APAR Industries Q3 Results: Shares gain after profit jumps 19%, margin improves despite export drag

APAR Industries Ltd reported a solid set of numbers for the December quarter, led by strong domestic demand and improved operating efficiency. Consolidated net profit rose 19.4% year-on-year to ₹209 crore, compared with ₹175 crore in the year-ago period.

Revenue increased 16.7% to ₹5,479.7 crore from ₹4,696.5 crore, supported by healthy performance in the domestic market. Domestic revenues grew sharply by 30% year-on-year, underscoring resilient demand across key segments.

EBITDA climbed 32% to ₹444.3

crore, while operating margins expanded to 8.1% from 7.2% a year earlier, reflecting better cost control and operating leverage.

The company also recognised a ₹25 crore provision linked to past service costs arising from the enactment of new labour codes, classified under exceptional items.

On the downside, exports declined 11.2% year-on-year, contributing 25.6% to overall revenues versus 33.5% in the corresponding quarter last year. The US business saw a sharp 51% contraction during the quarter.

Shares of APAR Industries were trading nearly 4% higher at ₹7,707 on the NSE in afternoon trade, reflecting a positive market reaction to the earnings performance.