Amber Enterprises Reports Loss Amid Weak RAC Demand and GST-Related Delays

Reports Weak Q2 Results

India: Amber Enterprises Ltd. reported weaker-than-expected earnings for the September quarter, missing estimates across all key metrics. The company posted a net loss of Rs. 32.9 crore (USD 0.37 million) compared to a net profit of Rs. 19.2 crore (USD 0.22 million) a year earlier, while revenue from operations declined 2.2% to Rs. 1,647 crore (USD 18.5 million) from Rs. 1,684 crore (USD 18.9 million). EBITDA fell 20% to Rs. 91.2 crore (USD 1.02 million) from Rs. 113.7 crore (USD 1.28 million), with margins contracting to 5.5% from 6.7%. The company attributed the performance decline to muted demand in the room air conditioner (RAC) segment, GST-related delays, slower electronics growth, and the impact of unseasonal rains.

The consumer durables (RAC) division, contributing 53% of total revenue, saw a sharp decline to Rs. 886 crore (USD 9.96 million) from Rs. 1,085 crore (USD 12.19 million), with margins narrowing by 120 basis points to 3.7%. The electronics division grew 30% to Rs. 642 crore (USD 7.21 million) from Rs. 492 crore (USD 5.53 million), though its margin dropped 190 basis points to 5.8%, while the railway sub-system & defence segment increased 6% to Rs. 132 crore (USD 1.48 million) but saw margins fall to 16.1%. For the first half of FY2026, profit after tax declined 21% to Rs. 72 crore (USD 0.81 million) from Rs. 91.5 crore (USD 1.03 million), even as revenue rose 25% to Rs. 5,096 crore (USD 57.27 million) and EBITDA grew 66% to Rs. 348 crore (USD 3.91 million).

Source: CNBC