Crompton Greaves Consumer Electricals Ltd delivered a strong performance in Q2 FY27, reporting healthy revenue growth, higher operating profitability and a significant increase in consolidated net profit. The September 2026 quarter reflects continued momentum across its consumer electrical products, lighting and kitchen appliance businesses.

Consolidated revenue from operations increased 18.2% year-on-year to ₹2,263.29 crore, compared with ₹1,915.57 crore in Q2 FY26. This marked the company’s third consecutive quarter of double-digit revenue growth, according to management.

Consolidated net profit rose 64.9% to ₹124.39 crore from ₹75.42 crore in the corresponding quarter last year. The improvement in profitability was stronger than revenue growth, supported by operating leverage, pricing actions and cost-efficiency initiatives.

EBITDA increased 24.1% year-on-year to approximately ₹205 crore. The EBITDA margin expanded to around 9%, compared with approximately 8.6% a year earlier, an improvement of about 40 basis points.

Management attributed the performance to sustained brand building, product innovation, improved execution and the benefits of its cost-efficiency programme. The company also reported growth across its major business segments despite a challenging macroeconomic environment and commodity-cost pressures.

The Electric Consumer Durables segment remained the company’s largest business. Revenue increased 19.4% year-on-year to ₹1,634.49 crore, compared with ₹1,369.29 crore in Q2 FY26.

The segment recorded strong demand across several categories, including fans, conventional pumps and domestic appliances. Segment profit before exceptional items, tax and finance costs rose to ₹189.48 crore from ₹144.95 crore a year earlier.

Fans continued to be an important growth driver. BLDC fans maintained strong momentum, particularly in general trade, where management reported growth of approximately 40%. Focused product offerings and wider market reach supported the performance.

The conventional pumps business also delivered double-digit growth across residential, agricultural and specialty pump categories. Solar pump activity was comparatively softer as orders under the KUSUM 1.1 programme approached completion. Management expects the announced PM-KUSUM 2.0 programme to support business activity in coming quarters, although the timing and pace of execution remain important variables.

Large domestic appliances recorded double-digit growth, with water heaters making a meaningful contribution. The company said it continued to gain market share in the water heater category during the quarter.

Small domestic appliances maintained growth above 20%, led by products such as air fryers, induction cooktops and mixer grinders. Management indicated that stronger sales momentum is increasingly translating into improved profitability for this business.

The Lighting segment generated revenue of approximately ₹298 crore, up 14.3% year-on-year. Ceiling lights and outdoor products supported the consumer business, while industrial and indoor commercial products contributed to growth in the business-to-business market.

Lighting EBITDA margin stood at approximately 12.9%. Management noted that profitability was affected by previously contracted business-to-business orders, which influenced the segment’s margin performance.

Butterfly, the kitchen and home-appliance business, continued to recover. Management reported 15.9% year-on-year growth on a comparable basis, excluding an in-house mixer-grinder sale included in the previous year’s base. Growth in core categories and retail channels, along with a stronger premium-product mix, supported the performance.

The company is restructuring parts of the kitchen-appliance business, including LKA and Leon, to make greater use of the broader Butterfly ecosystem. The objective is to reduce the overall cost structure and improve profitability over time.

Crompton’s newer businesses also continued to expand. The wires business, launched in South India in Q1 FY27, was extended into Punjab, Delhi-NCR and Gujarat. Early market traction will be important in determining how quickly this business can scale.

In solar rooftop, the company reported that more than 50% of its order book associated with the Andhra Pradesh government had been executed. Its consumer and commercial-and-industrial solar rooftop operations had also commenced in six states, creating opportunities for future growth as the business develops.

Management said the supply-chain disruptions that affected the first quarter had eased. Inventory levels had been increased and normalised to levels similar to the year-ago period, supporting a more stable operating environment.

For the first half of FY27, consolidated revenue from operations reached ₹4,498.31 crore, compared with ₹3,913.95 crore in the corresponding period last year. Net profit increased to ₹267.09 crore from ₹199.32 crore, while profit before exceptional items and tax rose to ₹358.24 crore from ₹288.65 crore.

Despite the strong year-on-year growth, sequential performance was more moderate. Revenue declined from ₹2,235.02 crore in Q1 FY27, while net profit fell from ₹142.70 crore. EBITDA was also lower than in the previous quarter, highlighting that quarterly profitability can fluctuate with product mix, costs and segment-level performance.

Looking ahead, key factors to monitor include the sustainability of double-digit revenue growth, margin performance amid commodity inflation, market-share gains in fans and appliances, the execution of solar rooftop orders, and the scale-up of wires and other newer businesses. The contribution from PM-KUSUM 2.0 and the profitability improvement at Butterfly will also be important.

Overall, Crompton Greaves Consumer Electricals reported strong year-on-year growth in Q2 FY27, with profit rising faster than revenue. Investors following the earnings call should assess not only the headline growth figures but also the durability of margins, cash generation, segment profitability and execution of the company’s growth initiatives.

This article is for educational and informational purposes only and should not be considered investment advice or a recommendation to buy or sell any security.

Highlights in Short

• Revenue: ₹2,263.29 crore, up 18.2% YoY.
• Net Profit: ₹124.39 crore, up 64.9% YoY.
• EBITDA: Approximately ₹205 crore, up 24.1% YoY.
• EBITDA Margin: Approximately 9%, expanding by around 40 basis points.
• Electric Consumer Durables: Revenue of ₹1,634.49 crore, up 19.4%.
• BLDC Fans: Approximately 40% growth in general trade.
• Lighting: Revenue of approximately ₹298 crore, up 14.3%.
• Butterfly: Comparable growth of 15.9%.
• H1 FY27 Revenue: ₹4,498.31 crore.
• H1 FY27 Net Profit: ₹267.09 crore.
• Key Growth Drivers: Fans, conventional pumps, water heaters, small domestic appliances and lighting.
• Key Risks to Monitor: Commodity inflation, sequential margin moderation, solar-pump order execution and profitability of newer businesses