Bajaj Electricals (500031) Q1 26/27 earnings summary

Executive summary

• Q1 FY27 revenue grew 2.3% year-over-year to INR 1,089 Cr, driven by both Consumer Products and Lighting Solutions.

• EBIT margin improved to 6.6% from 2.5% year-over-year, with Consumer Products EBIT margin turning positive at 3.9%.

• Gross margin rose to 32.3%, up 130 bps year-over-year.

• PAT surged to INR 48 Cr from INR 1 Cr year-over-year, reflecting significant profitability improvement.

• Strong balance sheet maintained with cash and cash equivalents of INR 884 Cr as of June 30, 2026.

Financial highlights

• Revenue from operations reached INR 1,089 Cr, up from INR 1,065 Cr year-over-year.

• EBIT increased to INR 72 Cr (6.6% margin) from INR 27 Cr (2.5% margin) year-over-year.

• PAT rose sharply to INR 48 Cr, compared to INR 1 Cr in Q1 FY'26.

• Exceptional gain of INR 9 Cr from sale of immovable property.

• Standalone EPS (basic, after exceptional items) for Q1 FY27 was Rs. 0.58, compared to Rs. (1.97) in Q4 FY26.

Outlook and guidance

• Targeting 8%-10% top-line growth quarter-on-quarter for the next two years, assuming industry growth of 6%-7%.

• Consumer products EBIT margin expected to stabilize at 6%-7% over the next two years, with a long-term goal of 10%.

• Lighting margins expected to return to double digits after legacy contracts conclude.

• Management remains focused on execution, channel consolidation, and cost efficiencies amid challenging market conditions.