Lakshmi Electrical's full-year profit slumps 66% as mark-to-market loss hits ₹29 cr
Q4 swung to a profit of ₹118.73 lakhs, but the full-year net profit collapsed to ₹118.70 lakhs from ₹347.23 lakhs, dragged by a massive mark-to-market loss. Dividend cut to ₹3 per share.
— 1 earlier story on Lakshmi Electrical Control Systems Ltd. →What's new
- Full-year net profit fell to ₹118.70 lakhs from ₹347.23 lakhs, a 66% drop.
- Q4 net profit of ₹118.73 lakhs versus a loss of ₹105.33 lakhs in Q3.
- Dividend cut to ₹3 per share from higher prior payout; new statutory auditor proposed.
Why this matters
A ₹29-crore mark-to-market loss on investments wiped out a year's earnings. The dividend cut signals management's caution, and the proposed auditor change adds governance scrutiny. The Q4 profit looks like a temporary rebound, not a trend.
What we're watching
- Who the new statutory auditor is and whether the change is routine or prompted.
- Next quarter's investment portfolio performance — if MTM losses persist, earnings will stay under pressure.
- Whether the dividend cut signals a shift in capital allocation policy.
The full read
Lakshmi Electrical reported a Q4 net profit of ₹118.73 lakhs, reversing a loss of ₹105.33 lakhs in the prior quarter. But the headline is the full year: net profit collapsed to ₹118.70 lakhs from ₹347.23 lakhs — a 66% decline — entirely due to a massive ₹2,917.96 lakhs mark-to-market loss on investments. That comprehensive loss is nearly 25 times the net profit, meaning the company's earnings are now hostage to its investment book. The board responded by cutting the dividend to ₹3 per share from a higher prior payout, and proposing a new statutory auditor. Q4's profit is a relief, but the investment losses are the real story — and they aren't going away until the portfolio recovers.
Lakshmi Electrical Control Systems Ltd.
Latest quarter · Mar 2026
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All notes on LAKSELECON →- 21 May 2026 · 12:21 PM IST Lakshmi Electrical's full-year profit slumps 66% as mark-to-market loss hits ₹29 cr
- 47d ago Lakshmi Electrical faces ₹5.50 cr GST demand — missed in a spam folder for a month