Shares of Voltas Limited were in focus on Tuesday on weak brokerage commentary post a 25 percent year-on-year (YoY) decrease in net profit at Rs 96.6 crore for the December quarter posted by the company.

Share Market Live

NSE

At 10:30 am, shares of Voltas were trading 1.5 percent lower at Rs 1,150.30 on the BSE. The stock rose as much as 1.2 percent higher earlier during the opening.

Brokerage firm Nomura said that valuations are factoring in a strong summer season. Nomura maintains its 'neutral' rating on shares of Voltas with a target price at Rs 1,270. The brokerage expects a strong upcoming summer season for the company.

Goldman Sachs maintained a neutral rating on Voltas stock with a target price at Rs 1,080. The brokerage sees challenges in the near term with weak demand in the ACs segment. The outlook is uncertain for Voltas' EMP business given the ongoing restructuring. Results are weak and we have a cautious outlook, GS said.

In the corresponding quarter last year, the company posted a net profit of Rs 128.6 crore. CNBC-TV18 Polls had predicted a profit of Rs 124 crore for the quarter under review.

Total revenue for the quarter declined 10 percent YoY to Rs 1,793.6 crore from Rs 1,995 crore in the year-ago quarter.

At the operating level, EBITDA jumped 6.1 percent to Rs 155.6 crore in Q3 FY22 over Rs 146.6 crore in Q3 FY21. EBITDA margin stood at 8.7 percent in Q3 FY22 as compared to 7.4 percent in Q3FY21.

Catch all our live market updates here