Blue Star Q1 Profit Drops 14.9% Amid Margin Pressure

Blue Star recorded a 14.9% year-on-year decline in consolidated net profit for Q1 FY27, reaching Rs 103 crore. This occurred despite a double-digit revenue increase during the same period.

• Net Profit (Q1FY27): Rs 103 crore (down 14.9% YoY from Rs 121 crore in Q1FY26)
• Revenue (Q1FY27): Rs 3,378 crore (up 13.2% YoY from Rs 2,983 crore)

The company’s operating performance showed significant pressure. Earnings Before Interest, Tax, Depreciation, and Amortisation (EBITDA) fell by 12% year-on-year, settling at Rs 176 crore from Rs 200 crore a year prior.

• EBITDA Margin: Contracted to 5.2% from 6.7% in Q1FY26

Blue Star also reported a one-time gain of Rs 9.2 crore during the quarter. Concurrently, its tax expense decreased to Rs 32.1 crore, down from Rs 42.4 crore in the previous year’s corresponding quarter.

Blue Star, established in 1943, stands as a prominent Indian entity in air conditioning and commercial refrigeration. It manufactures and markets diverse cooling products, encompassing room air conditioners, commercial systems, refrigeration equipment, and cold chain solutions. The company also executes mechanical, electrical, and plumbing (MEP) projects for residential, commercial, and institutional clients across India and internationally.

Overall, Blue Star’s Q1 FY27 results present a mixed picture of revenue expansion alongside notable declines in both net profit and operating margins.