Financial Performance Summary

Q2 FY27 (Quarter Ended September 2026)

  • Operating Revenue: ₹4,134 million, up approximately 10% Year-over-Year (YoY) from ₹3,745 million in Q2 FY26.
  • EBITDA: ₹141 million, down approximately 30% YoY from ₹204 million in Q2 FY26.
  • EBITDA Margin: 3.4%, down 200 basis points (bps) from 5.4% in Q2 FY26.
  • Profit Before Tax (before exceptional items): ₹38 million, down approximately 64% YoY from ₹139 million in Q2 FY26.

H1 FY27 (Half-Year Ended September 2026)

  • Operating Revenue: ₹7,762 million.
  • EBITDA: ₹181 million.
  • EBITDA Margin: 2.3%, down from 5.7% in H1 FY26.
  • Profit/(Loss) Before Tax (before exceptional items): ₹0 million, down from ₹265 million in H1 FY26.

Business Segment Performance (Q2 FY27)

  • Lighting, Fans & Switches: ₹778 million.
  • Home Appliances: ₹1,757 million (Kitchen & home care: ₹1,208 million; Personal care: ₹550 million). This segment grew ~25% YoY.
  • FHP Motors: ₹568 million (Consumer Durables: ₹531 million; Fans: ₹25 million; Others: ₹13 million).
  • Other EMS: ₹127 million.
  • Precision Components & Others: ₹840 million.
  • Medical Cartridges: ₹63 million.

Key Business Discussion Points

  • The revenue increase was largely led by improved sales realizations due to material price inflation and growth in the Home Appliances segment.
  • EBITDA margin was impacted by approximately 200 bps primarily due to:
  • Inability to fully pass on Raw Material Cost (RMC) increases to customers.
  • Gross margins impacted by ~190 bps due to material price inflation in polymers and metals and depreciation of the INR vs USD.
  • An adverse change in sales mix.
  • Lighting, Fans & Switches: Lighting revenue is at an inflection point with 5 new customers added; expect them to ramp up in coming quarters. Fans revenue was flat overall, with better volumes in BLDC ceiling fans and TPW categories.
  • Home Appliances: Growth was driven by better volumes in key categories like irons, mixer grinders, hair dryers, sterilizers, and heated hair brushes. A new customer, EDT, was added in Q2 FY27.
  • FHP Motors: Growth in volumes of chimney motors was offset by a decline in mixer grinder motor volumes. The 'Others' category was impacted as customers shut production in March 2026 due to a gas crisis caused by the war.

Capital Expenditure (H1 FY27)

Total Capex for H1 FY27 was ₹773 million, broken down by location and type:

  • Bhiwadi: ₹648 million (Land & Building: ₹299M, Plant & Machinery: ₹170M, Electrical: ₹115M, Others: ₹64M)
  • Ghaziabad: ₹76 million (Primarily Plant & Machinery: ₹50M)
  • Baddi: ₹46 million
  • Goa: ₹4 million
  • Capex was directed towards machinery for Oil Filled Radiators (OFR) and Oven Toaster Grills (OTG), automation of the motor assembly line, and tooling development for new products.

Capital Structure & Liquidity

  • Net Cash / (Debt): Net debt of ₹(64) million, compared to a net cash position of ₹59 million previously.
  • Net Working Capital Days: ~52 days, slightly improved from ~53 days.

Guidance & Future Outlook for FY27

  • Revenue: Growth guidance of 10-15% over FY26, largely led by the Home Appliances and Fans segments.
  • EBITDA Margin: Not provided due to the highly volatile geopolitical situation causing fluctuation in Raw Material Costs (RMC).
  • Capex: ₹220 million (₹22 crore) for the full year towards scaling up the existing business, with marginal incremental capex for Bhiwadi.
  • Working Capital: Target of ~50 days; improvement expected to be largely led by inventory and payables management.

Future Growth Drivers Identified

The presentation listed the following as future growth drivers: Make in India thrust, BIS norms, PLI benefits, favorable demographics, higher disposable income, rising urbanization, focus on convenience, and cost leadership achieved through scale, R&D, automation, and operational excellence.

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