Schneider Electric Infrastructure shares drop 11% after Q1 profit plunges 70%, margins halve

Schneider Electric Infrastructure shares drop 11% after Q1 profit plunges 70%, margins halve


Shares of Schneider Electric Infrastructure Ltd. were trading over 11% lower on Monday, August 17, after the company reported a sharp decline in profit and operating margins for the June quarter (Q1FY27).

Net profit fell 70% year-on-year to ₹12 crore from ₹41 crore. Revenue rose 4.8% to ₹651.4 crore from ₹621.6 crore a year earlier.

EBITDA declined 51% to ₹34.05 crore from ₹69.33 crore, while EBITDA margin contracted to 5.23% from 11.15%.

The company continued to report single-digit revenue growth, while margins fell to their lowest level in at least three years.

Schneider Electric Infrastructure reported orders worth ₹915 crore during the quarter, while its order backlog stood at ₹2,169 crore, up 32.7% year-on-year.

Profitability during the quarter was impacted by commodity price volatility and delays in passing on higher input costs on certain legacy orders, the company said.

Despite the margin pressure, the company continued to see strong demand from emerging segments such as data centres and semiconductors.

Ambit had initiated coverage on Schneider Electric Infrastructure in July with a ‘Buy’ rating.

The brokerage sees the company as a strong proxy for the multi-year data-centre growth theme.

Ambit estimates the company’s data-centre business to clock a 50% CAGR between FY26 and FY29, helping drive an overall revenue CAGR of 24% during the period.



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