Shakti Pumps shares tumble over 8% despite record Q4 revenue; here is why

Shares of Shakti Pumps India Ltd fell sharply in Friday's trade despite the company reporting its highest-ever consolidated quarterly revenue in Q4 FY26. Weak profitability and margin contraction weighed on investor sentiment, dragging the stock down 8.42 per cent to Rs 545.25.

The pump and motor manufacturer posted consolidated revenue of Rs 857.8 crore in the March 2026 quarter. However, profit after tax (PAT) declined sharply to Rs 38.3 crore from Rs 163.9 crore in the corresponding quarter last year.

EBITDA for Q4 FY26 stood at Rs 83.2 crore compared to Rs 163.9 crore in Q4 FY25. EBITDA margin also narrowed significantly to 9.7 per cent from 24.6 per cent in the year-ago period.

The company attributed the margin pressure to lower realisation from the Magel Tyala Scheme, higher raw material prices and increased logistics expenses amid ongoing geopolitical tensions.

"The EBITDA margins were impacted by lower realisation from Magel Tyala Scheme, increase in raw material costs and other expenses (mainly due to higher logistics costs), owing to prevailing geopolitical tensions," Shakti Pumps stated.

Meanwhile, Shakti Pumps witnessed strong growth in its solar pumps segment during the quarter. The company installed 28,345 solar pumps in Q4 FY26, marking a 51 per cent year-on-year (YoY) increase. Revenue from the solar pumps business rose 42 per cent YoY to Rs 704 crore.

"This is mainly on account of strong execution during the year, mainly in Maharashtra, while other states are also gaining traction," the company said.

Revenue from the exports business stood at Rs 104.1 crore in Q4 FY26. "Revenue during the quarter was largely affected due to delay in receiving new orders on account of the ongoing geopolitical tensions in the Middle East. However, the Company has observed a growth in business from dealer & distributor network, which is expected to continue performing well in future," Shakti Pumps said.

The company added that its order book stood at around Rs 1,500 crore as of May 7, 2026.