Ashok Leyland, Voltas and Bharat Dynamics deliver strong quarters
Ashok Leyland led the day’s stronger numbers, with revenue hitting a record ₹9,634 crore and commercial vehicle volumes reaching a new high. Profit rose to ₹609 crore, its best-ever first-quarter number, although rising material costs continued to weigh on margins.
Managing Director and CEO Shenu Agarwal said the company is looking to offset that pressure through better price realisation, cost-saving initiatives and a stronger product mix. The board also approved investments of up to ₹850 crore across Optare and Hinduja Housing Finance.
Voltas had another strong quarter, with profit rising 52.2% to ₹214 crore and revenue increasing nearly 19%. The room air-conditioner business remained the main driver, with the company holding a 17.3% secondary-market share in the category. Voltas said it extended its lead over the nearest rival to four percentage points and sold 1 million units in 81 days during the quarter.
Bharat Dynamics delivered the sharpest improvement of the day. Profit jumped more than sixfold to ₹118.8 crore, while revenue more than doubled. EBITDA moved from a loss in the year-ago quarter to a profit, with the improvement largely reflecting revenue growth outpacing the rise in expenses.
Pharma ends the week on a softer note
Natco Pharma had one of the day’s sharper reactions, with its shares falling 6% after profit declined 57% and revenue nearly halved. The weakness was visible across the company’s key financial metrics, making for a difficult quarter for the drugmaker.
Alkem Laboratories saw a more measured decline, with shares down 3% after profit fell nearly 22%, despite revenue growing 11%. Managing Director Sandeep Singh struck a steadier tone, pointing to healthy growth across the company’s India and international businesses and describing the year as having started steadily.
Cochin Shipyard and Borosil also reported weaker numbers
Cochin Shipyard’s profit fell nearly 28%, alongside a decline in revenue. At Borosil, profit dropped more than 26%, even as revenue increased close to 9%. EBITDA margin narrowed to 14% from 16% a year earlier, showing the pressure underneath the topline growth.
Management commentary adds to the picture
Page Industries’ Chief Financial Officer Deepanjan Roy said demand is expected to remain strong in the coming quarters, with athleisure emerging as an important growth area alongside potential export opportunities. The company is also looking to spend more on marketing as it expands beyond its traditional categories into daily comfort wear, casual wear, performance wear and street fashion.
At Solar Industries, Joint CFO Shalini Mandhana said the company remains confident of achieving its FY27 revenue guidance of ₹14,000 crore, with margins of around 28% now considered the new normal at its current stage of growth. Defence remained the standout driver for Solar Industries, with the business growing 123% year on year during the quarter. The company ended the period with an ₹18,000 crore order book, while an extended-range Pinaka order is still expected before the end of the year.
Canara Bank also offered a positive view on loan growth. Managing Director and CEO Brajesh Kumar Singh said the lender expects to surpass its 11-12% loan growth guidance for the year, supported by healthy credit demand across sectors including power, green energy and data centres. The bank is also continuing to shift away from high-cost bulk deposits towards more granular retail deposits.
And with that, the week comes to a close. Autos, defence, consumer businesses and financials provided some of the stronger earnings narratives, while pharma and a few other sectors had a more difficult finish.
Have a good weekend, and see you Monday.
