Blue Star’s Cool Moves: ₹9 Dividend and a Q4 That Keeps Investors Guessing!

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Blue Star Ltd. posted a robust performance in the fourth quarter of FY25, demonstrating strength in a challenging market. The company announced a bountiful dividend of ₹9 per share, rewarding investors for their unwavering faith.

Key Highlights:

Dividend Delight: The board proposed a final dividend of ₹9 per share, reflecting confidence in the financial position of the company.
Revenue Growth: Consolidated top line from operations was at ₹40.19 billion, very close to the IBES estimate of ₹40.86 billion. This represents healthy year-on-year growth that indicates steady demand across core business verticals.
Profit Performance: Q4 consolidated net profit was at ₹1.94 billion, just short of the IBES estimate of ₹2.16 billion. Although there was a marginal miss, the company was able to stay in the black despite input cost pressures and competitive ferocity.
Operational Strength: The commercial refrigeration and air conditioning businesses continued to propel growth, with strong sales in consumer and commercial segments. The strategic emphasis of the company on channel expansion and new product launches paid dividends, enabling it to surpass one million units sold in the room AC category.
Management Outlook: Blue Star's management emphasized a robust order book and improved balance sheet, supported by recent capital raising. The management is optimistic about being able to maintain growth momentum in FY26, underpinned by continued infrastructure expenditure and growth in consumer demand.

Blue Star's Q4 performance reflects its leadership position in the market and responsiveness, even as it responds to changing industry dynamics. The succulent dividend and stable revenue growth make the company well poised for growth expansion in the future.

Source: MarketScreener, Moneycontrol, NDTV Profit