#VOLTAS Share down 5%!!
Voltas Ltd. shares fell by ~5% on Thursday after the company declared its quarterly result.
🌟Quick Summary on Voltas:
Voltas is a multinational home appliances and consumer electronics company and is a market leader in the overall room air conditioner business with a market share of around 22.8% as of August (reduced from 24% in July). The company is headquartered in Mumbai and has operations worldwide (Asia, Middle East, Africa).
🌟Key Segments:
🔻Unitary Cooling Products: 36% of the revenue comes from this segment. This segment consists of Air conditioners, Air coolers, and Commercial Refrigeration.
🔻Engineering Projects: 58% of the total revenue comes from this segment. End-to-End solutions in electromechanical projects.
🔻Engineering Products: 5% of total revenue comes from this segment. Textile Machinery and Mining & Construction equipment are manufactured by Voltas.
🌟Reason for the decline in the share price:
➡️ Company’s management has mentioned that the UCP segment of theirs is expected to generate only high-digit margins in the next 12-15 months.
➡️ Company mentioned that a lean Q2 performance caused High-cost inventory leftover which will weigh on the margins.
Are you invested in Voltas?
