Blue Star's Q3 profit takes a hit from new labor rules
Blue Star, the big name behind many of India's ACs and fridges, just reported a 39% drop in net profit for October-December 2025.
The main reason? A hefty ₹56 crore charge thanks to new Labor Codes that increased employee benefits.
Revenue up, but some segments struggled
Even with profits down, Blue Star pulled in more money overall—revenue grew 4.2% to nearly ₹2,925 crore.
Operating profit also rose slightly.
Their Electro-Mechanical Projects business did well, but sales of Unitary Products (like home ACs) slipped.
Borrowings rise as company looks ahead
Blue Star's order book is strong at almost ₹6,900 crore, but borrowings jumped to ₹352 crore.
The company said it is investing in distribution, R&D and manufacturing.
Leadership stays upbeat about what's next
Despite this bumpy quarter, Chairman Vir S Advani is optimistic for early 2026.
He expects demand for ACs and refrigeration to bounce back as markets recover, saying the company is well-positioned for a stronger finish to the year.