Shares of Shakti Pumps, a company based in Madhya Pradesh, India, fell 6.77% to ₹555.15 during trading on Friday following a significant decline in profitability for Q4 FY26. The company's profit after tax (PAT) plummeted 65% year-on-year, despite a robust 28.9% increase in revenue, which reached ₹857.8 crore, up from ₹665.3 crore. The drop in profitability was attributed to rising operational costs, which led to a 49.2% decrease in EBITDA, falling to ₹83.2 crore from ₹163.9 crore the previous year. Consequently, the EBITDA margin narrowed sharply to 9.7%, down from 24.6%. The PAT margin also weakened, dropping to 4.5% from 16.6%. Despite the disappointing earnings, the board has proposed a final dividend of ₹1 per equity share for FY26, pending shareholder approval at the upcoming annual general meeting. Over the past year, Shakti Pumps' shares have declined nearly 36%, with a current market capitalization of approximately ₹7,347 crore. Institutional investors have shown caution, with foreign institutional investors reducing their stake from 5.34% to 4.83% and mutual funds cutting their holdings from 6.18% to 4.92%.