Whirlpool shares tank 3% after its Q3FY23 net profit drops by 39%

Whirlpool of India share price corrected more than 3 percent after the company reported a 16 percent drop in revenue on February 1. The stock closed at INR 1,344.5 per share on the National Stock Exchange.

The electronics and kitchen appliances maker has recorded a consolidated profit at INR 27 crore for the December FY23 quarter, down 39 percent from the year-ago period, impacted by negative operating performance as well as a lower topline. Standalone revenue from operations declined 18.3 percent on year to INR 1,172.4 crore for the quarter.

On the operating front, standalone EBITDA (earnings before interest, tax, depreciation, and amortisation) plunged 74 percent year-on-year to INR 19.1 crore, with margin declining by 360 basis points to 1.6 percent compared to year-ago period on higher input cost. The raw material cost at INR 813.6 crore was 21 percent higher from the year-ago quarter.

Whirlpool has been under pressure for the last five-and-half-month, falling nearly 30 percent since mid-August. In January 2023, it lost over 12 percent from the month’s high.