DOMS Industries Q2 results: profit falls 37% to Rs 38.3 crore despite 17.6% revenue growth; here's why

DOMS Q2 results: DOMS Industries reported consolidated profit after tax (PAT) of Rs 38.3 crore for the September quarter (Q2 FY27), down 37.0% from Rs 60.9 crore a year earlier, even though revenue from operations grew 17.6% to Rs 667.8 crore from Rs 567.9 crore. The stationery maker released the numbers on 2 November 2026.

DOMS Q2 results: key numbers

Measure (consolidated, Rs crore)	Q2 FY27	Q2 FY26	Change
Revenue from operations	667.8	567.9	+17.6%
Gross profit	260.9	248.7	+4.9%
EBITDA	82.8	99.5	-16.8%
PAT	38.3	60.9	-37.0%

EBITDA margin was 12.4% against 17.5% a year earlier, though it improved from 12.3% in Q1 FY27. For the first half, revenue rose 18.4% to Rs 1,338.3 crore and PAT fell 30.3% to Rs 83.6 crore.

Why DOMS profit fell

The company gave these reasons in its results release:

• Flood loss: a one-time exceptional expense of Rs 10.4 crore for damage from heavy rainfall and flooding. Before this item, pre-tax profit was Rs 61.3 crore against Rs 81.8 crore. Insurance claims have been lodged, and the company expects the recovery to substantially offset the profit impact in due course.
• Lost sales: the rain and flooding in Gujarat reduced sales growth by an estimated 300 to 350 basis points.
• Costs: gross margin fell to 39.1% from 43.8%. Raw material prices were soft early in the quarter but rose sharply in the second half, and higher employee costs came from temporary under-absorption of fixed overheads at the new Reynolds pen team as production began.

Growth drivers and outlook

Revenue growth came from volume gains in domestic and export markets, added capacity, new launches and slightly higher prices. Managing Director Santosh Raveshia said the first building at the new 50-acre plant, dedicated to Reynolds pens, is expected to add to revenue from Q3 FY27. The company reiterated its guidance of 18-20% consolidated sales growth for FY27.

What to watch next

In our view, the next test is whether margins recover as the new Reynolds plant ramps up and whether the insurance recovery is booked. Read more company results.