Crompton Greaves Consumer Electricals (CROMPTON) Q2 24/25 earnings summary

Executive summary

• Achieved fifth consecutive quarter of double-digit revenue growth, with Q2 FY25 standalone revenue at INR 1,645 crore, up 11.5% YoY, led by strong ECD and lighting segments.

• Consolidated Q2 FY25 revenue was INR 1,896 crore, up 6% YoY, with material margin and EBITDA showing robust growth.

• Butterfly posted Q2 FY25 revenue of INR 258 crore, with EBITDA margin improving to 8.9% sequentially due to pricing and cost controls.

• Lighting business returned to growth, recording 6% YoY increase, with margin improvements and a shift toward non-conventional products.

• Notable developments include two new patents, a Good Design Award, and CII GREEN PRO certification for ceiling fans.

Financial highlights

• Standalone EBIT for Q2 FY25 was INR 160 crore, up 18% YoY, with EBIT margin at 9.7% (+60 bps YoY); standalone PAT grew 30% YoY to INR 123 crore.

• H1 FY25 standalone revenue was INR 3,605 crore, up 15% YoY, with EBIT up 26% and PAT up 34%.

• Consolidated Q2 FY25 EBITDA was INR 203 crore, up 17% YoY, with EBITDA margin at 10.7%.

• Material margin improved to 31.9% from 30.1% YoY, and basic EPS for Q2 FY25 was 1.92 (standalone) and 1.94 (consolidated).

• Net profit margin for Q2 FY25 was 7.5% (standalone) and 6.8% (consolidated).

Outlook and guidance

• Focus on premiumization, innovation, and digital enablement to drive future growth, with continued investments in brand spends and new product development.

• Anticipates continued growth in consumer durables, supported by rising discretionary spending and housing demand.

• Butterfly's revenue decline expected to stabilize, with future growth driven by brand refresh and NPD investments.