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Informist, Thursday, Nov. 13, 2025

 

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--Voltas Jul-Sept consol net profit INR 342.9 mln 
--Analysts saw Voltas Jul-Sept consol net profit INR 991.60 mln 
--Voltas Jul-Sept consol revenue INR 23.47 bln 
--Analysts saw Voltas Jul-Sept consol revenue INR 24.10 bln 
--Voltas Jul-Sept consol net profit INR 342.9 mln vs INR 1.34 bln year ago 
--Voltas Jul-Sept consol revenue INR 23.47 bln vs INR 26.19 bln year ago 
--Voltas Apr-Sept consol net profit INR 1.75 bln vs INR 4.68 bln year ago 
--Voltas Apr-Sept consol revenue INR 62.86 bln vs INR 75.40 bln year ago 
--Voltas Q2 consol unitary cooling pdts sales INR 12.15 bln vs INR 15.82 bln 
--Voltas Q2 consol electro-mechanical sales INR 9.66 bln vs INR 8.80 bln 
--Voltas Q2 consol engg pdts, svcs revenue INR 1.39 bln vs INR 1.47 bln 

 

By Arya S. Biju

 

MUMBAI – Home appliances company Voltas Ltd. reported subdued earnings for the September quarter, because of a sharp decline in demand for cooling products due to the early onset of monsoon. Deferred purchases and higher channel inventory ahead of a reduction in goods and services tax rate in September also impacted the demand. The company reported weaker-than-expected earnings for the quarter, with both the bottom line and top line failing to meet the Street's estimates.

 

The company's consolidated net profit for the quarter fell at its fastest pace on a year-on-year basis since the December quarter of 2015 to INR 342.9 million. This was sharply below the INR 991.60 million estimated by the Street. The consolidated net profit fell a staggering 74% on year and nearly 76% on quarter. Its consolidated revenue for the quarter declined over 10% on year and 40% sequentially to INR 23.47 billion. This was also below the expectation of INR 24.10 billion.

 

The company announced its September quarter earnings just before the market closed. After the earnings announcement, shares of Voltas closed Thursday's session largely flat at INR 1,336.90 on the National Stock Exchange. 

 

The company's total expenditure for the quarter also declined on year but at a slower pace that its sales. Total cost for the quarter fell around 7% on year to INR 23.21 billion. Sequentially, the metric fell around 39%. Its largest expense, raw material costs, fell over 5% on year to INR 16.84 billion. Its expenses related to purchases of stock-in-trade slumped 58% on year to INR 2.65 billion and its other expenses fell around 2% on year to INR 2.72 billion. The company's tax expense also fell sharply to INR 226 million, down around 69% on year. 

 

Revenue from the company's largest segment, unitary cooling products, dropped over 23% on year to INR 12.15 billion. "The segment faced muted retail offtake due to lag effect of early monsoon and GST rate reduction (from 28% to 18%), which led to deferred purchases and higher channel inventory," the company said in a post-earnings press release. However, despite these challenges, the company' market share in the segment improved sequentially. The segment's margins were temporarily impacted by higher marketing costs and under-absorption at its new facilities in Chennai and Waghodia, Voltas said. However, it expects these investments to deliver economies of scale in the long term.

 

The company's joint venture with the Turkish manufacturer of household appliances, Arelik, called Voltas Beko, continued its growth trajectory in the first half of the current financial year, gaining market share across washing machines, refrigerators, and small domestic appliances.

 

Revenue from the electro-mechanical projects and services segment rose around 10% on year to INR 9.66 billion. The segment supported the company in mitigating seasonality in the cooling business, Voltas said. While the domestic projects business of the company advanced execution across mechanical, electrical, and plumbing, water, electrical, and solar projects, its international operations maintained disciplined project management and high-quality delivery. 

 

Voltas' engineering products and services segment reported a revenue of INR 1.39 billion, down over 5% on year. The segment was supported by a stable performance in mining and construction equipment business and by the textile machinery business, which met its revenue and collection targets. "Aftersales service continues to be a strong contributor to profitability," Voltas added.

 

"The second quarter of FY26 was marked by external challenges, but our fundamentals remain strong. The GST reduction and upcoming BEE (Bureau of Energy Efficiency) efficiency transition will unlock pent-up consumer demand in upcoming quarters. Our integrated strategy, diversified portfolio, combining product innovation, manufacturing excellence, and channel revitalisation, positions us well for sustainable growth and value creation," Mukundan Menon C.P., managing director of the company, said in the press release. 

 

For the six months ended September, the company reported a consolidated of INR 1.75 billion, down nearly 63% on year. Its consolidated revenue for the period fell around 17% on year to INR 62.86 billion.  End

 

Edited by Ashish Shirke

 

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