Varroc Engineer

Why is Varroc Engineering Ltd falling/rising?

As of 28-Jul, Varroc Engineering Ltd's stock is experiencing a decline of 1.22% after two days of gains, underperforming its sector by 1.17%. Despite this short-term drop, the stock has strong long-term growth indicators, including an 11.27% year-to-date increase and a 25.00% return over the past year.

As of 28-Jul, Varroc Engineering Ltd's stock price is currently falling, with a change of -8.1, representing a decrease of 1.22%. This decline follows a trend reversal after two consecutive days of gains. Additionally, the stock has underperformed its sector by 1.17% today. <BR><BR>Despite this short-term drop, the stock has shown strong performance over longer periods, with a year-to-date increase of 11.27% and a one-year return of 25.00%. The company has also demonstrated healthy long-term growth, with an annual operating profit growth rate of 24.57% and a significant increase in profit after tax of 79.10% over the last six months. <BR><BR>Furthermore, Varroc Engineering Ltd is trading above its moving averages across various time frames, indicating a generally positive trend. However, the recent price drop may be attributed to market fluctuations and the stock's recent performance relative to its sector, rather than a fundamental deterioration in the company's financial health.

Which are the latest news on Varroc Engineer?

What does Varroc Engineer do?

Varroc Engineering Ltd is a global tier-1 automotive component supplier, incorporated in 1988 and publicly listed since 2018, with recent quarterly net sales of ₹2,368 Cr and a net profit of ₹69 Cr. The company has a market cap of ₹8,754 Cr and key metrics include a P/E ratio of 31.00 and a dividend yield of 0.17%.

Overview:<BR>Varroc Engineering Ltd is a global tier-1 automotive component supplier operating in the Auto Components & Equipments industry within the small-cap market segment.<BR><BR>History:<BR>The company was incorporated in 1988 and underwent a status change to a public limited company on February 5, 2018. The latest quarterly results reported net sales and profit for the period ending March 2026.<BR><BR>Financial Snapshot:<BR>- Net Sales: 2,368 Cr (Quarterly Results - Mar 2026)<BR>- Net Profit: 69 Cr (Quarterly Results - Mar 2026)<BR>- Market Cap: INR 8,754 Cr (Small Cap)<BR><BR>Key Metrics:<BR>- P/E: 31.00<BR>- Industry P/E: 36<BR>- Dividend Yield: 0.17%<BR>- Debt-Equity: 0.38<BR>- Return on Equity: 15.97%<BR>- Price to Book: 4.96<BR><BR>Contact Details:<BR>Address: L-4 MIDC, Waluj Aurangabad (Maharashtra) Maharashtra : 431136<BR>Tel: 91-240-6653700/6653699<BR>Email: investors@varroc.com<BR>Website: http://www.varrocgroup.com

How big is Varroc Engineer?

As of 10th June, Varroc Engineering Ltd has a market capitalization of 8,754.00 Cr, with recent net sales of 8,890.49 Cr and a net profit of 225.03 Cr over the last four quarters.

As of 10th June, <BR><BR>Market Cap: Varroc Engineering Ltd has a market capitalization of 8,754.00 Cr, categorizing it as a Small Cap company.<BR><BR>Recent Quarterly Performance: The sum of Net Sales for the latest 4 quarters is 8,890.49 Cr, while the sum of Net Profit for the same period is 225.03 Cr.<BR><BR>Balance Sheet Snapshot: The reporting period is March 2025, with Shareholder's Funds valued at 1,565.06 Cr and Total Assets amounting to 4,585.61 Cr.

Who are in the management team of Varroc Engineer?

The management team of Varroc Engineer includes Tarang Jain (Chairman & Managing Director), Arjun Tarang Jain, Rohit Prakash, and Tarun Tyagi (Whole-time Directors), along with several Independent Non-Executive Directors: Gautam P Khandelwal, Vijaya Sampath, Marc Szulewicz, and Vinish Kathuria, as well as Dhruv Jain (Non-Executive & Non-Independent Director). They are responsible for the company's strategic direction and operations.

The management team of Varroc Engineer includes the following individuals:<BR><BR>1. **Tarang Jain** - Chairman & Managing Director<BR>2. **Arjun Tarang Jain** - Whole-time Director<BR>3. **Gautam P Khandelwal** - Independent Non-Executive Director<BR>4. **Vijaya Sampath** - Independent Non-Executive Director<BR>5. **Marc Szulewicz** - Independent Non-Executive Director<BR>6. **Vinish Kathuria** - Independent Non-Executive Director<BR>7. **Rohit Prakash** - Whole-time Director<BR>8. **Dhruv Jain** - Non-Executive & Non-Independent Director<BR>9. **Tarun Tyagi** - Whole-time Director<BR><BR>This team is responsible for guiding the company's strategic direction and operations.

Who are the peers of the Varroc Engineer?

Varroc Engineer's peers include Shriram Pistons, Lumax Auto Tech, Ramkrishna Forg., Banco Products, ASK Automotive, SJS Enterprises, Pricol Ltd, Suprajit Engg., and Fiem Industries. SJS Enterprises has the highest 1-year return at 75.03%, while Varroc Engineer's return is 2.95%, and Ramkrishna Forg. has the lowest at -15.12%.

Peers: The peers of Varroc Engineer are Shriram Pistons, Lumax Auto Tech., Ramkrishna Forg., Banco Products, ASK Automotive, SJS Enterprises, Pricol Ltd, Suprajit Engg., and Fiem Industries.<BR><BR>Quality Snapshot: Excellent management risk is observed at Shriram Pistons, while Good management risk is found at Lumax Auto Tech., Ramkrishna Forg., ASK Automotive, SJS Enterprises, Pricol Ltd, Suprajit Engg., and Fiem Industries, and the rest. Growth is Excellent at Shriram Pistons, Lumax Auto Tech., Banco Products, Pricol Ltd, and the rest, while Good growth is seen at Ramkrishna Forg., ASK Automotive, SJS Enterprises, Suprajit Engg., and Fiem Industries. Below Average capital structure is noted at Ramkrishna Forg. and Varroc Engineer, while Excellent capital structure is observed at Shriram Pistons, Banco Products, SJS Enterprises, and Fiem Industries, and the rest.<BR><BR>Return Snapshot: SJS Enterprises has the highest 1-year return at 75.03%, while Ramkrishna Forg. has the lowest at -15.12%. Varroc Engineer's 1-year return of 2.95% is lower than SJS Enterprises but higher than Ramkrishna Forg. Additionally, Banco Products, Pricol Ltd, and Suprajit Engg. have negative six-month returns.

Are Varroc Engineering Ltd latest results good or bad?

Varroc Engineering Ltd's latest results show strong revenue growth and a significant increase in net profit, but margin compression raises concerns about operational efficiency. Overall, the results are positive in terms of growth but highlight challenges in maintaining profitability.

Varroc Engineering Ltd's latest results present a mixed picture. On the positive side, the company reported a significant increase in net profit for Q4 FY26, reaching ₹69.32 crores, which is a remarkable 237% increase year-on-year. Additionally, net sales hit an all-time quarterly high of ₹2,368 crores, reflecting a year-on-year growth of 12.81% and a sequential growth of 3.52%.<BR><BR>However, there are concerns regarding margin compression. The operating margin decreased to 9.39%, down 113 basis points from the previous year, indicating that despite the strong revenue growth, the company is facing challenges related to operational efficiency and cost pressures. The profit margins, while improved in terms of net profit, still reflect underlying issues that need to be addressed.<BR><BR>Overall, while the revenue growth and profit recovery are commendable, the margin pressures suggest that the company must focus on improving operational efficiency to sustain profitability. Therefore, the results can be seen as good in terms of growth but concerning regarding profitability metrics.

Should I buy, sell or hold Varroc Engineering Ltd?

When is the next results date for Varroc Engineering Ltd?

The next results date for Varroc Engineering Ltd is 27 May 2026.

The next results date for Varroc Engineering Ltd is scheduled for 27 May 2026.

How has been the historical performance of Varroc Engineer?

Varroc Engineer's historical performance shows fluctuating net sales, increasing from 6,891.21 Cr in March 2023 to 8,154.08 Cr in March 2025, but still below the 11,302.75 Cr peak in March 2021. Profitability has been inconsistent, with profit after tax declining to 65.97 Cr in March 2025 from 508.60 Cr in March 2024, despite improvements in operating profit and cash flow.

Answer:<BR>The historical performance of Varroc Engineer shows a fluctuating trend in net sales and profitability over the years, with a notable recovery in recent periods.<BR><BR>Breakdown:<BR>Varroc Engineer's net sales increased from 6,891.21 Cr in March 2023 to 8,154.08 Cr in March 2025, reflecting a positive growth trend. However, this is a decline from the peak of 11,302.75 Cr in March 2021. The total operating income followed a similar pattern, rising to 8,154.08 Cr in March 2025 from 7,551.94 Cr in March 2024. The total expenditure also increased, reaching 7,365.33 Cr in March 2025, which is higher than the previous year's 6,778.37 Cr. Operating profit (PBDIT) showed improvement, increasing to 806.43 Cr in March 2025 from 801.15 Cr in March 2024, although it remains below the 1,179.70 Cr recorded in March 2019. Profit before tax decreased to 165.55 Cr in March 2025 from 270.46 Cr in March 2024, while profit after tax saw a decline to 65.97 Cr from 508.60 Cr in the same period. The company's total liabilities increased slightly to 4,585.61 Cr in March 2025 from 4,363.75 Cr in March 2024, while total assets also rose to 4,585.61 Cr. Cash flow from operating activities improved to 736.00 Cr in March 2025 from 638.00 Cr in March 2024, indicating a positive cash flow trend. Overall, while Varroc Engineer has shown some recovery in sales and operating profit, profitability remains inconsistent compared to earlier years.

Is Varroc Engineer technically bullish or bearish?

As of November 7, 2025, Varroc Engineer's trend is bullish with strong support from MACD and Bollinger Bands, despite mixed signals from the weekly RSI and KST, indicating some complexity in the outlook.

As of 7 November 2025, the technical trend for Varroc Engineer has changed from mildly bullish to bullish. The current stance is bullish with strong indicators supporting this view. The MACD is bullish on both the weekly and monthly time frames, while Bollinger Bands also indicate a bullish trend in both time frames. The daily moving averages confirm a bullish outlook as well. However, the weekly RSI shows a bearish signal, and the KST is bullish on the weekly but mildly bearish on the monthly, suggesting some mixed signals. Dow Theory indicates a mildly bullish stance on the weekly and mildly bearish on the monthly, adding to the complexity. Overall, the strength of the bullish trend is supported by the MACD and Bollinger Bands, despite some bearish signals from the RSI and KST.

Who are the top shareholders of the Varroc Engineer?

The top shareholders of Varroc Engineer include Tarang Jain, the largest individual shareholder with 39.75%, mutual funds at 11.37%, foreign institutional investors at 3.99%, and HDFC Trustee Company Limited holding 5.53%. Individual investors collectively own 6.42% of the shares.

The top shareholders of Varroc Engineer include the promoters, with Tarang Jain being the largest individual shareholder, holding 39.75% of the company. Additionally, mutual funds hold 11.37% through 12 schemes, while foreign institutional investors (FIIs) own 3.99% through 82 different entities. The highest public shareholder is HDFC Trustee Company Limited, specifically through the HDFC Flexi Cap Fund, which holds 5.53%. Individual investors collectively hold 6.42% of the shares.

Is Varroc Engineer overvalued or undervalued?

As of January 6, 2025, Varroc Engineering Ltd. is fairly valued with a PE ratio of 46.61, an EV to EBITDA of 11.78, and a ROCE of 18.75%, although it remains more expensive than peers like Tata Motors and Mahindra & Mahindra, despite a strong five-year return of 235.92% compared to the Sensex's 142.90%.

As of 6 January 2025, the valuation grade for Varroc Engineering Ltd. has moved from expensive to fair. The company is currently fairly valued based on its financial metrics. Key ratios include a PE ratio of 46.61, an EV to EBITDA of 11.78, and a ROCE of 18.75%. <BR><BR>In comparison to peers, Varroc's PE ratio is notably higher than that of competitors like Tata Motors, which has a PE of 25.4, and Mahindra & Mahindra, with a PE of 20.5. This suggests that while Varroc is positioned fairly within its valuation grade, it may still be perceived as expensive relative to its peers. Additionally, Varroc has shown a strong performance over the past five years with a return of 235.92%, significantly outpacing the Sensex's 142.90% return in the same period.

Has Varroc Engineer declared dividend?

Varroc Engineering Ltd has declared a 300% dividend, amounting to ₹3 per share, with an ex-date of February 25, 2020. Despite this declaration, the dividend yield is 0%, and total returns over various periods show mixed performance, with significant gains over the long term.

Varroc Engineering Ltd has declared a 300% dividend.<BR><BR>Dividend Details:<BR>- Percentage announced: 300%<BR>- Amount per share: 3 per share<BR>- Ex-date: 25 Feb 20<BR><BR>Dividend Yield: 0%<BR><BR>Total Returns by Period:<BR>In the last 6 months, the price return was 6.23%, the dividend return was 0%, resulting in a total return of 6.23%.<BR><BR>Over the past year, the price return was -5.57%, the dividend return was 0%, leading to a total return of -5.57%.<BR><BR>In the 2-year period, the price return was 75.68%, the dividend return was 0%, which resulted in a total return of 75.68%.<BR><BR>For the 3-year period, the price return was 59.95%, the dividend return was 0%, giving a total return of 59.95%.<BR><BR>In the 4-year period, the price return was 27.5%, the dividend return was 0%, resulting in a total return of 27.5%.<BR><BR>Over the last 5 years, the price return was 235.76%, the dividend return was 0%, leading to a total return of 235.76%.<BR><BR>Overall, Varroc Engineering Ltd has declared a significant dividend, but the dividend yield remains at 0%. The total returns over various periods show a mix of positive and negative performance, with substantial gains over the longer term despite the absence of dividend returns in recent periods.