V-Guard Q2 FY26 Profit Increases 3% YoY to ₹65.3 Crore; Revenue Increases 3.6%

Kochi, 29 October, 2025 – V-Guard Industries Ltd (NSE: VGUARD, BSE: 532953) announced a 3% year-on-year increase in consolidated net profit to ₹65.29 crore for Q2 FY26 ended September 30, 2025, versus ₹63.39 crore in the corresponding quarter of last year. Sequentially, profit fell 11.6% from ₹73.85 crore reported in Q1 FY26 on account of declining seasonal demand and input cost inflation.

Revenue and Income Performance

Operating revenue increased 3.6% YoY to ₹1,340.92 crore, from ₹1,293.99 crore in Q2 FY25. Revenue eased from ₹1,466.08 crore in the quarter gone by on account of lacklustre demand in certain product groups. Total income rose 3.7% YoY to ₹1,345.83 crore.

Profitability and Expense Trends

Total cost went up 3.9% YoY to ₹1,260.75 crore, driven by increased raw material and staff costs. Raw material consumed expenses rose to ₹471.88 crore from ₹461.42 crore last year. Employee benefits cost was up at ₹136.24 crore from ₹129.32 crore in Q2 FY25, while depreciation and amortisation increased to ₹26.96 crore from ₹22.11 crore.

Finance expenses, however, plunged to ₹2.13 crore from ₹7.58 crore, indicating better management of debt and operational efficiency. Profit before tax increased marginally by 0.5% YoY to ₹85.08 crore.

Half-Yearly Financial Snapshot

During the first half of FY26, V-Guard reported total revenue of ₹2,817.16 crore, an increase of 1.3% over ₹2,782.05 crore of H1 FY25. Net profit during the same period was ₹139.14 crore, down 14.3% YoY, mainly because of higher operational costs and inflationary forces.

Market Reaction and Stock Snapshot

The stock of V-Guard Industries closed at ₹380.00 on October 29, 2025, with an increase of 0.42% (₹1.60) from its closing price in the last session’s close with a high of ₹384.00 and a low of ₹375.60. Its market capitalisation was at ₹16,611.55 crore, and its P/E ratio currently stands at 57.17. It continues to be included in the Nifty Smallcap 250 index.

Strategic Outlook

V-Guard is further consolidating its electricals, consumer durables, and home appliance presence, backed by a strong balance sheet and declining finance cost. The company looks to maintain its growth pace through product expansion and cost management.

REF: https://nsearchives.nseindia.com/corporate/VGUARD4321_29102025141518_OutcomeofBM.pdf

Disclaimer: At HDFC SKY, we take utmost care and due diligence in curating and presenting news and market-related content. However, inadvertent errors or omissions may occasionally occur.

If you have any concerns, questions, or wish to point out any discrepancies in our content, please feel free to write to us at content@hdfcsec.com.

Please note that the information shared is intended solely for informational purposes and does not make any investment recommendations