IFB Industries LimitedConsumer GoodsIFBIND
Q1 FY27 earnings callIFB Industries Limited
IFB Industries delivered strong revenue growth of 16.65% in Q1 FY27, driven by an 18% increase in its Home Appliances Division, while navigating persistent commodity and forex cost pressures through cost initiatives.
Numbers
| Metric | This quarter | Change | Five-quarter trend |
|---|---|---|---|
| Revenue | INR 1,529 crores | 16.65% | |
| PBDIT | INR 88.46 crores | 26.46% | |
| PBDIT Margin | 5.79% | — | |
| PAT | INR 38.06 crores | — | |
| PAT Margin | 2.5% | — |
Financials
| Quarter | Revenue | Net profit (PAT) | Basic EPS |
|---|---|---|---|
| Q3 FY25 | ₹1,269.52 Cr+9.4% YoY+4.1% QoQ | ₹31.09 Cr+78.2% YoY-1% QoQ | ₹7.67+78% YoY-1.2% QoQ |
| Q2 FY25 | ₹1,219.33 Cr+10.8% YoY-3.9% QoQ | ₹31.41 Cr+45.9% YoY-16.3% QoQ | ₹7.76+46.1% YoY-16.2% QoQ |
| Q1 FY25 | ₹1,269.16 Cr+16.9% YoY+16.4% QoQ | ₹37.54 CrTurned profitable YoY+212.8% QoQ | ₹9.26Turned positive YoY+212.8% QoQ |
| Q4 FY24 | ₹1,090.20 Cr+7.9% YoY-6.1% QoQ | ₹12.00 CrTurned profitable YoY-31.2% QoQ | ₹2.96Turned positive YoY-31.3% QoQ |
| Q3 FY24 | ₹1,160.83 Cr+16.2% YoY+5.4% QoQ | ₹17.45 CrTurned profitable YoY-19% QoQ | ₹4.31Turned positive YoY-18.8% QoQ |
TL;DR
- Revenue grew 16.65% YoY to INR 1,529 crores.
- PBDIT grew 26.46% YoY to INR 88.46 crores, with margin improvement.
- Home Appliances Division revenue grew 18%.
- Commodity and forex cost increases persist and have not been fully passed on to customers.
- Cost savings initiatives are on track, with INR 42-43 crores realized in Q1 and a target of INR 120-150 crores for the year.
- Engineering business grew 17% and met budget KPIs.
Said on the call
“I hope with that 18 percentage growth that we have shown in quarter 1, we are close to what we are saying that we will grow at 20%.”
From the Q&A
| Topic | What management said |
|---|---|
| Cost Pressures and Pricing | Management stated commodity and forex cost increases are not behind them and have not been fully passed on to customers due to competitive pricing, relying instead on cost-saving initiatives. |
| Air Conditioner (RAC) Growth | AC growth was 6-8%, below the ~20% industry growth, due to a conscious decision not to stock older-rated products, putting them at a price disadvantage for the quarter. |
| Revenue Growth Target | Management affirmed a target of 20% revenue growth for the year, citing an 18% growth in Q1 and a good July, driven by distribution improvements and product placement. |
| Engineering Business and Capex | The Engineering division grew 17% and met budget. A key INR 150 crore EV battery project with Tata is on hold pending Tata's decision; capex plans for stamping (targeting ~INR 1000 crore business) continue based on customer orders. |
| Market Share and Strategy | Management believes market shares are improving but cannot provide specific numbers; they aim for a 7-10% share in ACs and are focusing on execution, more counters, and in-store promoters. |
| Margin Outlook and Cost Savings | Gross margin was down 160 bps YoY due to material costs. The target is 'early double digit' PBDIT margins. Cost savings of INR 42-43 crores were achieved in Q1, with a full-year target of INR 120-150 crores. |
| Segment Performance | Home Appliances volume grew 14% overall, with front-load washer growth at 9-10% and top-load washer growth over 20%. The Service business grew 17% and is profitable with double-digit PBT margins. |
| Steel Division Loss | The Steel division reported a loss due to a raw material (steel) price increase of ~INR 4,125/MT in the quarter, which is expected to be passed on to customers in subsequent quarters. |
Guidance
- Targeting 20% revenue growth for the year.
- Expecting to achieve INR 120-150 crores in cost savings for the full year.
- Engineering business expects similar growth as Q1 (17%) going forward.
- Aiming for 'early double digit' PBDIT margins in Home Appliances.
Source
Summary written from the transcript filed by IFB Industries Limited for the call held on 14 Aug 2026; published 20 Aug 2026, 09:56 IST.