Whirlpool of India (500238) Q1 24/25 earnings summary

Executive summary

• Achieved record quarterly revenue and strong profit growth in Q1 FY25, driven by market share gains in refrigerators and washers, premiumization, and robust execution of strategic initiatives.

• FY24 saw a turnaround in H2, offsetting a weak H1 impacted by pricing and regulatory costs, resulting in full-year revenue and profit growth.

• Strategic focus on India leverages low appliance penetration, GDP growth, and a growing affluent demographic.

• Unaudited standalone and consolidated financial results for Q1 FY25 were approved by the Board on July 29, 2024.

Financial highlights

• Q1 FY25 consolidated revenue reached ₹2,497 crore (₹249,686 lacs), up 22.5% year-over-year, marking the highest ever quarterly revenue.

• Q1 FY25 EBITDA was ₹210.9 crore (8.4% margin), up 70.9% year-over-year; PBT was ₹195.9 crore (7.8% margin), up 98.7% year-over-year.

• FY24 consolidated revenue was ₹6,860 crore (₹6,830 crore), up 2.4% year-over-year; EBITDA and PBT grew by 8.8% and 9.8% respectively.

• Cash generation remained strong, with ₹491 crore generated in Q1 FY25 and ₹610 crore in FY24, driven by EBITDA and working capital improvements.

• Exceptional loss of ₹1,891 lacs due to a warehouse fire in March 2024 was recognized in both standalone and consolidated results.

Outlook and guidance

• No formal full-year revenue or margin guidance provided; focus remains on profitable market share growth, premiumization, and adapting to market conditions.

• Profit improvement expected in the short to medium term, driven by premium segment growth and ongoing cost reduction initiatives.

• The company expects the insurance claim for the warehouse fire loss to be fully admissible.

• Long-term profit margin guidance remains at high single digits, reflecting increased competition and regulatory pressures.