V-Guard Industries Limited – Investor Presentation Summary

Key Operational Highlights

  • Revenue increased by 23.5% YoY in Q1 FY27 to Rs. 1,810.65 crore
  • South markets witnessed YoY growth of 36.7% while Non-South markets grew by 12% in Q1 FY27
  • Non-South markets contributed 48.5% of total revenues in Q1 FY27 compared to 53.5% in Q1 FY26
  • Gross margin maintained at similar level in Q1 FY27 as compared to Q1 FY26 at 36.9%
  • Ad/promotional spends were at 2.2% of revenues in Q1 FY27 compared to 3.0% in Q1 FY26

Key drivers of operational performance: Supportive summer season, proactive pricing actions, product mix optimization, and higher share of in-house manufacturing.

Segment-wise Performance

  • Electronics: Revenue ₹130.70 crore, margin 19.8%, YoY growth 24.6%
  • Electricals: Revenue ₹70.64 crore, margin 10.5%, YoY growth 49.1%
  • Consumer Durables: Revenue ₹14.92 crore, margin 3.6%, YoY growth 308.1%
  • Sunflame: Revenue ₹2.62 crore, margin 4.0%, YoY growth 7.8%
  • Grand Total: Revenue ₹218.88 crore, margin 12.1%, YoY growth 48.4%

Explanation of significant changes in segment performance: Electronics saw improved demand due to supportive summer season. Electricals continued high growth supported by price inflation. Consumer Durables showed significant margin improvement from negative to positive territory.

Financial Highlights

Revenue: Rs. 1,810.65 crore

EBITDA: Rs. 190.96 crore

PAT: Rs. 130.25 crore

EPS: Rs. 2.96

Margins: Gross Margin 36.9%, EBITDA Margin 10.5%, PAT Margin 7.2%

YoY/QoQ comparison: Revenue growth 23.5% YoY, EBITDA growth 54.5% YoY, PAT growth 76.4% YoY

Drivers of financial performance: Higher revenue growth, cost optimization, and operational efficiencies

Key Risks: Geo-political situation (West Asia War), input cost inflation

Geographical Revenue Split

Domestic vs Export/Regional Revenue:

  • South: ₹932.31 crore, 51.5% of Total
  • Non-South: ₹878.34 crore, 48.5% of Total

Balance Sheet Snapshot

Net Worth: ₹2,509.90 crore (as of June 30, 2026)

Gross Debt: ₹7.83 crore

Net Cash Position: ₹669.58 crore

Fixed Assets: ₹1,307.31 crore

Working Capital/Leverage Metrics: Debtor days 22, Inventory days 100, Creditor days 91, Working Capital Turnover days 31

Financial Health Insights: Strong cash flow generation, improved liquidity, robust balance sheet

Capex & Cash Flow Health

Operating Cash Flow: Rs. 474.12 crore for Q1 FY27

Free Cash Flow: Not Specified

Net Debt Movement: Net cash improved to ₹669.58 crore from ₹155.32 crore year ago

Investment Rationale: Focus on product mix, cost optimization, and higher share of in-house manufacturing

Strategic & R&D Initiatives

Investments in Innovation: Functional integration of Sunflame business largely completed and under stabilization

Expected impact on growth: Shifted focus to accelerating growth for Sunflame business

Strategic Rationale: Expanding into high-growth markets, reducing operational costs

Industry Trends & Business Environment

Macro/Industry Trends: Supportive summer season, input cost inflation, geo-political situation (West Asia War)

Impact on Company: Company monitoring geo-political situation to protect supplies and margins

Management Commentary & Growth Outlook

Strategic Outlook: \"The business has commenced FY27 by delivering a strong performance in the first quarter, with all segments reporting double-digit growth. Despite challenges posed by the West Asia War, the company delivered robust results while sustaining healthy margins driven by inherent resilience of the business, proactive actions and a supportive summer season.\"

FY Guidance: \"We are hopeful that the growth momentum will sustain in the upcoming quarters.\"

Market Share Targets: Not Specified

Risks and Opportunities: Geo-political situation, need to protect supplies and margins