Voltas LimitedConsumer GoodsVOLTAS
Q1 FY27 concall · earnings callVoltas Limited
Voltas delivered strong Q1 FY27 performance, significantly outperforming the industry and widening its market share lead in room air conditioners to 17.3%.
Numbers
| Metric | This quarter | Change | Five-quarter trend |
|---|---|---|---|
| Consolidated Income | ₹4,765 Cr | — | |
| Net Profit | ₹213 Cr | — | |
| RAC Secondary Market Share | 17.3% | — | |
| RAC Volume Growth (YoY) | 45% | — | |
| Segment B Order Book | ₹6,345 Cr | — | |
| Segment A Growth | 33% | — |
Financials
From filed quarterly results. YoY and QoQ compare each metric on the same accounting basis.
| Quarter | Revenue | Net profit (PAT) | Basic EPS |
|---|---|---|---|
| Q3 FY25 | ₹3,105.11 Cr+18.3% YoY+18.6% QoQ | ₹130.76 CrTurned profitable YoY-1.6% QoQ | ₹3.99Turned positive YoY-1.5% QoQ |
| Q2 FY25 | ₹2,619.11 Cr+14.2% YoY-46.8% QoQ | ₹132.83 Cr+272.6% YoY-60.3% QoQ | ₹4.05+264.9% YoY-59.9% QoQ |
| Q1 FY25 | ₹4,921.02 Cr+46.5% YoY+17.1% QoQ | ₹335.00 Cr+158.8% YoY+202.8% QoQ | ₹10.10+158.3% YoY+186.9% QoQ |
| Q4 FY24 | ₹4,202.88 Cr+42.1% YoY+60.1% QoQ | ₹110.64 Cr-22.8% YoYTurned profitable QoQ | ₹3.52-19.1% YoYTurned positive QoQ |
| Q3 FY24 | ₹2,625.72 Cr+30.9% YoY+14.5% QoQ | ₹-27.60 CrLoss narrowed YoYTurned loss-making QoQ | ₹-0.92Loss/share narrowed YoYTurned negative QoQ |
TL;DR
- Consolidated income grew to Rs 4,765 crores from Rs 4,021 crores YoY.
- Net profit increased to Rs 213 crores from Rs 141 crores YoY.
- Room Air Conditioner volumes grew 45% YoY, outperforming the industry, widening secondary market share lead to 4 percentage points.
- Voltbek achieved its highest ever quarterly sales in value and volume.
- Signed a binding term sheet for a 50-50 joint venture with Atomberg to manufacture RAC compressors in India.
- Segment B (Projects) total carryover order book stood at Rs 6,345 crores.
Said on the call
“Voltas delivered a strong performance in Q1 FY27, significantly outperforming competition and further strengthening its leadership in the cooling segment.”
From the Q&A
| Topic | What management said |
|---|---|
| Compressor JV Details | JV with Atomberg is for a manufacturing capacity of ~2.8 million compressors; full commercial production expected in 18 months; capex details not finalized; primary aim is supply chain security. |
| Voltbek Profitability | EBITDA breakeven target has been pushed out by a few quarters due to commodity price increases that could not be fully passed on. |
| RAC Industry Growth & Costs | Industry primary volume growth estimated at 20-22%; Voltas grew 45%. Total cost inflation was 10-12% due to BEE norms and commodities; prices were increased close to that level, with no immediate further hikes planned. |
| Segment Performance (UCP) | RAC drove strong growth within UCP; Commercial Refrigeration was muted (industry degrew ~15%); Commercial Air Conditioning had reasonable growth. |
| UCP Margin Outlook | Q1 EBIT margin was 5.3%, up from 3.7% YoY; management aspires to improve towards 7%+ over the long term through cost optimization, scale, and market share gains. |
| Projects Segment Margin | Q1 was soft due to execution challenges and calibrated order booking to avoid fixed-price risks; expects gradual improvement from Q3/Q4 onward. |
| Voltbek Loss | The JV loss for the quarter was Rs 37 crores (Voltas' share). |
| Manufacturing Mix | For Split ACs, the mix is ~75% self-manufactured and ~25% OEM; this ratio is expected to remain steady. |
Guidance
- Focus will remain on consolidating and extending RAC leadership through product innovation, premiumization, and deeper channel penetration.
- Voltbek is expected to drive market gains and progressively improve financials through product segmentation and channel expansion.
- Projects business will focus on selective, value-accretive orders, execution excellence, and cash flow discipline.
- Engineering Products & Services will continue growth momentum with emphasis on higher-margin aftermarket and service revenues.
- The company aims for profitable growth and sustained improvement in profitability across businesses.
Source
Summary written from the transcript filed by Voltas Limited for the call held on 14 Aug 2026; published 20 Aug 2026, 20:02 IST.
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