Havells India Ltd (HAVELLS) Q2FY27 Concall Summary - Sep-2026 Qtr
Key Takeaways
- Management is implementing further price hikes of 5% to 7% in Q3 to offset raw material inflation that impacted Q2 margins, particularly in the Lloyd segment.
- The company's strategic shift to a 'pull-led' distribution model is now considered stable and is credited with supporting recent volume growth.
- The INR 14 billion capex plan for FY27 is being retained, focused on expanding medium-to-high voltage cable capacity and a new R&D center.
Performance Overview
- Havells India Ltd reported strong revenue growth of 35% year-on-year in Q2 FY27, with healthy contributions from all categories.
- Consumer demand remained steady despite an inflationary environment, and the company undertook calibrated pricing actions to counter rising raw material costs.
- Contribution margins were softer year-on-year, primarily impacted by the Cables segment due to a decline in aluminum prices during the quarter.
- The Lloyd business delivered healthy revenue growth, supported by both volume and value, though margins were subdued due to raw material inflation and seasonal under-absorption.
- Operating leverage supported healthy EBITDA growth of approximately 30%, though PBT growth was moderated by a one-time gain in the prior year's corresponding quarter.
Financial Metrics
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Operating Performance / Business Segments
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Key Discussions & Insights
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Outlook and Guidance
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Challenges / Concerns
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Industry / Competitive Landscape
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Overall Summary
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Tone & Disclosure
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