Financial Performance (Consolidated Q1 FY27)
Revenue Metrics:
- Net Sales: ₹3,758.8 Mn, up 85.0% YoY and 18.6% QoQ
- Other Income: ₹7.8 Mn, down 0.7% YoY but up 25.1% QoQ
- Total Income from Operations: ₹3,766.6 Mn, up 84.7% YoY
Profitability Metrics:
- EBITDA: ₹351.1 Mn, up 68.4% YoY
- EBITDA Margin: 9.3% (down 90 bps YoY, down 3 bps QoQ)
- Depreciation: ₹101.0 Mn, up 137.1% YoY due to ongoing investment cycle in capacity expansion
- EBIT: ₹250.1 Mn, up 50.8% YoY
- Interest: ₹120.0 Mn, up 56.5% YoY
- Profit Before Tax: ₹130.1 Mn, up 45.9% YoY
- PBT Margin: 3.5% (down 92 bps YoY, up 169 bps QoQ)
- Tax: ₹39.6 Mn, up 59.0% YoY
- Profit After Tax: ₹90.5 Mn, up 40.9% YoY
- PAT Margin: 2.4% (down 75 bps YoY, up 100 bps QoQ)
- Earnings Per Share: ₹2.84, up 31.5% YoY
Annual Financial Performance Comparison
Standalone Performance (FY23-FY26):
- FY26 Net Sales: ₹8,348.1 Mn (vs ₹6,972.0 Mn in FY25)
- FY26 EBITDA: ₹847.61 Mn with 10.1% margin
- FY26 PAT: ₹157.9 Mn with 1.9% margin
- FY26 EPS: ₹5.25
Consolidated Performance (FY25-FY26):
- FY26 Net Sales: ₹8,236.0 Mn (vs ₹6,989.8 Mn in FY25)
- FY26 EBITDA: ₹858.9 Mn with 10.4% margin
- FY26 PAT: ₹150.3 Mn with 1.8% margin
- FY26 EPS: ₹5.00
Strategic Business Transition
The company is transitioning from a single-product vendor to an integrated multi-vertical platform:
- Non-AC verticals now contribute approximately 40% of revenues
- Revenue mix diversification: ACs (~60%), EMS (~15%), Commercial Refrigeration (~10%), Components/Washing Machines (~7%), Compressor (~8%)
- Expected FY27 revenue mix: ACs (~60%), EMS (~10%), Commercial Refrigeration (~10%), Components/Washing Machines (~5%), Compressor (~15%)
Capacity Expansion Plans
Existing Products Capacity:
- EMS Category: Current 4,00,000 cph → Planned expansion to 12,00,000 cph (phased)
- Air Conditioners: Current 10,00,000 units → Planned expansion to 18,00,000 units
- Compressors: Current 28,00,000 units → Planned expansion to 60,00,000 units
- Deep Freezers: Current 150,000 units → Planned expansion to 400,000 units (phased)
Operational Highlights
- Compressor production has commenced and is running at >50% utilization, 3 months ahead of schedule
- New facilities at Nashik Phase 2, Sanand, and Chennai are ramping up strongly
- Target to increase utilization to >75% in new facilities at Nashik, Sanand, Chennai & VPPL
- ODM range launched in ACs with addition of new marquee customers
- In commercial refrigeration, glass top range introduced alongside hard top range
Government Support & Incentives
- Received ₹100 Cr sanction under PLI Scheme for White Goods (increased from ₹50.50 Cr in Round 3)
- Additional benefits under Maharashtra Electronics Policy
- Extension of QCO-linked compressor import exemptions till March 2027 with 40% import exemption
Management Team
Key management personnel include:
- Sukrit Bharati - Managing Director (15+ years experience, M.S. Engineering Technology from BITS Pilani)
- Sajid Shaikh - Chief Financial Officer (28+ years experience)
- Nitin Shewale - Chief Operating Officer (33+ years experience)
- Pratik Kulkarni - VP EMS Division (24+ years experience)
- Prasad Zinjurde - Company Secretary (15+ years experience)
Manufacturing Presence
7 manufacturing units across locations:
- Nashik: Corporate office, AC manufacturing, refrigeration, compressor, washing machine, water dispenser
- Chennai: Component manufacturing (VPPL), AC manufacturing
- Sanand: Component manufacturing (VPPL)
- Delhi: Sales office
Industry Overview
- India's AC market: 9.5-10.0 million units per annum, 8% penetration vs 30% globally
- Indian LED market: 2nd largest globally, fastest growing in Asia-Pacific
- Deep freezer market: USD 474.82 Mn in 2022, forecast to reach USD 3,234.23 Mn by 2031
- Water dispenser market: Exhibiting CAGR of 8.9% during 2023-2033
Corporate Social Responsibility
- Commissioned 1.5 MW rooftop solar installation
- Community infrastructure support for local schools including computer labs
- Education and infrastructure development initiatives