V Guard Q3FY25 results: Net profit rises to Rs 60.22 cr, revenue up 9%

Indian electrical appliances manufacturer V Guard Industries reported a smaller-than-expected rise in third-quarter profit on Tuesday, as intense competition in the wires segment pressured its margins.

The company's consolidated net profit rose to Rs 60.22 crore ($6.96 million) for the three-month period ended Dec. 31 from Rs 58.24 crore a year earlier.

Analysts, on average, had expected a profit of Rs 71.2 crore, according to data compiled by LSEG.

Revenue from operations climbed nearly 9 per cent to Rs 1,269 crore , missing analysts' estimate of Rs 1,294 crore.

Key context

Rising demand from the real estate and power distribution sectors has boosted sales growth for consumer electrical goods manufacturers.

However, the high-margin wires segment is seeing intense competition.

"Demand for wires was impacted by commodity fluctuations, thereby impacting overall growth for the electricals segment," the company said.

Earlier this month, peer Polycab reported a weaker-than-expected third-quarter profit, impacted by margin pressure in the wires business.