Voltas Q4 preview: Cons. revenue to likely log 28% growth; margins to contract by 60bps

The country’s leading air conditioning and engineering services company Voltas is all set to unveil its March quarter results today. Zee Business research desk estimates the home appliances company to report a strong quarter with consolidated revenue expected to log 28 per cent year-on-year (YoY)  growth to Rs 3,789 crore as against Rs 2,957 crore in the same period last year. EBITDA, a measure of profitability, is also seen to log a healthy double-digit growth of 18 per cent to Rs 258 crore in the reporting quarter versus Rs 219 crore in the corresponding period of the previous fiscal year.

The  company’s Q4FY24 consolidated profit after tax (PAT) is expected at Rs 179 crore, a decent 25 per cent YoY growth. Margins, however, at the leading Tata Group company are likely to shrink to 6.8 per cent from 7.4 per cent recorded in Q4FY23.

The desk estimates the company’s unitary cooling products (UCP) segment to register an over 20 per cent growth in revenue during the period under review. Also, investors will keep an eye on the margins of the UCP segment. Additionally, the company's electro-mechanical projects and services (EMPS) segment is expected to register 42 per cent growth.

Voltas registers highest-ever sales of ACs in FY2024

Earlier in April, the company reported that it has recorded the highest-ever AC sales in the fiscal year 2024.  "The company achieved over 2 million AC units during this fiscal 2023-24, the highest ever sale of ACs by any brand in a financial year in India, with a volume growth of 35%,” said the company in its exchange filing.

Furthermore, as per the desk inputs, in the January-March quarter, AC volume at the company logged a healthy growth of 72 per cent. 

Voltas share price

Shares of Voltas over the last one year have climbed 83 per cent, while its 1-month return is at 18.5 per cent. Ahead of its earnings later today, shares of Voltas traded with gains of 0.9 per cent at Rs 1460 apiece on the BSE.