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Varroc Engineering (VARROC) investor relations material
Varroc Engineering Q3 25/26 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Q3 FY26 consolidated revenue reached INR 22.9 billion (Rs. 22,875 million), up 10.2% YoY, with India operations growing 12.3% and EV segment revenue up 53% YoY, now 14.3% of total revenue.
Highest ever new order wins in 9M FY26, with annual peak revenue potential exceeding INR 20.6 billion, over 74% related to EV models.
Net debt increased to INR 4,405 million due to VRS outflow, with net debt/equity at 0.26; VRS expected to yield recurring annual benefits.
Over 15 patents filed in 9M FY26, total filings now exceed 130, reflecting ongoing R&D investment.
Board approved unaudited financial results, call option for 25,000 NCDs, and reconstitution of key board committees.
Financial highlights
Q3 FY26 consolidated revenue: Rs. 22,875 million (up 10.2% YoY); EBITDA: Rs. 2,122 million (9.3% margin); PBT before exceptional items: Rs. 1,007 million (4.4% margin).
9M FY26 consolidated revenue: Rs. 65,224 million (up 7.7% YoY); EBITDA: Rs. 6,059 million (9.3% margin); PBT before exceptional items: Rs. 2,741 million (4.2% margin).
India operations revenue grew 12.3% YoY in Q3 FY26; overseas business declined 16.5%.
Exceptional items in Q3 FY26 included VRS and labor code costs totaling up to Rs. 1,048.81 million (consolidated).
Standalone and consolidated net profit margins were impacted by exceptional costs, with consolidated net loss of Rs. 113.03 million in Q3 FY26.
Outlook and guidance
Overseas electronics (Romania) expected to reach cash breakeven by next year, with full PBT breakeven in the following year.
Thailand lighting plant to ramp up in 2027; significant revenue growth expected from new orders in Romania and Thailand.
Focus on debt reduction, prudent capital deployment, and less capital-intensive investments; net debt reduction targeted from Q2 FY27, aiming for zero net debt by year-end FY27.
Anticipates significant overseas revenue growth from Q2 FY27 as new business wins ramp up post non-compete expiry.
Targeting 15-20% revenue growth, aiming to outperform the market by 4-5%.
- TimeTickerHeadlineOpen
- 6 FebPECO
Record 2025 occupancy and 7% Core FFO growth; 2026 targets 5.5% FFO growth and strong acquisitions. - 6 FebPROV
Q2 FY2026 net income rose 65% year-over-year, with higher margins and strong credit quality. - 6 FebNVDA
AI-driven digital twins and accelerated computing are set to revolutionize industrial design and manufacturing. - 6 FebCDP
2025 FFO/share rose 5.8% to $2.72, with strong leasing and investment; 2026 guidance signals more growth. - 6 FebCRI
Q1 2025 saw record revenue, a return to profit, and major new contracts in space technology. - 6 FebCRI
Net loss widened to 7.5m PLN in H1 2024 as revenue fell and R&D costs remained high. - 6 FebCRI
Net loss deepened on lower sales and higher costs, but major new contracts and restructuring are underway. - 6 FebEMBASSY
Record revenue, NOI, and distributions highlight strong growth and robust segment performance. - 6 FebCRI
Revenue fell and losses deepened, but ESA contracts and R&D projects drive future prospects. - 6 FebTUPRS
Net income reached TRY 29.5 billion, with strong dividends and a robust net cash position.
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