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Havells India reported broadly in line result with strong topline growth

ICICIdirect Research 23 Oct 2026 DISCLAIMER

News: Havells India reported broadly in line result with strong topline growth while gross margin remained under pressure. Revenue grew 34.6% YoY to ₹6,432 crore, driven by Cables & wires, which grew 47.9% YoY to ₹2,999 crore, Switchgears (up 31.3% YoY to ₹782 crore), Lloyd Consumer (up 28.5% YoY to ₹619 crore) and Renewables (up 148.6% YoY to ₹329 crore). Electrical Consumer Durables and Lighting & Fixtures reported revenue grew 10.7% and 7.3% YoY to ₹1,072 crore and ₹460 crore, respectively. Gross margin declined 60 bps QoQ, 430 bps YoY mainly owing to commodity inflation. EBITDA grew 30.8% YoY to ₹573 crore, with EBITDA margin declining 26 bps YoY to 8.9%, although it improved 176 bps QoQ. Net profit grew 9.7% YoY to ₹349 crore. Profitability remained under pressure largely owing to cost inflation.

View: Havells reported improved growth performance across businesses while its consistency to be monitored. The Cables & wire business warrants monitoring amid intensifying competition, which could weigh on pricing and margins. Lloyd reported healthy revenue growth of 28.5% YoY, although profitability remained subdued due to commodity inflation and seasonal under-absorption. Going forward, elevated raw material costs and competitive intensity are likely to keep profitability under pressure, despite calibrated price hikes and improving demand. While Havells continues to benefit from its strong brand, distribution network and diversified product portfolio, sustained margin recovery and improved profitability in Lloyd will be key to driving earnings growth.

Impact: Neutral

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