Havells Shares Fall 6% After Q4 Results Despite Profit Growth

Authored By HDFC SKY | Published at: Apr 23, 2026 12:52 PM IST

Highlight Summary: Omaxe gains after securing RERA approval for its Lucknow project, signalling progress from planning to execution. Meta Title: Omaxe Gets RERA Nod For Lucknow Project; Shares Rise 6.33% Meta Description: Omaxe share price rises 6.33% after securing RERA approval for Lucknow commercial project, enabling launch and improving execution visibility. Omaxe Subsidiary Secures RERA Approval; Shares Rise 6.33% Regulatory Clearance Enables Project Launch Mumbai March, 06: Omaxe Limited said its wholly owned subsidiary has received regulatory clearance for a commercial project in Lucknow, marking a step forward in bringing the development to market. In an exchange disclosure, the company said Omaxe Garv Buildtech Private Limited has been granted registration by the Uttar Pradesh Real Estate Regulatory Authority for its project “Commercial-3 Block-3” in Sarojini Nagar. The approval allows the company to formally begin marketing and selling units in the project. It also brings the development under a regulated framework that requires disclosures on timelines, funding use and delivery commitments. The registration is valid until December 17, 2030, unless extended by the authority. Shares Gain As Investors Track Project Progress Omaxe share price moved higher on April 23, 2026, as investors responded to the update and its implications for project execution. The stock traded at ₹88.36, up 6.33% as of 12:22 IST, compared with the previous close of ₹83.10. Gains built gradually through the session, suggesting steady buying interest rather than a short-lived reaction. For investors, such approvals often serve as early indicators that a project is moving from the planning stage towards monetisation, which can support future cash flows. Approval Brings Execution And Sales Closer RERA registration is a key requirement in the real estate sector before a project can be commercially launched. It not only permits sales activity but also enhances transparency and accountability. Developers are required to adhere to defined timelines and provide regular updates, while buyers benefit from regulatory oversight. With this approval in place, Omaxe can begin bookings and advance construction planning alongside sales efforts. The company said in its filing that such clearances strengthen buyer confidence and support the overall credibility of the project. Company Background Omaxe Limited is a real estate developer with projects spanning residential, commercial and township segments. The company operates across multiple cities, with developments typically progressing in phases depending on approvals and market conditions. Its portfolio includes projects at various stages, from land acquisition to execution and delivery. Conclusion The RERA approval for the Lucknow project marks a routine but important milestone for Omaxe, enabling the transition from regulatory clearance to commercial activity. While the share price reacted positively, the longer-term impact will depend on how quickly the company can convert approvals into sales and execute the project in line with timelines.

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Mumbai, April 23: Shares of Havells India fell as much as 6% on Thursday after the company’s March quarter earnings disappointed investors, with weak operating performance and subdued revenue growth overshadowing a sharp rise in profit.

Havells Chart

At the time of writing, the stock was down six percent at Rs 1,265.

The stock declined as market participants reacted to the quality of earnings, even though headline net profit came in ahead of expectations. Analysts flagged that the earnings beat was largely driven by non-operational factors, while core performance remained under pressure.

Other Income

For the fourth quarter, Havells reported a strong year-on-year jump in net profit, supported in part by higher other income. However, revenue growth remained muted at low single digits, missing Street expectations and indicating a slowdown in demand momentum. More importantly, operating metrics painted a weaker picture EBITDA declined on a yearly basis, while margins contracted, reflecting cost pressures and an unfavourable product mix.

The consumer durables segment emerged as a key drag during the quarter. A slower start to the summer season impacted demand for cooling products such as fans and air-conditioners, which are typically strong contributors in this period. The Lloyd business, which houses the company’s air-conditioning portfolio, saw a noticeable decline, raising concerns about near-term demand visibility in discretionary categories.

Cables, Wires

In contrast, segments such as cables and wires continued to deliver steady growth, supported by infrastructure demand and ongoing electrification trends. Switchgears also posted stable performance, although these were not enough to offset the weakness in consumer-facing businesses.

Brokerages turned cautious following the results, with several firms cutting target prices and, in some cases, downgrading the stock. Analysts highlighted that premium valuations leave little room for disappointment, and the latest earnings have raised questions about the pace of recovery in both demand and margins.

Elevated Expectations

The sharp correction in the stock also reflects elevated expectations going into the results. Havells has been a consistent compounder over the years, commanding higher valuation multiples compared to peers. However, the current environment of uneven demand and rising input costs is testing those assumptions, particularly in the near term.

Looking ahead, management commentary around demand recovery, especially in the summer-driven categories, will be closely watched. A pick-up in consumption trends, along with margin stabilisation, will be critical for the stock to regain momentum.

While the company’s long-term growth drivers including rising electrification, housing demand and premiumisation remain intact, the latest results suggest that near-term challenges persist.

Overall, the 6% fall in the stock underscores investor disappointment with the underlying performance, shifting the focus from headline profit growth to the sustainability of earnings and demand outlook in the quarters ahead.

Source:

https://www.nseindia.com/get-quote/equity/HAVELLS/Havells-India-Limited
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