Amber Enterprises Crash 18% After Management Flags Pressure From Rising Copper-Clad Laminate Prices And Wage Hikes

Amber Enterprises shares plunged as much as 18 per cent after the company's management flagged margin pressure from the hike in minimum wages in north India, rising copper-clad laminate prices and gold prices, and depreciating rupee. The stock is on track to record their worst-single day crash in nearly four years.

The management said: "As we look ahead, FY27 holds the promise of strong growth momentum. However, on the margins front, prevailing high commodity prices, currency depreciation, and minimum wage revision in UP and Haryana poses headwinds in consumer durables and electronics division. For bare PCB business, there has been increase in input costs of copper-clad laminate. Prices has increased by more than 60 per cent in the last one year and is still increasing. Gold prices have also increased by approximately 60 per cent in the last one year, and prices still continue to increase. We expect a margin pressure of 50-100 basis points at consolidated level, which is of temporary in nature and expected to normalise as macro environment improves."

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