Stove Kraft Limited held a Q2 and H1 FY27 Earnings Conference Call on November 05, 2026. The call was moderated by MUFG Intime and included management participants Mr. Rajendra Gandhi (Managing Director), Mr. Subhadeep Pal (Chief Financial Officer), Mr. Chandru Kalro (Vice Chairperson), and Mr. Hemant Kumar Kothari (Vice President, Investor Relations).

The earnings call discussed the company's financial performance for Q2 and H1 FY27, with the transcript being made available on the company's website at https://stovekraft.com/investors/ as per SEBI Listing Regulations.

Financial Performance Highlights:

Q2 FY27 Results:

  • Consolidated revenue: INR585 crores (23.2% YoY growth from INR475 crores in Q2 FY26)
  • Gross margin: 39.6% (120 bps improvement from 38.5% in Q2 FY26)
  • EBITDA: INR75.3 crores (32.7% YoY growth from INR56.8 crores)
  • EBITDA margin: 12.9% (96 bps improvement from 12.0%)
  • PAT: INR29 crores (35.7% YoY growth from INR21.4 crores)
  • PAT margin: 5.0% (50 bps improvement from 4.5%)

H1 FY27 Results:

  • Consolidated revenue: INR1,065 crores (30.8% YoY growth from INR814.5 crores)
  • Gross margin: 39.6% (120 bps improvement from 38.4%)
  • PAT: INR46 crores (44.8% YoY growth from INR31.8 crores)

Product-wise Performance:

  • Induction cooktops: 108% YoY growth
  • Pressure cookers: 46.8% YoY growth
  • Small appliances: 9.1% YoY growth

Channel-wise Performance:

  • E-commerce: 16% growth in Q2 FY27
  • General trade: 52.2% YoY growth (3-year CAGR of 16.3% for H1 FY27)
  • Modern retail: 11.9% growth in Q2, 27.3% in H1
  • Own retail channel: 70.3% growth in H1

Strategic Updates:

  • Added 16 new Pigeon exclusive stores, totaling 360 stores across 9 cities
  • Relaunched premium brand Gilma in southern markets with 17 operational stores
  • Plan to expand to 500 total stores (Pigeon + Gilma) by FY28
  • Target of 100 Gilma stores in next 24 months
  • Current Gilma sales: ~INR1 crore per month

Investments and Expansion:

  • China investment: CNY20 million (~INR29-30 crores) in wholly owned subsidiary and step-down JV
  • Manufacturing facility in China for triply circles (backward integration for pressure cookers and cookware)
  • Expanding manufacturing facility at Baddi, Himachal Pradesh
  • Acquiring additional land in Bangalore through KIADB
  • Total capex guidance: ~INR100 crores for FY27

Operational Metrics:

  • Net working capital days: 32 days in Q2 FY27 (improved from 45 days in Q1 FY27)
  • ROCE: 15.6% in H1 FY27 (vs 12.6% in FY26)
  • ROE: 10.4% in H1 FY27 (vs 8.3% in FY26)
  • Current capacity can support INR2,500-3,000 crores revenue

New Product Launches:

  • Portable blenders, new air fryer models, mixer grinders, immersion heating rods, toasters
  • Recently entered air purifier category
  • Planning entry into water heaters (geysers) and coolers

Export Business:

  • Export contribution currently at 11-12% of revenue
  • Target of 15% export contribution in 3-4 years
  • Working with IKEA partnership and developing new products for export markets

Margin Guidance:

  • Confirmed FY27 EBITDA margin guidance of 11-12%
  • Long-term target of 12-15% EBITDA margins
  • Working on 100 bps gross margin expansion annually

Additional Notes Section

The document contained the full transcript of the earnings call Q&A session with analysts. No unpublished price sensitive information (UPSI) was indicated to be shared during the call. The company mentioned that the investor deck and earnings press release were uploaded on stock exchanges and the company website.