Consolidated Financial Performance Q1 FY27

Voltas Limited reported strong consolidated financial results for the quarter ended 30th June, 2026, demonstrating significant growth across key metrics:

Income Statement Highlights:

  • Total Income: ₹4,765 crores (Q1 FY26: ₹4,021 crores) - 18.5% YoY growth
  • Profit Before Tax: ₹285 crores (Q1 FY26: ₹203 crores) - 40.4% YoY growth
  • Profit After Tax: ₹213 crores (Q1 FY26: ₹141 crores) - 51.1% YoY growth
  • Revenue from Operations: ₹4,673.50 crores (Q1 FY26: ₹3,938.58 crores)
  • Other Income: ₹91.24 crores (Q1 FY26: ₹82.07 crores)

Expense Analysis:

  • Consumption of materials, cost of jobs and services: ₹2,270.86 crores
  • Purchase of stock-in-trade: ₹1,339.00 crores
  • Employee benefits expenses: ₹258.15 crores
  • Finance costs: ₹12.75 crores
  • Depreciation and amortization expenses: ₹21.31 crores
  • Other expenses: ₹498.90 crores

Tax and Profit Allocation:

  • Total tax expenses: ₹72.70 crores
  • Net profit attributable to owners: ₹213.76 crores
  • Basic and Diluted EPS: ₹5.45 (not annualized)

Segment-wise Performance

A) Unitary Cooling Products (UCP):

  • Revenue: ₹3,794 crores (Q1 FY26: ₹2,868 crores) - 32.3% YoY growth
  • Segment Results: ₹202 crores (Q1 FY26: ₹104 crores) - 94.2% YoY growth
  • RAC volumes grew 45% year on year
  • Achieved 17.3% secondary market share for FY27 till June 2026
  • Widened lead over nearest competitor to 4 percentage points
  • Sold 1 million Room Air Conditioners in 81 days

Voltbek Home Appliances:

  • Recorded highest ever quarterly sales in both value and volume
  • YTD market share: 9.4% in Washing Machines, 7.4% in Refrigerators

B) Electro-Mechanical Projects and Services:

  • Revenue: ₹672 crores (Q1 FY26: ₹922 crores)
  • Segment Results: ₹38 crores (Q1 FY26: ₹49 crores)
  • Carry forward order book: ₹6,345 crores as of 30 June 2026

C) Engineering Products and Services:

  • Revenue: ₹159 crores (Q1 FY26: ₹135 crores) - 17.8% YoY growth
  • Segment Results: ₹41 crores (Q1 FY26: ₹40 crores)

Operational Highlights

Market Leadership:

  • Strengthened position as India's No. 1 Air Conditioning brand
  • 17.3% secondary market share in RACs for FY27 up to June 2026
  • 4 percentage point lead over nearest competitor

Product Innovation:

  • Refreshed RAC portfolio led by AI powered Vertis Split AC series
  • "True 1.5 TR Cooling Capacity" campaign set industry benchmark
  • 5,000W cooling capacity of Voltas 1.5 TR Air Conditioners

Distribution & Manufacturing:

  • Continued channel expansion across Tier II and Tier III markets
  • Over 30,000 touch points
  • High utilization levels at Chennai and Pantnagar facilities

Strategic Initiatives:

  • Sustained investments in brand building and marketing
  • Sharper product innovation and management
  • Expanding channel reach
  • Strong manufacturing and supply chain execution
  • Cost optimization initiatives including strategic sourcing, deeper localization, product design improvements and manufacturing efficiencies

Management Commentary

Mr. Mukundan Menon C P, Managing Director, stated: "Q1 FY27 has been a defining quarter for Voltas, reflecting the strength of its brands, the resilience of the business model, and the effectiveness of its long-term strategy. Achieving the landmark milestone of selling 1 million Room Air Conditioners in just 81 days is a clear validation of the trust consumers place in the Voltas brand reinforcing its undisputed leadership in the cooling products market."

Legal Matter Update

The company provided an update on ongoing litigation related to a Qatar project:

  • Court of Appeal (Qatar) judgment dated 04 May 2026 directed Main Contractor to return bank guarantees and pay settlement amount
  • Bank guarantees amounting to ₹432.66 crores (QAR 166.6 million) have been cancelled
  • Main Contractor has filed appeal before Court of Cassation
  • Company does not expect any financial impact and remains confident of successfully defending its position

Corporate Actions

  • Board meeting held on 14th August 2026 from 11:00 a.m. to 3:35 p.m.
  • Results reviewed by Board Audit Committee on 13th August 2026
  • Transfer of overseas branches in UAE to Universal MEP Contracting L.L.C. expected to be consummated by 30th September 2026

Financial Position

  • Paid-up equity share capital: ₹33.08 crores (Face value ₹1 each)
  • Other equity: ₹6,343.13 crores (consolidated)
  • Segment Assets: ₹13,680.85 crores
  • Segment Liabilities: ₹7,015.75 crores

Auditor Review

The financial results were reviewed by S R B C & CO LLP, Chartered Accountants, who issued an unmodified review conclusion, noting the Qatar litigation matter but confirming no material misstatements were identified.

Seasonal Note

Segment 'A' (Unitary Cooling Products) is seasonal in nature with sales generally being highest in the first quarter.