Voltas Q1 profit consolidated net profit declines 58% to ₹140.61 crore

Air-conditioning maker and engineering services provider Voltas Ltd announced its first quarter results for the financial year 2025-26 on Friday, August 8. The company announced a sharp drop in earnings for the June quarter of FY26. Consolidated net profit fell 58% to ₹140.61 crore from ₹335 crore in the same period last year.

The company’s consolidated total income declined 19.6% to ₹4,020.65 crore from ₹5,001 crore a year earlier. Revenue from operations was down 20.22% at ₹3,912.29 crore, compared to ₹4,903.91 crore in the April–June quarter of FY25. Profit before tax came in at ₹203 crore, lower than the ₹452 crore reported in the corresponding period last year.

Total expenses stood at ₹3,792.05 crore, a fall of 16.11% from the year-ago quarter.

"The quarter was marked by unseasonal and unpredictable weather conditions. The onset of summer was delayed, temperatures remained relatively mild, and the season concluded abruptly due to the early monsoon. This resulted in a sharp decline in demand for cooling products, particularly in the case of air conditioners," Voltas said in its earnings statement.

Its total income, which includes other income, was down 19.6% to ₹4,020.65 crore.

In the June quarter, Voltas' revenue from "unitary cooling products for comfort and commercial use", which has room AC business, fell 24.57% to ₹2,867.86 crore. It stood at ₹3,802.17 crore in the corresponding period last fiscal.

"The Unitary Cooling Products segment faced a subdued quarter, shaped by the delayed onset of summer, relatively mild temperatures, and the early arrival of the monsoon, all of which shortened the peak selling season," it said.

Trade partners had stocked up in anticipation of strong demand, but weaker secondary sales resulted in slower off-take and higher inventory levels, leading to a temporary adjustment in factory operations. "To maintain market momentum, Voltas ramped up its efforts to boost secondary sales through targeted promotional initiatives, which exerted some pressure on margins," the company stated.

Revenue from the "electro-mechanical projects and services" segment, which includes domestic and international projects, declined 2.87% in the June quarter to ₹921.83 crore.

"Execution in both domestic and international markets stayed on track, with timely certifications and regular project reviews supporting margin stability, while ongoing cost controls enhanced operational efficiency," it added.

Revenue from Engineering Products and Services fell 15.8% to ₹921.83 crore.

Shares of Voltas Ltd closed at ₹1,300.30 on the BSE, down 0.54% from the previous close.