PG Electroplast delivered strong topline growth in Q4, with revenues rising 77% YoY to Rs 19 billion, driven largely by robust demand in the product business—especially in the room AC and washing machine segments. FY2025 as a whole was a standout year, with consolidated revenues growing 77.3% to Rs 48.70 billion, despite declining average selling prices across categories.
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Nirmal Bang Report
PG Electroplast Ltd. has guided for consolidated sales of at least Rs 63 billion in FY26. Revenues from its subsidiary Goodworth are expected to be around Rs 8.55 billion, taking the group’s total projected revenues to ~Rs 72 billion. Net profit guidance for PG Electroplast stands at Rs 4 billion. The product business—which includes Washing Machines, Room Air Conditioners, and Coolers—is expected to contribute around Rs 47 billion.
We model PG to deliver a robust revenue/PAT CAGR of 31%/37%, over FY25–FY27E.
The stock currently trades at 56x/42x its estimated EPS for FY26/FY27, and while these premium valuations are supported by the company’s strong execution and scalable business model, we see limited near-term upside following a sharp run-up of ~300% in the past year, 35% in the last six months, and 10% today.
As a result, we maintain our Hold rating with a target price of Rs 960 (46x FY27E EPS), remaining structurally positive but preferring to wait for more attractive entry points. That said, ROE is expected to settle at ~16% by FY27—not particularly high—reflecting the impact of rising capex and working capital needs in new business lines.
While some support may come from demand in room AC and scale benefits in low working capital categories like PCBA and IT hardware, these are unlikely to fully offset the drag in the near term.
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Also Read: Chalet Hotels Q4 Results Review: Nirmal Bang Maintains 'Buy', Hikes Target Price Post Strong Quarter
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