Bajaj Electricals Ltd. reported a consolidated net profit of Rs 48.8 crore for the June quarter, compared with Rs 0.9 crore a year earlier, as operating profitability improved despite a modest increase in revenue.
Revenue from operations rose 2.3% year-on-year to Rs 1,089 crore in the first quarter of FY27 from Rs 1,065 crore. The operating income or the earnings before interest, tax, depreciation and amortisation increased to Rs 77.1 crore from Rs 33.3 crore, while the Ebitda margin widened to 7.1% from 3.1%. The announcement sent shares surging by as much as 15% to Rs 401.
Bajaj Electricals (Q1, Consolidated YoY)
- Net profit at Rs 48.8 crore versus Rs 0.9 crore.
- Revenue up 2.3% at Rs 1,089 crore versus Rs 1,065 crore.
- EBITDA at Rs 77.1 crore versus Rs 33.3 crore.
- EBITDA margin at 7.1% versus 3.1%.
Revenue from the Consumer Products segment rose 1.7% to Rs 820 crore from Rs 807 crore in the year-ago quarter. The business reported earnings before interest and tax of Rs 32 crore, compared with a loss of Rs 14 crore a year earlier.
The segment, which includes appliances, fans and Morphy Richards, recorded an EBIT margin of 3.9% during the quarter.
"Consumer Products returned to growth with a positive EBIT margin of 3.9%, reflecting the benefits of our strategic actions, margin expansion, and operating leverage," Managing Director and Chief Executive Officer Sanjay Sachdeva said.
Lighting Solutions
Lighting Solutions revenue increased 4.4% year-on-year to Rs 269 crore from Rs 258 crore. EBIT, however, declined to Rs 18 crore from Rs 27 crore.
The segment includes professional lighting and consumer lighting businesses.
Chairman Shekhar Bajaj said the company faced "input cost inflation, uneven summer demand, and industry-wide price increases" during the quarter. He said the company remained focused on execution, channel consolidation and cost efficiencies.
Bajaj Electricals had cash equivalents and surplus investments of Rs 884 crore at the end of the quarter.
Separately, the company's board appointed Krishnan Sundaram as chief growth and new business officer with effect from Aug. 11. It also approved an increase in the pool under its Performance Stock Option Plan 2023, subject to shareholder approval.
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