Blue Star (500067) Q3 24/25 earnings summary

Executive summary

• Q3 FY25 delivered strong revenue and profit growth, marking 12 consecutive quarters of positive results and outperformance in key segments, especially unitary products and room air conditioners.

• Maintained leadership in core product segments, expanded international presence, and focused on customer experience, ESG, and operational excellence.

• Consolidated revenue for Q3 FY25 was ₹2,807.36 crore, up from ₹2,241.19 crore in Q3 FY24.

• Net profit for Q3 FY25 was ₹132.85 crore, up from ₹88.43 crore in Q3 FY24.

• Exceptional income of ₹12.51 crore in Q3 FY25 from a property sale by a subsidiary.

Financial highlights

• Q3 FY25 consolidated revenue grew 25.3% year-over-year to ₹2,807.36 crore.

• EBITDA (excluding other income) rose to ₹209.38 crore (7.5% margin), up from ₹155.35 crore (6.9% margin) in Q3 FY24.

• Net profit increased 31.8% year-over-year to ₹132.46 crore; EPS at ₹6.44 versus ₹4.89 last year.

• Order book at record high of ₹6,801.99 crore, up 12.8% year-over-year.

• Profit before tax for Q3 FY25 was ₹178.99 crore, up from ₹134.39 crore in Q3 FY24.

Outlook and guidance

• Optimism for Q4 driven by summer season, government spending revival, and private sector CapEx acceleration.

• Focus on leveraging growth in quick commerce, food delivery, and energy-efficient products, with plans to strengthen presence in the USA and Europe.

• Room AC industry expected to grow at 19% CAGR over five years, with a 15% market share target and 8-8.5% operating margin in unitary products.

• Headwinds include rupee depreciation, commodity price escalation, and supply chain disruptions, but mitigation plans are in place.

• All QIP proceeds fully utilized as intended; no outstanding defaults on loans or debt securities.