Q2 Results impact: Blue Star shares drop 6% as unseasonal cool weather slows AC demand, Godrej Properties down 5%

Q2 Results impact: Blue Star shares drop 6% as unseasonal cool weather slows AC demand, Godrej Properties down 5%

The shares of Blue Star dropped more than 6 percent on November 6 after the company said that it continued to see demand slowdown in the air conditioner segment as prolonged rains and lower temperatures impacted secondary sales and delayed channel offtake.

Godrej Properties shares meanwhile fell nearly 5 percent to trade at Rs 2,186.6 apiece. This comes after the real estate developer reported a fall in revenue despite sharp rise in net profit and booking value.

Blue Star on November 5 reported a consolidated net profit of Rs 99 crore for the July-September quarter of the financial year 2026. This marks a nearly 3 percent year-on-year (YoY) increase from the Rs 96.19 crore net profit reported in the corresponding quarter of the previous financial year.

The firm’s revenue from operations meanwhile rose over 6 percent YoY to Rs 2,422 crore in Q2 FY26, as against Rs 2,276 crore in Q2 FY25.

Blue Star said that the room air conditioner segment continued to witness a demand slowdown after a subdued monsoon-led Q1 FY26, as prolonged rains and lower temperatures impacted secondary sales and delayed channel offtake.

Additionally, the GST rate cuts which came into effect in September deferred some room and commercial AC purchases, which also had a negative impact on the demand during the second quarter of FY25.

“We are optimistic about the prospects of Room AC business as the benefits of GST rate rationalization will spur the demand in Q3 FY26. However, unseasonal rains in several parts of the country continue to be a matter of concern. While the order inflow in Electro-Mechanical Projects business continues to slow, we expect demand revival in Commercial Air Conditioning and Commercial Refrigeration businesses,” the firm said.

Blue Star shares dropped more than 6 percent to trade at Rs 1,796 apiece. The stock has fallen nearly 9 percent in the past five days, and over 4 percent in the past one month. The stock however gained more than 7 percent in the past six months.

Following the firm’s commentary on demand outlook, Voltas shares dropped nearly 4 percent.

Godrej Properties on November 6 reported a consolidated net profit of Rs 405 crore for the July-September quarter of FY26, marking a 21 percent YoY rise from the Rs 335 crore net profit reported in the same period last year.

The firm’s revenue from operations meanwhile fell 32 percent YoY to Rs 740 crore. Its booking value grew 64 percent YoY to Rs 8,505 crore.

For the first half of the year, Godrej Properties' booking value reached Rs 15,587 crore. In an investor presentation, the company said it is on track to meet its FY26 booking value guidance of Rs 32,500 crore.

Godrej Properties shares dropped nearly 5 percent to trade at Rs 2,186.60 apiece. The shares of the company have fallen nearly 5 percent in the past five days, but gained over 8 percent in the past one month. The stock is however down nearly 20 percent in 2025 so far.

Its P/E ratio currently stands at around 45.

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