Eureka Forbes (543482) Q4 23/24 earnings summary

Executive summary

• FY24 marked a turnaround under the Udaan transformation: four consecutive quarters of broad-based volume growth followed a prolonged decline, with continuing-business growth accelerating from 2.5% in H1 to 14% in H2.

• Continuing-business growth reached 7.9% for FY24; adjusted EBITDA margin rose to 10.3% from 6.3% in FY23, and the year closed with a ₹108 crore cash surplus versus ₹50 crore net debt.

• Phase I priorities—restoring product growth, reaching threshold profitability, building capabilities and generating cash—were reported as achieved, setting up Phase II focused on sustained, profitable growth.

Financial highlights

• Consolidated revenue was ₹2,189.25 crore in FY24 versus ₹2,084.51 crore in FY23; reported EBITDA was ₹198.64 crore versus ₹145.02 crore.

• Consolidated PBT rose to ₹128.47 crore from ₹38.51 crore; PAT increased to ₹95.65 crore from ₹26.47 crore.

• Adjusted EBITDA was ₹226 crore, up 71.9% YoY, at a 10.3% margin; adjusted EBITDA excludes non-operating income under the stated definition.

• FY24 continuing-business product revenue grew 12.7%; total revenue growth was 4.93% on a consolidated reported basis.

• Exceptional items were ₹1,514.90 lakh for a Delhi warehouse fire that damaged inventory; an insurance claim was filed. FY23’s ₹4,001.80 lakh exceptional charge included product phase-outs and property-title stamp duty.

Outlook and guidance

• Phase II targets sustained, profitable growth through increased growth investment, operating efficiencies and leverage, building on Phase I outcomes.

• Priorities include expanding distribution and in-store presence, strengthening direct sales, improving service infrastructure and accelerating technology, digitisation and consumer-led innovation.

• Low category penetration and the existing installed base provide growth opportunities; the stated strategy emphasizes affordability, consumer education, access, premiumisation and service uptake.