Shares of Voltamp Transformers Limited dropped by 20% on Tuesday, triggering the lower circuit due to a significant decline in earnings for the March 2026 quarter. The stock tumbled to Rs 10,016 on the National Stock Exchange of India (NSE), erasing substantial investor wealth and reducing the company’s market capitalization to Rs 14,649.59 crore. In the mid-afternoon session, the stock was trading at Rs 10,116, marking a decrease of over 19% from its previous closing price of Rs 12,520.
The sharp decline in the stock price was a result of a weak operational performance in the fourth quarter. Voltamp Transformers Limited reported revenue of Rs 617.22 crore, slightly below the Rs 624.81 crore recorded in the same period the previous financial year. However, the company experienced a more significant impact on profitability, with EBITDA dropping by 30% year-on-year to Rs 79.77 crore, and margins contracting to 13.17% from 18.63%.
Net profit nearly halved to Rs 48 crore from Rs 97 crore in the year-ago quarter, according to the regulatory filing. Despite the quarterly challenges, the company achieved steady growth for the full financial year 2025-26, with net sales and service revenue increasing by 11.34% to Rs 2,153.68 crore. The board has proposed a final dividend of Rs 100 per share, pending shareholder approval.
Voltamp Transformers Limited began the fiscal year 2026 with a strong order backlog of Rs 1,200 crore and secured additional orders valued at Rs 310 crore in April. The company mentioned that its enquiry pipeline remains robust, but it is being selective in bidding for new projects. The company attributed the sharp decline in quarterly profit to various factors, including adverse movements in its investment portfolio.
Over the past two years, Voltamp had made significant investments in long-term government securities and mutual funds, which previously yielded substantial mark-to-market gains. However, a surge in long-term government bond yields during the March quarter resulted in negative MTM adjustments, impacting the reported earnings.
