Event Type: Q1 FY27 Earnings Conference Call held to discuss unaudited financial results for quarter ended June 30, 2026.
Date and Time: The call was held on Friday, August 07, 2026, at 10:30 A.M. IST.
Purpose: Discussion of quarterly results and business updates.
Management Participants:
- Mr. Ankit Garg – Chairman, Chief Executive Officer and Executive Director
- Mr. Chaitanya Ramalingegowda – Executive Director
- Ms. Parul Gupta – Chief Financial Officer
Availability of Materials: The results and presentation were uploaded on stock exchanges and company website (www.wakefit.co/investor-relations). A transcript of the call was filed with exchanges on August 14, 2026.
Financial Period Discussed: Q1 FY27 (quarter ended June 30, 2026)
Key Financial Highlights:
- Revenue from operations: ₹404.9 crores, up 16.6% YoY
- EBITDA: ₹56 crores, up 25.2% YoY with EBITDA margin of 13.9%
- Profit after tax: ₹23.3 crores, up 19.2% YoY
- Gross margin: 57.1% vs 55.8% in Q1 FY26
- Advertising & marketing spend: 7.6% of revenue
- ESOP expense: ₹6 million
- Operating EBITDA: ₹37 crore, up 50% YoY with margin of 9.1%
- PBT before exceptional items: ₹36.3 crore, up 85% YoY with margin of 9.0%
Category-wise Performance:
- Mattress: 65.9% of revenue, 27.3% YoY growth
- Furniture: 28% of revenue
- Furnishing: 6.3% of revenue
Operational Updates:
- Added 27 new COCO stores, taking total to 165 stores across 100 cities
- MBO outlets grew to 2,250 across 701 cities
- Retail revenue grew 20.5% YoY
- Own channels contributed 72.3% of total revenue (20.5% YoY growth)
- External channels contributed 27.7% of total revenue (7.6% YoY growth)
- Online channels contributed 52.7% of revenue, offline 47.3%
- Repeat customers and cross-category sales contribute 36% of revenue
- Average units per transaction: ~2 products per cart
Raw Material Environment:
- Volatility in key raw material prices (polyol and TDI) due to geopolitical developments in Middle East
- Company has raw material management and inventory build-up capacity to protect supply
- Calibrated pricing actions taken to protect margins
- Full impact of increased raw material cost expected to reflect in H1 FY27
- Current inventory: 3-4 weeks of raw material
- Expected gross margin compression: ~100 bps in Q2 FY27 vs Q1 FY27
Guidance and Outlook:
- FY27 capex: ₹100-120 crore, with 80% directed towards retail footprint expansion (Jumbo store format)
- Target to add ~80 COCO stores during FY27 (added 42 in FY26)
- Furniture category expected to return to mid-teens to late-teens growth over next two quarters
- A&P spend expected to remain in 7-8% range
- Rental outgo: ~₹80-90 crores for FY27
- ESOP expense: ₹10-12 crores for FY27
Additional Notes:
- The document contains the full transcript of the earnings conference call
- The transcript was edited for grammatical and transcribing errors; audio recordings prevail in case of discrepancies