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Earnings Call

Varroc Engineering Earnings Call: Key Takeaways

Varroc Engineering reported FY26 revenue of ₹88,905M with ₹8,364M EBITDA. Management is focused on deleveraging and expanding EV component content.

Why this was an Alfa AlertNot a filter event. Results and growth are in line with the stated 10% CAGR trend.
Highlights
Revenue growth9% YoY for FY26; ~10% 4-year CAGR.
MarginsEBITDA margin stable at 9.4%; Gross Margin at 35.9%.
Order bookOutstanding order book at ₹35,090M (End FY26).
Demand visibilityStrong; peak revenue win of ₹32,889M in FY26.
Management confidenceHigh focus on 'Compounding Machine of Value' strategy.

Growth

FY26 revenue grew ~9% YoY; EBITDA increased to ₹8,364M (9.4% margin); PBT rose to ₹3,814M.

Outlook

Targeting 10% CAGR revenue growth; focusing on premiumization with ₹35k-40k EV content per vehicle.

Risks

Potential impact from inflation and reliance on key customer Bajaj (46% of revenue).

Source

Earnings Call filed with NSE, NSE: VARROC. Summary written with AI assistance from the document.

Read the document ↗

Varroc Engineering Ltd: key numbers

Share price
₹834.85
Market cap
₹12,755 Cr
Revenue (annual)
₹8,890 Cr
Net profit (annual)
₹225.0 Cr
P/E (TTM)
64.7×Sector 33.6×
Promoter holding
75.00%+0.00% QoQ
FII holding
4.29%Current quarter

Reference market data from a third-party provider, updated daily. Not a valuation or a recommendation.

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Varroc Engineering Debt & Borrowing: ₹50 Cr

Varroc Engineering issued 1,000 unsecured Commercial Papers of Rs.50 Crore to Kotak Mahindra Bank. The 90-day CPs carry 6.90% discount rate with upfront interest payment.

Value
₹50.00 Cr
Execution
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Varroc Engineering Other Announcement

Varroc Engineering received an independent ESG rating of 'Crisil ESG 62' (Strong) from CRISIL ESG. This is a routine regulatory disclosure with no monetary transaction.