Varroc Engineering reported a 10.2% YoY increase in consolidated revenue, reaching ₹22,875 million in Q3 FY26. The company achieved its highest-ever quarterly revenue post divestment. PBT before exceptional items for Q3 FY26 reached ₹1,007 million, compared to ₹661 million in Q3 FY25. The company anticipates overseas electronics and lighting business turnaround starting H2 FY27.
Financial Performance
Varroc Engineering announced its financial results for the quarter ended December 31, 2025 (Q3 FY26). Key highlights include:
- Consolidated revenue from operations increased by 10.2% YoY to ₹22,875 million.
- EBITDA stood at ₹2,122 million.
- PBT before exceptional items and JV profit for Q3 FY26 was reported at ₹1,007 million, versus ₹661 million in Q3 FY25.
Segmental Highlights and Growth Drivers
The revenue growth was driven by the following factors:
- India operations grew by 12.3%.
- Revenue from supplying to EV vehicles grew by 50% YoY and accounted for 14.3% of total revenue in Q3 FY26.
Strategic Initiatives and Outlook
Varroc Engineering is focused on navigating industry uncertainties and achieving sustainable growth through the following initiatives:
- Winning significant orders for overseas electronics and lighting businesses, with a turnaround expected from H2 FY27.
- Cost optimization through initiatives.
- Focusing on securing large business opportunities in both India and abroad.
Debt and Order Wins
- Net debt for 9M FY26 stood at ₹4,405 million.
- The company achieved net new business wins with annualized peak revenues of ₹20,636 million in 9M FY26, including:
- High Voltage Electronics for Romanian business from Global EV player.
- 4W Lighting for Thailand business from Global EV Player.
- 4W Lighting for Indian operations from Incumbent OEM for its upcoming EV Vehicle.
Source: BSE
