Amber Enterprises India Ltd shares experienced their worst single-day decline since a 20% crash in May 2022, falling nearly 18% to trade at ₹6,980 apiece following the release of Q4 results. According to NDTV Profit, the stock was trading at around ₹7,159 per share during the morning session, with the current decline marking the worst single-day performance since the May 2022 crash. The shares have declined around 17% in one week and 11% in one month, though they remain up 10% in 2026 and 11% over one year, with longer-term performance showing a 235% jump over three years and 137% growth over five years.
Despite the sharp stock decline, Amber Enterprises reported robust financial results for FY26. The company achieved 15% YoY growth in operating EBITDA to ₹362 crore, with gross margins improving to around 19%. As reported by NDTV Profit, the consumer durables division recorded 14% revenue growth in FY26 against the previous year, while the electronics division saw 49% revenue growth. The Railway Sub-systems & Defense Division also recorded 19% revenue growth for the financial year ending March 31, 2026. However, adjusted PAT declined 39% YoY to ₹704 million versus analyst estimates of ₹1.1 billion, primarily due to heavy losses in one of its joint ventures from unexpected challenges and customer disputes.
The company cited several factors contributing to increased cost pressures across its divisions. As reported by NDTV Profit, Amber Enterprises identified higher minimum wages in north India, rising prices of copper-clad laminate and gold, and currency movements as key contributors to cost inflation. During a post-results conference call, management provided specific guidance on the expected margin impact, stating that margin pressure of 50-100 basis points on a consolidated basis is expected in the future. Executive Chairman Jasbir Singh stated that this margin pressure is temporary in nature and expected to normalize as the macro environment improves.
Despite cost pressures, the company maintains an optimistic outlook for the room air-conditioner segment. As reported by NDTV Profit, Amber expects industry volume growth of 12-13% for the full year and around 20% growth in the June quarter due to a weak base and rising temperatures from mid-April onward. However, the company noted that price increases in the printed circuit board business take longer to pass through to customers compared with the RAC business. The strong performance across divisions, with consumer durables growing 14% and electronics expanding 49%, demonstrates the company's diversified business model resilience.
Despite the market decline, analyst sentiment remains largely positive on the stock. According to Bloomberg data cited by NDTV Profit, 23 out of 30 analysts tracking Amber Enterprises have a 'buy' rating, while six analysts maintain 'hold' ratings and only one analyst has a 'sell' rating. Motilal Oswal noted that the company reported a strong set of numbers with beats across revenue, EBITDA, and reported PAT, stating that the adjusted PAT decline was primarily due to JV challenges outside the company's control. The average target price stands at ₹8,350.43, implying an upside potential of 15.3% from current levels, despite the recent market volatility.
