Varroc Engineering faces $66m arbitration claim despite strong Q1

Varroc Engineering reported Q1 FY26 standalone profit before tax of INR 1,179.88 million on revenue of INR 18,428.87 million. Consolidated profit before tax reached INR 1,439.49 million with revenue of INR 20,275.51 million.

However, the company faces an arbitration claim from OPmobility Lighting Holding, France, for alleged breaches of a Securities Purchase Agreement, with claims of $66.41 million plus legal costs. Varroc is also appealing GST orders totaling INR 931.67 million plus penalties and addressing an overseas settlement offer of INR 209.89 million.