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Apr 26, 2024 04:01 PM
Eureka Forbes Ltd
SECTOR : Consumer Durables | BSE :543482 |
Consumer Electronics company Eureka Forbes announced Q3FY24 results:
Financial Performance Highlights
- Revenue: Eureka Forbes reported a YoY revenue increase of 14.1% in Q3FY24, amounting to Rs 538.6 crore, with the continuing business posting a 16.8% growth.
- Adjusted EBITDA: The adjusted EBITDA showed a significant rise of 28.6% compared to Q3FY23, reaching Rs 52.9 crore. The adjusted EBITDA margin also improved by 111 basis points, indicating a more profitable quarter.
- Adjusted PBT: Adjusted Profit Before Tax (PBT) saw an uptick of 45.6% YoY, arriving at Rs 40.9 crore, up from Rs 28.1 crore in Q3FY23.
- Profit After Tax (PAT): The PAT skyrocketed by 131.3% YoY, settling at Rs 22.7 crore compared to Rs 9.8 crore in the same quarter of the previous fiscal year.
- Adjusted PAT: When adjusted for pre-ESOP expenses, PAT increased by an impressive 213.5% YoY to Rs 30.7 crore.
Business Operations Highlights
- The revenue growth was broad-based across both product categories (water purifiers and vacuum cleaners) and service business.
- The quarter also marked the third consecutive period of volume growth in the mentioned categories, showcasing sustained demand and sales strength.
- New product launches across all categories were highlighted, including Slimtech Glass UV Water Purifiers, Zero Bend Vacuum Cleaners, Forbes Buddy Pet Grooming Kit, and Surround 360 Air Purifiers.
Balance Sheet and Credit Rating Highlights
- The company successfully transformed from a net debt position of Rs 122 crore in Q3FY23 to a net cash surplus of Rs 60 crore.
- Eureka Forbes Limited received an upgrade in its credit rating from CARE A Stable to CARE A Stable, reflecting improved financial health and creditworthiness.
Commenting on the Q3FY24 performance, Pratik Pota, MD, and CEO, Eureka Forbes said, “Q3 witnessed a step up in our growth and revenue grew 14.1% with continuing businesses growing at 16.8%. Growth was volume-led and was broad-based across product categories and service business.
Within water purifiers, we witnessed strong growth in both Economy segment and Value Added segments while growth in vacuum cleaners was led by the Robotics range.
EBITDA margins improved year on year to 9.8% and we had a cash surplus of Rs 60 crore vs a net debt of Rs 122 crore last year.
Our transformation initiatives continued to gain momentum in the quarter. In Q3, this was most visible in our product innovations and product launches were made in all the 3 categories of water purifiers, vacuum cleaners and air purifiers.
Looking ahead, we are confident that our transformation strategy will deliver results and lead to sustained, profitable growth in the future.”
