Electronics Mart India (EMIL) Q3 24/25 earnings summary

Executive summary

• Revenue for nine months FY25 reached INR 5,246 crores, up 10% year-over-year, with Q3 FY25 revenue at INR 1,885 crores, a 6% increase year-over-year.

• EBITDA for nine months FY25 was INR 337 crores (margin 6.4%), with Q3 FY25 EBITDA at INR 99 crores (margin 5.2%).

• PAT for nine months FY25 was INR 129 crores, with Q3 FY25 PAT at INR 32 crores, both reflecting year-over-year declines due to margin pressures and soft demand.

• Store network expanded by 14 new stores in Q3 and 31 in nine months, totaling 191 stores across 78 cities and four states by December 2024.

• Board approved unaudited financial results for Q3 and nine months ended 31 December 2024, with unqualified auditor reports.

Financial highlights

• Q3 FY25 EBITDA margin was 5.2%, with pre-IndAS EBITDA at 3.6%; nine months FY25 EBITDA margin was 6.4%, with pre-IndAS margin at 4.5%.

• PAT margin for Q3 FY25 was 1.7% and for nine months FY25 was 2.5%.

• Gross margin in Q3 FY25 was 13.5% (down from 14.3% last year); nine months FY25 gross margin was 14.2% (down from 14.6%).

• SSSG for Q3 FY25 was -2.8% (mainly due to Hyderabad slowdown), and 1% in Q3 FY25 per another source; nine months SSG was 3.8%.

• Standalone and consolidated net profit for Q3 FY25 was about INR 316 million, down from INR 458 million in Q3 FY24.

Outlook and guidance

• FY25 revenue growth guidance of 15% is maintained, with Q4 expected to see 21-22% growth to meet targets.

• EBITDA margins for FY26 expected to remain in line with current levels (6.8%-7%).

• FY26 revenue growth guidance is 15% year-over-year, supported by new store additions and maturing stores.

• Management remains optimistic about demand recovery, especially with an early summer and government tax relief boosting disposable income.