Amber Enterprises Q2 FY26 loss: key numbers, impact

Why Amber Enterprises is back in focus

Amber Enterprises India Ltd has seen sharp swings in its share price around its Q2 FY26 results, which showed a return to losses and weaker margins. In early trade on Friday, November 7, the stock fell as much as 14% intraday after the company posted a consolidated net loss for the July to September quarter. Brokerages flagged demand weakness in room air-conditioners (RAC) and the impact of higher raw material and financing costs.

The stock action later turned two-sided, with a separate market snapshot showing Amber trading much higher in the subsequent period. As of 25/02/2026 at 10:32 AM, Amber Enterprises (I) Ltd was at ₹8,053, up ₹123.5 from the previous close, after moving in a day range of ₹7,957.5 to ₹8,073.5. Over the past year, the stock delivered a return of 31.56%.

Latest price snapshot (Feb 25, 2026)

The most recent trading update puts Amber at ₹8,053, indicating the stock recovered from the post-results sell-off seen earlier in FY26. The session’s intraday band of ₹7,957.5 to ₹8,073.5 suggests active participation at elevated levels compared with the November declines reported in the same broader period.

While this later snapshot reflects improved pricing versus the Q2 reaction, it does not change the core issue raised by the Q2 print: profitability pressure and demand volatility in key end-markets.

What triggered the sell-off on November 7

Multiple reports from November 7 point to a steep fall immediately after Amber reported weak Q2 FY26 earnings. The stock was cited falling 8.95% to ₹7,131.50 in early trade, and also falling nearly 10% to around ₹7,115. Another data point described an intraday low of ₹6,737.35, representing a 14% fall during the session.

The primary trigger was a swing to losses in Q2 FY26, alongside a sharp contraction in operating margins. Investors also reacted to commentary around deferred demand following a GST rate cut and higher costs.

Q2 FY26: loss replaces last year’s profit

For the quarter ended September 2025, Amber reported a consolidated net loss of ₹32.9 crore. Another report pegged the loss at ₹32 crore, while a separate note referred to a Q2 net loss of ₹32.8 crore (converted from ₹328 million). These figures were contrasted with a net profit in the year-ago quarter, cited at ₹19.2 crore in one report and ₹21 crore in another.

Operationally, revenue from operations declined 2.2% year-on-year to ₹1,647 crore from ₹1,684 crore. EBITDA was reported at ₹98 crore in one account, and at ₹91.2 crore in another, compared with ₹113.7 crore in the previous year. One report added that Street estimates had pegged EBITDA at ₹125 crore.

EBITDA margin was reported at 5.5% in Q2, versus 6.7% a year ago, indicating a contraction of about 120 to 128 basis points.

What management said: RAC slowdown, GST timing, financing costs

Managing Director Daljit Singh linked the muted quarter to a slowdown in the RAC industry, citing unfavourable weather conditions and purchase deferments between the announcement and implementation of a GST rate reduction. Amber also cited industry estimates suggesting the RAC industry declined around 35% during the quarter.

Management said profit after tax was further impacted by higher financing costs due to the Power-One stake purchase, elevated inventory levels, and the share of loss from joint ventures. Singh added that inventories were moving toward normalised levels.

Pressure across segments and weaker operating leverage

Amber said margins remained under pressure across consumer durables, electronics, and railway subsystem and defence. Reports also highlighted moderation in the electronics division’s growth and subdued order inflows in the railway vertical as factors weighing on profitability.

Jefferies linked the earnings miss to weakness in consumer durables, led by RAC, and flagged that deferred sales after GST cuts affected volumes. It also attributed the net loss to lower margins and higher financing costs connected to the Power-One stake purchase.

Broker reactions and price targets after results

Broker activity turned more cautious after the Q2 release. Investec reiterated a “hold” rating and cut its price target to ₹7,400 from ₹8,180, while also suggesting Q3 results were unlikely to be materially better given Q2’s impact from higher raw material costs and deferred sales.

Data compiled by LSEG showed seven other brokerages cutting price targets after the results. LSEG data also showed the average rating of 27 analysts at “buy”, while median price targets were cited at ₹8,400 in one reference and ₹8,950 in another.

Stock performance versus the broader market

One report noted that Amber was down 10.2% over two sessions after posting the Q2 net loss. Year-to-date performance was also cited as negative, with Amber down 2.2% versus a 5.6% rise in the Nifty 500 index.

Separately, a historical market snapshot dated 14 Aug 2025 (3:31 PM IST) showed Amber at ₹6,895, down ₹50.50 (0.73%) on the day, with a stated 70.04% gain from its 52-week low and NSE plus BSE volume of 230.7K.

Key numbers at a glance

What to track next

The Q2 commentary puts attention on three near-term variables already identified by the company and analysts: the pace of RAC demand recovery, the extent to which input-cost pressure and operating deleverage ease, and how financing costs evolve after the Power-One stake purchase.

Investors will also watch whether inventory levels continue to normalise, and whether the electronics and railway-related businesses show steadier order momentum given the margin pressure highlighted across segments.

Conclusion

Amber Enterprises’ Q2 FY26 results triggered a sharp sell-off, driven by a swing to a quarterly loss, lower revenue, and margin contraction amid RAC demand weakness and higher costs. The stock later traded at ₹8,053 as of February 25, 2026, but the next set of results will be key to assessing whether margins stabilise and demand normalises after the GST-related disruptions cited by management.