Whirlpool India
In the early trade on NSE, Shares of Whirlpool India crashed by 20 percent because its parent company Whirlpool Corporation is planning to reduce stake in this Indian subsidiary. Whirlpool of India is a leading manufacturer in the home appliances sector, and it is a part of global Whirlpool Group. With the state of the art manufacturing facilities in multiple locations, the company offers a diverse product portfolio covering various categories.
 |
| Whirlpool Corporation |
Why did Whirlpool India stock hit lower circuit today ?
Shares of Whirlpool India crashed 20 percent in a day and hit lower circuit today. Company has informed the exchanges that Whirlpool Corporation, holding company of Whirlpool India is planning to offload a 20 percent stake in the company.
As per its fourth quarter earnings release, Whirlpool Corporation announced company’s intention to reduce ownership in Whirlpool of India Limited. Company is planning to offload approximately 20 percent by mid to last of 2025.
Share price of Whirlpool India
On 29 January 2025, shares of Whirlpool India closed at 1575.95 and on 30 January after hitting the lower circuit of 20 percent in the early morning trade company’s share price closed at 1260.8 on NSE and it was the top loser. Whirlpool corporation sold 24.7 percent stake in this company last year at price of 1280 and after that company made its recent high of above 2450 in October 2024 but on Wednesday Company’s share price closed at 1575.95, corrected almost 36 percent from its recent highs.
Promoter holding in Whirlpool India
Whirlpool of India is a part of Whirlpool Corporation and this global company owns 51 percent stake in Whirlpool India as of now. In the February 2024 last year, Whirlpool Corporation had sold 24.7 percent stake in Whirlpool India and deal valued at 4,039 crore. This deal was finalized at price of Rs. 1280 per equity share and today after hitting the lower circuit, company’s shares closed below that price.
Whirlpool India shareholding patterns
Whirlpool India is a part of Whirlpool Corporation and parents company owns 51 percent in the Whirlpool India and it is the largest shareholder in the company. As per December 2024, after promoter group FIIs has 9.7 percent stake, DIIs have 30.8 percent stake and public/retails owns 8.5 percent stake in company. FIIs and public stake in company increased while DIIs stake decreased from September to December.
After selling of 20 percent stake in the company in upcoming months by promoter, stake will reduce from 51 percent to 31 percent(approximately).
Whirlpool Corporation’s statement
“Whirlpool India will remain a relevant part of Whirlpool Corporation’s portfolio and we continue to believe Whirlpool India has a strong long term trajectory for growth. We intend the anticipated sell-down to result in autonomy for Whirlpool India to adjust to the ever evolving industry conditions, enabling Whirlpool India focus on accelerated growth and utilize its well funded business to invest further in the business.
Market Cap of Whirlpool India
Whirlpool India is small cap company and its current market cap is near to Rs. 16000 crore before this 20 percent lower circuit company’s market cap was 20 thousand crore.
Whirlpool India Financials
As per the recent financial data, in the September quarter company’s net profit was 52.02 crore and sales was 1712 crore. Company earned 87.01 crore from operating profit and it was a 19 percent jump on year on year basis in operating profit. Company’s net profit also increased by 42.21 percent on year on year basis.
Disclaimer
This analysis is composed only for news and knowledge purposes. Please take independent advice from your financial advisor before investing.
