Blue Star Limited , a leading air conditioning and commercial refrigeration company, reported a mixed set of financial results for the first quarter. The company's consolidated revenue grew by 4.1% year-over-year, despite facing headwinds in its room air conditioner business due to unseasonal rains.

Revenue Growth and Profitability

Blue Star's consolidated revenue from operations increased to ₹2,982.25 crore, up from ₹2,865.37 crore in the same period last year. However, the company experienced a decline in profitability:

• Operating Profit (EBITDA) decreased to ₹199.99 crore (6.7% of revenue) from ₹237.83 crore (8.3% of revenue).
• Profit Before Tax (PBT) fell by 27.8% to ₹163.23 crore, compared to ₹226.02 crore.
• Net Profit for the quarter stood at ₹120.82 crore, down from ₹168.76 crore in the previous year.

Segment Performance

1. Electro-Mechanical Projects and Commercial Air Conditioning Systems

• Revenue grew by 35.9% to ₹1,412.46 crore
• Segment result was ₹111.62 crore (7.9% of revenue)
• Strong order bookings from factories, data centers, and healthcare sectors

2. Unitary Products (Room ACs and Commercial Refrigeration)

• Revenue declined by 13.3% to ₹1,499.37 crore
• Segment result was ₹87.47 crore (5.8% of revenue)
• Room AC business impacted by early monsoon and mild summer
• Commercial Refrigeration business showed strong growth

3. Professional Electronics and Industrial Systems

• Revenue declined by 27.3% to ₹70.42 crore
• Segment result was ₹7.62 crore (10.8% of revenue)
• Challenges in Med Tech and Data Security businesses

Financial Position

• The company maintained a net cash position of ₹370.92 crore.
• Carried Forward Order Book grew by 12.5% to ₹6,843.04 crore.

Management Commentary

Vir S. Advani, Chairman & Managing Director of Blue Star Limited, commented on the results: "The first quarter was impacted due to unseasonal rains during the summer season, resulting in a decline of Room Air Conditioners sales. We anticipate the demand to revive during the upcoming festive season. Further, our well-diversified portfolio of B2B products and solutions comprising, Electro-Mechanical Projects, Commercial Air Conditioning and Commercial Refrigeration, should help us partly offset the shortfall during the rest of the financial year."

Outlook

Despite the challenges in the Room AC segment, Blue Star remains optimistic about its prospects. The company expects a stronger demand revival during the festive season and continues to focus on strategic investments in manufacturing, R&D, and digitalization to drive long-term growth and innovation.

Blue Star's diversified portfolio and strong performance in B2B segments have helped the company navigate through the challenging market conditions. As it looks ahead, the company is well-positioned to capitalize on the expected recovery in demand and its robust order book.

Blue Star Limited (BSE: 500067, NSE: BLUESTARCO) has announced a significant change in its senior management structure. V S Ashok, who previously held the position of Executive Vice President – Customer Experience & ESG, has ceased to be a Senior Management Personnel of the company, effective immediately.

Management Restructuring

The decision was made by Blue Star's Nomination and Remuneration Committee during a meeting held on July 29, 2025. The committee convened from 2:00 p.m. to 2:52 p.m. to discuss and finalize this organizational change.

Regulatory Compliance

In compliance with Regulation 30 of the Securities and Exchange Board of India (SEBI) Listing Obligations and Disclosure Requirements Regulations, 2015, Blue Star promptly informed the stock exchanges about this development. The company clarified that Mr. Ashok's departure from the senior management team is due to a change in his role within the organization.

Impact on Company Structure

While the specific details of Mr. Ashok's new role have not been disclosed, this move signals a shift in Blue Star's management structure. The company, known for its air conditioning and commercial refrigeration products, continues to adapt its leadership team to meet evolving business needs.

Information Accessibility

Blue Star has assured stakeholders that this information will be available on the company's official website at www.bluestarindia.com for further reference.

As the market processes this news, stakeholders will be observing how this management change might influence Blue Star's operations, particularly in the areas of customer experience and ESG (Environmental, Social, and Governance) initiatives, which were under Mr. Ashok's purview in his previous role.

Blue Star Limited remains committed to transparent communication with its shareholders and the market, as evidenced by its prompt disclosure of this management change in accordance with SEBI regulations.