Voltas Ltd. registered a net loss in the third quarter, largely on account of provisions made for an overseas project.
The consolidated net loss of the air conditioning and engineering services provider stood at Rs 110.4 crore in the quarter ended December, as against a net profit of Rs 95.9 crore over the same period in the previous fiscal, according to an exchange filing.
The profitability was impacted due to a provision of Rs 137 crore, that was made on an overseas project.
The profit before share of loss of joint ventures and associates, exceptional items and tax was Rs 90 crore in the third quarter, compared to Rs 171 crore in the corresponding quarter of the previous fiscal.
Voltas Q3 FY23 Highlights (YoY)
Revenue rose 12% to Rs 2,005.6 crore.
Ebitda declined 51% to Rs 76.4 crore.
Margin at 3.8% vs 8.7%.
Segment-wise, the revenue from unitary cooling products rose 11.2% to Rs 1,216 crore, while that of electro-mechanical projects and services gained 17% to Rs 648.4 crore.
The engineering products and service segment, however, saw a 5.7% dip in revenue to Rs 118 crore.
Total expenses rose 18% to Rs 1,947 crore.
"The revenue of the unitary cooling products business was good, given muted festival sales amid inflation woes and subdued consumer sentiment," the Tata Group firm said, in a statement.
Voltas continues to be the market leader and has sustained its top position in the overall room air-conditioner business, with a market share of 22.5%, as of December 2022.
Shares of Voltas fell 0.42% on the BSE after the results were announced, as compared to a 0.12% gain on the benchmark Nifty 50.
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