India's Voltas sharply misses earnings estimates as cooler summers dent AC sales

Voltas

08/08/2025 11:39

Aug 8 (Reuters) - Air conditioning manufacturer Voltas VOLT.NS reported a quarterly profit on Friday that missed estimates by a wide margin as early monsoons dampened demand for residential cooling products.

Net profit fell nearly 58% to 1.4 billion rupees ($15.97 million) in the first quarter from 3.34 billion rupees a year ago.

Analysts on average were expecting a profit of 2.27 billion rupees, according to data compiled by LSEG.

Revenue from operations also fell 20% to 39.39 billion rupees, steeper than the roughly 10% drop that analysts were expecting.

KEY CONTEXT

Early onset of monsoon hit summer portfolios of companies ranging from Dabur DABU.NS, which makes cold beverages, to AC and fan manufacturers such as Blue Star BLUS.NS and V-Guard VGUA.NS.

"The onset of summer was delayed and the season concluded abruptly due to early monsoon," Voltas said in a press release. The steeper impact was driven by a high base a year ago, Voltas added, when "a harsh and prolonged summer drove record sales."

PEER COMPARISON

Valuation (next 12 months)
Estimates (next 12 months)
Analysts' sentiment
RIC
PE
EV/EBITDA
Price/Sales
Revenue growth (%)
Profit growth (%)
Mean rating*
No. of analysts
Stock to price target**
Div yield (%)
Voltas
VOLT.NS
42.97
32.90
2.36
9.43
15.64
Buy
34
0.94
0.53
Crompton Greaves Consumer Electricals
CROP.NS
29.49
19.31
2.22
10.73
17.44
Buy
31
0.76
0.94
Blue Star
BLUS.NS
51.41
34.32
15.28
18.43
Hold
19
1.00
0.49
Havells India
HVEL.NS
50.61
33.30
3.78
11.03
15.66
Buy
28
0.87
0.67

* The mean of analyst ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell

** The ratio of the stock's last close to analysts' mean price target; a ratio above 1 means the stock is trading above the PT

APRIL TO JUNE STOCK PERFORMANCE

 -- All data from LSEG

-- $1 = 87.6900 Indian rupees

Voltas Stock Performance https://tmsnrt.rs/4lYSzqA

 (Reporting by Ananta Agarwal in Bengaluru; Editing by Eileen Soreng)

 ((Ananta.agarwal@thomsonreuters.com;))