Eureka Forbes (543482) Q2 26/27 earnings summary

Executive summary

• Q2 FY27 standalone revenue rose 15.0% YoY to ₹889.6 Cr; H1 revenue increased 15.1% to ₹1,590.4 Cr, accelerating from 12.7% in H1 FY26.

• Q2 adjusted EBITDA grew 18.8% to ₹120.7 Cr and margin expanded 43 bps to 13.6%; growth was broad-based, with high-teens product growth and water purifier share gains.

Financial highlights

• Q2 standalone revenue was ₹889.6 Cr versus ₹773.45 Cr YoY; adjusted PBT rose 17.8% to ₹104.7 Cr and reported PAT rose 19.1% to ₹73.34 Cr.

• H1 standalone revenue rose 15.1% to ₹1,590.4 Cr; adjusted EBITDA increased 15.5% to ₹194.6 Cr, with margin flat at 12.2%.

• H1 reported PAT rose 28.6% to ₹128.8 Cr; pre-exceptional PAT was ₹114.2 Cr, with a ₹19.5 Cr gratuity-expense reversal recognized in Q1.

• Consolidated Q2 revenue was ₹888.47 Cr and PAT ₹74.10 Cr; H1 consolidated revenue was ₹1,588.87 Cr and PAT ₹131.08 Cr.

• Q2 revenue increased 26.9% sequentially from ₹700.8 Cr; reported PBT was ₹98.1 Cr, up 17.9% YoY.

Outlook and guidance

• Management expects H2 growth to accelerate over H1, citing category tailwinds and strong sell-out momentum in Q2 and early festive trading; it sees a meaningful FY27 growth step-up.

• Calibrated price increases of 3%–4% are planned post-Diwali, effective mid-November; full impact is expected in Q4, with transitional margin pressure in Q3.

• Full-year adjusted margins are targeted to remain flat YoY, with recovery expected in Q4.

• H1 working-capital deployment is expected to unwind in H2 as inventory normalizes and festive-season receivables are collected.

• Focus remains on sustainable profitable growth through disciplined execution, operating leverage, and balanced growth investment.