Blue Star reported modest revenue growth in Q3FY26 despite market challenges. Revenue from operations increased by 4.2% to Rs 2925.31 crores. Operating Profit increased by 5.4% to Rs 220.72 crores. The company anticipates a strong Q4FY26, particularly for the Room ACs, Commercial Air Conditioning, and Commercial Refrigeration segments, and is investing in distribution and R&D for future growth.
Q3FY26 Financial Performance
Blue Star announced its financial results for the quarter ended December 31, 2025 (Q3FY26), showcasing moderate growth in revenue and operating profit amid a challenging market environment. The Room ACs business experienced growth, driven by channel partners stocking up before the mandatory energy-label transition effective January 1, 2026.
Key Financial Highlights
The company’s Revenue from Operations increased to Rs 2925.31 crores, a 4.2% increase compared to Rs 2807.36 crores in the same quarter of the previous year.
Operating Profit (PBIDTA excluding Other Income) rose by 5.4% to Rs 220.72 crores (7.5% of Revenue), up from Rs 209.38 crores (7.5% of revenue) in Q3FY25.
Other Income, including income from treasury investments, totaled Rs 11.88 crores, compared to Rs 8.73 crores in Q3FY25.
Tax expense for the quarter was Rs 27.07 crores, down from Rs 46.53 crores in Q3FY25.
Profit Before Tax (before share of Profit/(Loss) of JV and exceptional items) was slightly lower at Rs 164.66 crores compared to Rs 167.20 crores in Q3FY25.
Segment Performance
Revenue for Segment 1, which includes Electro-Mechanical Projects, Commercial Air Conditioning Systems, Service, and International Business, grew by 8.6% to Rs 1696.21 crores. This compares to Rs 1562.41 crores in Q3FY25.
The Unitary Products Segment, comprising Room Air Conditioners and Commercial Refrigeration, reported revenue of Rs 1154.22 crores in Q3FY26, versus Rs 1164.36 crores in Q3FY25.
The Professional Electronics and Industrial Systems segment’s revenue decreased by 7.1% to Rs 74.88 crores compared to Rs 80.59 crores in Q3FY25.
9-Month Performance
For the nine months ended December 31, 2025, the company reported Revenue from Operations of Rs 8329.93 crores, an increase of 4.8% compared to Rs 7948.69 crores in the same period of the previous year.
Operating Profit for the same period was Rs 604.14 crores (7.3% of Revenue), compared to Rs 596.52 crores (7.5% of Revenue) the prior year.
Net Profit was Rs 300.15 crores compared to Rs 397.28 crores in the previous year.
Company Outlook
Blue Star anticipates a strong Q4FY26 for Room ACs, Commercial Air Conditioning, and Commercial Refrigeration. It continues to invest in distribution, R&D, and manufacturing to support future growth.
Source: BSE
