Bajaj Electricals (500031) Q4 24/25 earnings summary

Executive summary

• Q4 FY25 revenue grew 6.5% year-over-year to INR 1,265 crore, led by strong Consumer Products growth and moderate Lighting Solutions performance.

• Consumer Products segment revenue increased 8.4% YoY, with EBIT up 138% to INR 39 crore and margin improvement of 210 bps to 3.9%.

• Lighting Solutions revenue remained flat YoY, with EBIT margin at 7.8%; general trade in consumer lighting saw double-digit value growth.

• Gross margin expanded by 280 bps in Q4 FY25, attributed to price hikes and value engineering initiatives.

• Management remains optimistic about sustaining growth momentum, focusing on premiumization, R&D, digital engagement, and product innovation.

Financial highlights

• Q4 FY25 profit before tax rose 191% YoY to INR 71 crore; Q4 PAT for continuing operations was INR 59 crore, up 101.5% YoY.

• FY25 revenue from operations was INR 4,828 crore, up 4.0% YoY; FY25 PAT was INR 133 crore, down 1.8% YoY.

• Gross margin for Q4 FY25 was 31.2% (up 280 bps YoY); EBIT for Q4 FY25 was INR 68 crore (5.4% margin).

• Positive cash flow from operations for FY25: INR 347 crore; cash and cash equivalents at year-end: INR 119.79 crore.

• Exceptional gain of INR 30 crore from land sale, offset by VRS expense at Nashik Factory.

Outlook and guidance

• Management targets double-digit EBIT margin within three years, with a 6% EBIT margin goal for the current year in Consumer Products.

• Continued focus on premiumization, price increases, category penetration, and new product launches to drive growth.

• Brand investments expected to rise to 3–4% of sales next year.

• CapEx guidance of INR 100 crore, with potential increase to INR 140 crore if new factory plans materialize.

• Management expects demand improvement, supported by RBI rate cuts and contained inflation.