Financial Performance Highlights FY2025-26

Profit & Loss Statement

  • Revenue from Operations: ₹16,074.24 million (↑11% YoY from ₹14,498.17 million)
  • Gross Profit: ₹622.5 crore (↑12.7% YoY) with gross margin of 38.7% (↑60 bps)
  • Profit Before Tax: ₹509.83 million (↑4.5% from ₹487.88 million)
  • Profit After Tax: ₹419.91 million (↑9% YoY from ₹385.05 million)
  • EPS: ₹12.69 (₹11.65 in FY25)

Balance Sheet & Cash Flow

  • Cash Flow from Operations: ₹2,577.42 million (significantly improved from ₹1,299.08 million YoY)
  • Working Capital Cycle: 23 days (improved from 64 days YoY)
  • Net Debt: Reduced by 53% to ₹1,714.30 million from ₹3,684.43 million
  • Property, Plant & Equipment: ₹5,189.62 million with capex spending of ₹1.11 billion
  • Cash & Cash Equivalents: ₹219.52 million (up from ₹27.64 million)

Dividend

  • Board recommended final dividend of ₹3.50 per share (35%) for FY26
  • Total dividend payout: ₹99.30 million (₹82.63 million previous year)
  • Subject to approval at AGM on September 11, 2026

Operational Highlights

Retail Expansion & Channel Performance

  • Pigeon exclusive stores expanded to 329 stores across 22 states and 151 cities (67 new stores added in FY26)
  • Own retail contributed 7.5% of revenue with 52% growth
  • E-commerce: 14% growth; Modern Retail: 19% growth; Corporate Sales: 19% growth
  • Volume growth by category: Small appliances (32%), Pressure cookers (14%), Induction Cooktops (12%)

Manufacturing & Strategic Partnerships

  • Two manufacturing facilities: Bengaluru, Karnataka and Baddi, Himachal Pradesh with 70 million units capability
  • Commenced in-house manufacturing of kitchen chimneys in Q1 FY26
  • Strategic partnership with IKEA: ₹58 crore investment in dedicated tooling and infrastructure
  • Awarded three product lines for global cookware supply with production expected from FY2026-27

Product Portfolio Development

  • Electric cooking segment: Induction cooktops delivered 23.9% value growth
  • New product launches: Cordless Dry Iron, Pedestal Fan, Cerrasteel cookware, Idiyappam Maker
  • Expansion into BLDC fans, vacuum cleaners, personal grooming, and cleaning products

Corporate Governance & Compliance

Board & Management Changes

  • Mr. Ramakrishna Pendyala resigned as CFO on May 15, 2026; Mr. Subhadeep Pal appointed as CFO effective May 16, 2026
  • Mr. Chandru Kalro appointed as Non-Executive Vice Chairman (July 2, 2026) with strategic advisory agreement
  • Reappointment of directors (Neha Gandhi, Anup Sanmukh Shah) proposed at AGM

Accounting & Regulatory Matters

  • Adopted new accounting standards for supplier finance arrangements and liability classification
  • Income tax search conducted in November 2023 with additional tax demand of ₹24.53 million (under appeal)
  • Price Waterhouse Chartered Accountants LLP reappointed as Statutory Auditors for second 5-year term

Lease Portfolio Reassessment

  • Reassessed store portfolio strategy resulting in one-time gain of ₹15.71 million on lease remeasurements
  • Right-of-use assets reduced by ₹1,064.42 million and lease liabilities reduced by ₹1,080.13 million

ESG & Employee Benefits

  • 41% of energy requirements met through clean and renewable sources
  • CSR expenditure: ₹95.02 lakhs; Workforce: 5,543 permanent employees with 55% female representation
  • ESOP Grants: 24,510 options granted during the year
  • Labour Code implementation recognized past service cost of ₹12.01 million

Forward-looking Statements & Risk Factors

The report contains forward-looking statements regarding future performance with disclosed risk factors including foreign currency exposure (USD 0.52 million payables, RMB 86.81 million payables), credit risk, and market risks from interest rate and currency fluctuations.