Shares of Bosch Ltd. declined over 5% on Thursday, May 21, following the company's cautious outlook for financial year 2027. According to reports from CNBC TV18, the stock was trading 4.7% lower at ₹35,110 during the session. With this decline, the stock has given up all the gains made in 2026 and turned negative for the year. The market reaction reflects investor concerns over the company's forward-looking guidance despite strong quarterly performance.
In its post-earnings conference call, Bosch expressed cautious optimism for FY27, citing ongoing geopolitical tensions as key concerns. As reported by CNBC TV18, the company highlighted that the semiconductor supply issue has eased but overall demand conditions remain fragile. The company specifically mentioned that the impact of the West Asia conflict may weigh on demand in the first quarter of FY27. Additionally, any potential El-Nino conditions could have downside risks to the company's FY27 growth estimates, indicating a challenging operating environment ahead. However, Bosch remains optimistic about its 'vocal for local' commitment and deep technological competencies making it resilient for the future.
Bosch delivered strong quarterly results with net profit increasing by 3% to ₹568 crore from ₹554 crore in the previous year. According to the latest regulatory filing, consolidated revenue from operations stood at ₹5,565.7 crore compared to ₹4,910.6 crore in Q4 last year. The company's EBITDA increased 21% to ₹782 crore from ₹647 crore, with margins expanding to 14% from 13.2% in the year-ago period. The board of directors recommended a final dividend of ₹270 per share for the quarter. For the full fiscal year FY26, Bosch reported consolidated net profit of ₹2,770 crore compared to ₹2,013 crore in FY25, while consolidated revenue from operations reached ₹20,034.7 crore against ₹18,087.4 crore in FY25.
The company reported strong performance across key segments with mobility segment product sales increasing by 23.3% compared to the same quarter of the previous year. According to the latest filing, power solutions business grew by 27.4% mainly due to robust growth in the overall automotive market, while two-wheeler business surged by 63.4% owing to higher sales of exhaust gas sensors following the implementation of On-Board Diagnostics II (OBD-II) norms from April 1, 2025. However, beyond mobility segments saw a decline of 9.1% primarily due to the sale of video solutions, access and intrusion systems business in May 2025. The company announced a new joint venture with Wheels India Ltd and Brakes India Pvt Ltd, where Bosch will hold 50% of the paid-up share capital in the proposed joint venture, focusing on engineering, manufacturing and sales of electronically controlled and software-driven modules for air compression, air processing, air suspension, and air parking brakes.
