Press Release

Ebitda Margin ExpansionExceptional ItemDebt Equity ThresholdResults View source PDF Explain this filing

VARROC · price

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▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.

Price reactionminutes from the announcement price · days from the prior close

-4.7%Reaction day

₹590.00

prior close

₹588.00

announcement price

After-mkt

timing

Nifty Microcap 250market · index membership as recorded later (tracked since Jun 2026)-0.6%-4.1% vs market

Auto Components & Equipments peers, median of 116sector-1.3%-3.4% vs sector

On the reaction day the stock moved 4.1 pts less than Nifty Microcap 250 and 3.4 pts less than its Auto Components & Equipments peers, over the same two closes: a difference in percentage points, not a measure of what the filing did.

Minutes after the announcementfrom the announcement price · no benchmark

Stock

-0.7

10m

-3.2

15m

-5.5

30m

-4.2

Sessions after the filingfrom the prior close

StockMarketvs marketSectorvs sector

Reaction day

-4.7-0.6-4.1-1.3-3.4

Next day

-2.1-1.7-0.3-2.3+0.2

-2.4-0.7-1.7-2.3-0.1

+0.5-0.4+1.0-2.3+2.9

+2.0+0.4+1.6-2.1+4.1

-0.8+0.4-1.3-1.8+0.9

-1.4+0.3-1.7-2.0+0.6

15d

+4.4+5.5-1.1+0.9+3.5

+4.8+4.6+0.2+0.6+4.2

+12.5+5.3+7.2+3.7+8.8

+47.1+11.6+35.6+5.5+41.6

UpDownMarket · Nifty Microcap 250Sector · Auto Components & Equipments peers, median of 116Pending

Minute windows have no benchmark: there is no intraday index history to compare against.

AI summary

Varroc Engineering reported consolidated revenue of ₹23,681 million in Q4 FY26, up 12.8% YoY, marking its highest-ever quarterly revenue post-divestment. Full-year FY26 revenue stood at ₹88.9 billion, growing 9.0% YoY. EBITDA margin for Q4 FY26 improved to ~9.7% (from 9.3% in Q3), and full-year EBITDA margin was 9.4%, with PBT before JV profit margin expanding by 50 bps to 4.3%. EV-related revenue contributed ~14% in Q4 and ~13% for FY26. Net debt reduced significantly by ₹2,528 million to ₹4,952 million, with a comfortable net debt-to-equity of 0.27 and ROCE of 24.4%. The company won its highest-ever net new business worth ₹32,889 million in annualized peak revenues. Q3 FY26 included exceptional items of ₹1,024 million (VRS and New Labour Code). The board recommended a 150% dividend.

Likely market impact

Strong double-digit revenue growth, improving margins, and a sharp deleveraging of balance sheet signal operational turnaround, particularly in overseas businesses. The comfortable leverage ratio and high ROCE are positive for shareholders, though margin expansion remains modest.