Q4 Results Impact: Voltas, CEAT, Sona BLW, QuickHeal shares slump up to 10% amid muted earnings

On the back of muted Q4 earnings, the shares of Voltas, CEAT, Sona BLW Precision and QuickHeal Technologies slipped up to 10 per cent on the BSE intraday trade on Friday. 

These companies on Thursday reported their respective fourth-quarter earnings for the financial year 2021-22 (Q4FY22).  

Individually, shares of Voltas slumped most by almost 10 per cent intraday to Rs 1045 per share, followed by CEAT, which tumbled around 6 per cent to Rs 1027.5 per share, and Sona BLW down nearly 3 per cent to Rs 595.8 per share on the BSE intraday.  

Meanwhile, QuickHeal touched its new 52-week low of Rs 169.4 per share, down nearly 5 per cent on the BSE intraday, as the company’s Q4FY22 revenue declined by 1.5 per cent, while retail which forms 80 per cent of revenue also slumped by 8 per cent, as per the regulatory filing. 

Voltas’ EBITDA (earnings before interest, taxes, depreciation, and amortization) down 21% year-on-year, while its margins were down 9.8 per cent from 12.5 per cent YoY.  

“Although, we structurally remain positive on Voltas stock, rich valuations and challenges in further RAC share gains might limit near-term upside from current levels. We will revisit our estimates post the earnings call,” YES Securities said in a note. It maintained Reduce rating on the stock with a target of Rs 1190 per share. 

While CEAT on Thursday reported an 84 per cent decline in its consolidated net profit to Rs 25 crore in Q4FY22 as compared to Rs 153 crore in Q4FY21. While its revenue from operations, however, rose to Rs 2,592 crore for the fourth quarter compared to Rs 2,290 crore in the year-ago period. 

Similarly, Sona BLW precision’s revenue grew by 2 per cent YoY, however, the company witnessed pressure on margins during the March quarter as it dipped to 24.5 per cent from 26 per cent YoY.