Bajaj Electricals reported a challenging set of financial results for the quarter ended December 2025, swinging to a consolidated net loss of 34.10 crore. This performance marks a significant downturn compared to the net profit of 33.36 crore recorded in the same period last year. The company’s revenue from operations faced a steep decline of 18.5%, falling to 1,050.91 crore from 1,289.72 crore in the previous year's corresponding quarter. The bottom line was primarily impacted by an exceptional loss of 28.89 crore, largely attributed to one-time costs associated with the implementation of the new Labour Codes. Operational efficiency was further tested by a contraction in gross margins and general inflationary pressures. Before accounting for exceptional items and taxes, the company reported a loss of 20.28 crore for the quarter under review. Market sentiment reacted sharply to these figures on February 9, 2026. Shares of Bajaj Electricals were trading at approximately 412.70 on the NSE, reflecting a 0.49% decline during the session. The stock has faced persistent pressure over the last 12 months, losing over 41.8% of its value and reaching a 52-week low of 382.90 recently. The broader consumer durables sector is currently navigating a period of structural transition. While the Indian market is projected to grow to over $30 billion by 2027, companies are currently grappling with the immediate financial burden of higher social security obligations and revised wage definitions under the new national labor framework. Despite the quarterly setback, industry analysts point to potential recovery drivers in the coming months. The Union Budget 2026 has introduced duty rationalization on components for appliances like microwave ovens and allocated 1,004 crore for energy-efficient lighting and air conditioning under the PLI scheme. Bajaj Electricals remains focused on its premiumization strategy, particularly through its Morphy Richards and Nirlep brands. Management has previously indicated a price hike of 1% to 3% across its fans and appliances portfolio to offset rising input costs and stabilize margins through the remainder of the fiscal year.