Shakti Pumps stock plunges 14% as Q3 net profit falls 70%
Shakti Pumps (India) declined as much as 13.8 per cent to ₹552.10, the lowest level since December 11, 2025 per share on the National Stock Exchange (NSE)
 "Shakti Pumps stock plunges 14% as Q3 net profit falls 70%")
Shakti Pumps (India) share price today
Shakti Pumps (India) share price slumped 14 per cent in Monday’s session following its third-quarter (Q3FY26) result. The scrip declined as much as 13.8 per cent to ₹552.10, the lowest level since December 11, 2025 on the National Stock Exchange (NSE).
As of 12:30 PM, Shakti Pumps (India) share price was trading 12 per cent down at ₹563, as compared to a 0.4 per cent advance in the Nifty 50 index. Around 3.2 million shares of the company changed hands so far on the NSE.
In the last 12 months, Shakti Pumps (India) share price decreased 30.74 per cent, as against a 11.31 per cent advance in the Nifty 50. CATCH STOCK MARKET UPDATES LIVE
Why did Shakti Pumps (India) share price fall today?
Shakti Pumps (India) share price plunged as the company’s bottomline declined in the October-December (Q3FY26) quarter. The net profit plummeted 69.6 per cent on year to ₹31.7 crore from ₹104.1 crore in the same quarter a year ago.
The revenue of Shakti Pumps (India) fell 15.1 per cent Y-o-Y to ₹551 crore in the December quarter from ₹648.8 crore last year.
The earnings before interest, taxes, depreciation, and amortisation (Ebitda) fell 61.8 per cent Y-o-Y to ₹59 crore from ₹154.4 crore.
Why Shakti Pumps (India)’s earnings declined in Q3FY26?
Shakti Pumps (India) carried out a calibrated moderation in execution, primarily in Maharashtra, to address the elevated receivable levels and manage the overall balance sheet strength, said Dinesh Patidar, chairman.
As a part of the disciplined approach, the company halted execution of orders aggregating approximately ₹200 crore to assess and stablise the receivables position, he said. “While revenues were initially expected to remain stable to marginally improve, this approach resulted in lower revenue recognition on a sequential and Y-o-Y basis and impacted Ebitda margins; however, it was a conscious decision to prioritise working capital discipline over near-term revenue growth.”
Moreover, Shakti Pumps (India) saw an increase in input costs as raw material prices rose during the third quarter. The company also incurred a one-time cost of ₹4.4 crore due to changes in labour laws.
Outlook:
Shakti Pumps (India)’s margins for the current year will remain impacted due to lower realisation and cost pressures, Patidar said. The company will remain focused on consolidating its balance sheet, maintaining disciplined execution, and ensuring sustainable growth without compromising long-term value creation
Meanwhile, Shakti Pumps (India) expects execution momentum to improve in the fourth quarter (Q4FY26), which is expected to be the highest revenue quarter ever. Some revenues from the ongoing quarter will likely spillover into subsequent quarters. ALSO READ | Religare Enterprises shares drop 5% after announcing demerger plan
Analyst view:
Shakti Pumps (India)’s recent share price reaction is largely a function of earnings compression rather than a collapse in structural demand. For a stock that had priced in strong execution under solar pump schemes, such a sharp drop in profitability naturally triggered profit-taking and valuation reset, said Harshal Dasani, business head, INVAsset PMS.
However, the underlying demand environment has not evaporated. The company continues to benefit from government-backed solar irrigation programmes, and its order book remains sizable, providing visibility for the coming quarters, he added.
==============
Disclaimer: View and outlook shared belong to the respective brokerages/analysts and are not endorsed by Business Standard. Readers discretion is advised.