Crompton Greaves Q1 FY27: Profit up 15%, margin at 10%

Key takeaway from the June-quarter update

Crompton Greaves Consumer Electricals Ltd (CGCEL) reported a steady set of Q1 FY27 numbers, with profit growth outpacing revenue growth as margins improved modestly year-on-year. The company attributed the performance to price hikes across categories and cost efficiencies, even as it flagged inflationary pressure. The results relate to the quarter ended June 30, 2026, and were discussed in the company’s Q1 FY27 earnings call dated August 6, 2026.

For investors, the quarter matters because it shows how effectively the company is balancing inflation, pricing, and operating leverage in a consumer-facing portfolio that spans electrical durables, lighting, and appliances through Butterfly.

Headline numbers: profit rises faster than revenue

CGCEL’s consolidated net profit for the June quarter rose 15.17% year-on-year to ₹142.7 crore, compared with ₹123.9 crore in the same quarter last year, as per the regulatory filing referenced in the report. Revenue from operations increased 11.84% year-on-year to ₹2,235.02 crore.

The company’s total consolidated income, which includes other income, stood at ₹2,256.81 crore in Q1 FY27, up 11.6% year-on-year. These numbers indicate that the growth in reported income broadly tracked the growth in operating revenue, with profit growth supported by margin movement and cost actions.

Margin picture: EBITDA margin improves by 20 bps

CGCEL said its EBITDA margin expanded by 20 basis points to 10%, even though inflation had an impact. The company credited “disciplined pricing actions, operating leverage and cost initiatives” for offsetting part of that pressure.

In the earnings-call summary provided, EBITDA for the quarter was stated at ₹224 crore, up 14.2% year-on-year, with margins expanding by 20 basis points to around 10%. PAT margin for the quarter was noted at 6.4% in the same context, aligning with the detailed highlights that place PAT margin at 6.38%.

Costs and expenses: higher spending, similar pace to sales

Total expenses for the quarter were ₹2,065.50 crore, up 11.29% year-on-year. The expense growth rate was broadly in line with revenue growth, which helps explain why margins did not compress despite inflation.

Operationally, this mix suggests that pricing and cost initiatives helped maintain profitability while supporting growth across categories.

Segment performance: consumer durables remains the anchor

Electric Consumer Durables (ECD) continued to be CGCEL’s largest segment, with revenue rising 10.5% year-on-year to ₹1,754.14 crore in Q1 FY27. The lighting products business reported faster growth, with revenue up 15.38% year-on-year to ₹268.81 crore.

Butterfly Products, referenced in the earnings-call excerpts, also reported growth. In the quarterly segment table shared in the provided text, Butterfly Products revenue was ₹212.07 crore in Q1 FY27 versus ₹179.17 crore in Q1 FY26, reflecting 18.36% year-on-year growth.

What the company highlighted on execution and demand

In the earnings-call excerpt, the company said it delivered double-digit growth across business segments, helped by strong execution, product launches, and steady seasonal demand. The same excerpt notes growth in lighting across both B2B and B2C.

Butterfly was described as delivering strong results, with revenue cited at ₹214 crore in the call excerpt and segment revenue shown at ₹212.07 crore in the table. The call also referenced momentum across channels and market share gains in categories such as mixer grinders, pressure cookers and glass tops, while noting the exclusion of certain internal sales.

Key metrics table: Q1 FY27 versus Q1 FY26 and Q4 FY26

Market snapshot: price, valuation, and corporate actions mentioned

The provided text also cited a market snapshot with a CMP of ₹260.2, a market capitalisation of ₹19,443 crore and a P/E of 55.5. It also referenced a proposed final dividend of ₹3 per equity share (150% of face value ₹2), with a record date of July 24, 2026.

Separately, it mentioned a Board meeting scheduled for August 6, 2026 to consider the unaudited Q1 FY27 standalone and consolidated financial results, and the company’s 12th AGM on August 7, 2026.

Why this quarter matters: margins, pricing discipline, and base effects

The Q1 FY27 update is notable for two reasons visible in the figures shared. First, despite inflationary impact, EBITDA margin improved year-on-year to about 10% as pricing actions and operating leverage played out. Second, the quarter’s comparison with Q4 FY26 shows how exceptional items can distort sequential profit trends, with Q4 FY26 PAT shown as a large loss.

The broader context referenced in the text is that CGCEL reported a consolidated net loss of ₹230.76 crore for FY 2025-26, primarily driven by a ₹716 crore exceptional impairment hit. Against that backdrop, Q1 FY27’s positive profitability and steady revenue growth provide a clearer view of underlying operating performance, at least in the absence of similar exceptional charges.

Conclusion

Crompton Greaves Consumer Electricals reported Q1 FY27 revenue from operations of ₹2,235.02 crore and net profit of ₹142.7 crore, supported by pricing actions, operating leverage and cost initiatives, with EBITDA margin near 10%. Segment growth was led by ECD in absolute terms, while lighting and Butterfly posted faster year-on-year growth rates on the numbers cited. The next formal milestones referenced in the provided text were the August 6, 2026 Board meeting for results consideration and the August 7, 2026 AGM, where a final dividend of ₹3 per share was to be finalised.