EIML/EWAL to Emkay Capital Pvt Ltd (approved October 28, 2026) — watch for completion and its effect on segment reporting next quarter.
W2
Deployment of the ₹50 Cr NCD and ~₹56.88 Cr warrant proceeds (debt securities already up to ₹140.81 Cr from ₹91.74 Cr at FY26-end) — watch whether the funded capital sustains the revenue momentum into Q3 FY27.
W3
Any further regulatory follow-through on the ₹82.9 Lakh NSE fine for client code modifications (October 9, 2026).
Figures in ₹ Lakhs per filing, converted to Crore (÷100). Standalone PBT−Tax=PAT ties exactly. Consolidated PBT−Tax=₹31.07cr (line IX, before associates) then −₹0.09cr share of associates' loss = ₹30.99cr net profit for the period (line XI), fully attributable to owners, no minority interest. No exceptional items in current or comparison periods. Standalone was loss-making in Q2 FY26 (₹2.11cr loss) while consolidated was marginally profitable (₹0.46cr) that quarter due to subsidiary/associate income — a basis divergence worth flagging. YoY PAT % growth is extreme (base effect) because the year-ago consolidated quarter was near-breakeven; absolute rupee change is the more meaningful read. No management press release/outlook accompanied this filing; no verified street/consensus estimate found via web search.