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Q1 FY27 concall · earnings callEureka Forbes Limited
The company delivered strong 15.3% revenue growth driven by volume-led expansion in water purifiers and premiumization in robotics, though service bookings softened due to price increases and EBITDA margins declined 46 basis points due to gross margin pressure and planned growth investments.
| Metric | This quarter | Change | Five-quarter trend |
|---|---|---|---|
| Revenue | ₹701 Cr | 15.3% | |
| Adjusted EBITDA Margin | 10.5% | -46 bps | |
| Gross Margin | 58.4% | -131 bps | |
| Adjusted EBITDA | ₹74 Cr | 10.5% | |
| Reported PAT | ₹55 Cr | 44% | |
| Pre-exceptional PAT | ₹41 Cr | 6.1% | |
| Net Cash Surplus | ₹425 Cr | — |
From filed quarterly results. YoY and QoQ compare each metric on the same accounting basis.
| Quarter | Revenue | Net profit (PAT) | Basic EPS |
|---|---|---|---|
| Q3 FY25 | ₹597.74 Cr— YoY-11.2% QoQ | ₹35.03 Cr— YoY-26.6% QoQ | ₹1.81— YoY-26.7% QoQ |
| Q2 FY25 | ₹673.14 Cr— YoY— QoQ | ₹47.74 Cr— YoY— QoQ | ₹2.47— YoY— QoQ |
- Revenue grew 15.3% year-on-year to INR701 crores, led by high-teens growth in the product business, particularly water purifiers.
- Adjusted EBITDA margin declined 46 basis points to 10.5% due to gross margin moderation and higher A&SP investments.
- Service revenue growth tracked similar levels to recent quarters, with AMC bookings softening after price increases of 3% to 12%.
- Management expects full-year FY27 revenue growth to step up but aims for EBITDA margins broadly in line with the prior year.
“Our ambition of 2x revenue from FY25 to FY30 and 3x EBITDA in the same period remains the North Star for us, and we remain confident of delivering that.”
| Topic | What management said |
|---|---|
| Service Business Growth | Management clarified service revenue grew at levels similar to Q4 FY26, not flat, but AMC bookings softened due to price increases of 3%-12%, causing some deferral of renewals. |
| Future Price Hikes | Management stated they will be 'calibrated and measured' about further consumer price hikes due to strong category growth momentum, focusing instead on cost efficiencies to manage margins. |
| A&SP Spend Increase | The 21.4% year-on-year increase in 'other expenses' is attributed almost entirely to higher A&SP spend, focused on in-store presence and consumer finance adoption. |
| Product Growth Composition | Water purifier growth was high teens with double-digit volume growth; robotics growth was driven by premiumization; softeners saw strong volume-led growth. |
| Competitive Positioning & Innovation | Management stated they were first to launch water purifiers with a four-year filter life and that peers followed their price increases with a lag. They welcome new competitors as it grows the category. |
| ESOP Expense Guidance | Full-year ESOP expense is expected to be in the range of INR25 crores to INR26 crores. |
| FY30 Ambition | Management reaffirmed the ambition for 2x revenue and 3x EBITDA from FY25 to FY30, to be driven by core and emerging categories, with robotics targeted as a INR1,000 crore business by FY30. |
- Expect full year EBITDA margins to be broadly in line with last year.
- Expect A&SP spends to increase ahead of revenue growth for FY27.
- Expect ESOP expense for the year to be in the range of INR25 crores to INR26 crores.
- Confident of delivering a clear step-up in FY27 full year growth.
Summary written from the transcript filed by Eureka Forbes Limited for the call held on 13 Aug 2026; published 19 Aug 2026, 20:03 IST.
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