On January 23, 2024, Havells India Limited (BSE, NSE: HAVELLS) announced its Q3 2023-24 results, with Net Profit inched up and Revenue up in a general economically adverse quarter.
Table of Content
Overall Result Takeaways
Havells India reported results that may have marginally missed estimations, but overall results exhibit Revenue growth and a rise in Net Profit. Here are the highlights of the third quarter of FY24:
- The Company reported a Net Revenue Growth standing at 7% YoY (versus the previous fiscal’s third quarter)’.
- The EBITDA of the Company was ₹433 Cr, up by 2% versus the previous fiscal year’s same quarter EBITDA.
- For Q3 FY24, PAT or Profit After Tax stood at ₹288 Cr, up by 1% versus the previous fiscal year’s same quarter.
- The Net Cash of the Company was registered at ₹2,878 Cr.
Additional Read: Q3 Results Dashboard
Q3 FY24 Segment Highlights
In Q3 FY24, the Company has exhibited the following in segment-wise results:
- In Q3 FY24, the segment of Cable & Wire effectively continues to generate robust growth. This is a result of the direct benefit from growth and demand in infrastructure development.
- On the Professional Lighting side of the business, the Company witnessed strong growth, but Consumer Lighting was still adversely affected by the price deflation of LED lighting solutions.
- In Q3 FY24, there was a muted growth in ECD as the festive season gains were offset by the high base of the fans segment.
- The Company recorded Lloyd 2Y growth at ~18% CAGR with levers of growth stable for the coming quarter.
Other Result Information
Q3 FY24 results of Havells India included some more information, as detailed by its press release filing on BSE:
- The Company has declared an interim dividend of ₹3 per equity share.
- Although the demand at the consumer level is subdued, recent consumer trends suggest a positive recovery on the rise.
- Infrastructure-driven demand remains healthy and has boosted the segments of Cables & Professional Lighting of the Company.
- Sales Promotion and advertising & sales spending were higher during the festive season of Q3 FY24.
- Q3 FY24 witnessed a sustained improvement in the contribution margin, but segment results were impacted because of higher A&P spending.
- The Company continues to enhance capacities with capex in Lloyd, Cable, and Lighting segments.
Additional Check: Havells India Limited Share Price
Financial Results at a Glance
Here is a glimpse of the financial results of Q3 (figures in ₹ Crore except where indicated by %):
| Metrics | Q3 FY 2023-24 | Q3 FY 2022-23 | YoY % | Q2 FY 2023-24 |
| Net Revenue | 4,401 | 4,120 | 7% | 3,891 |
| EBITDA | 433 | 424 | 2% | 373 |
| Profit Before Tax | 391 | 382 | 2% | 335 |
| Net Profit | 288 | 284 | 1% | 249 |
Q3 FY24 Result Summary
Havells India Limited is an Indian FMEG (Fast Moving Electrical Goods) company and has the credibility of being in the industry for several years, its business is earmarked by reliability and affordability for consumers. Now, the Company boasts a solid presence in international markets as well as in the Indian marketplace. With its predominant mantra of “Make in India”, it is the chosen company for several important projects like the current lighting solutions it has provided to the recently built Ram Mandir in Ayodhya, making available the best in architectural lighting.
With new products launched every year, Q3 FY24 has been a quarter of growth for the company, albeit just short of analysts’ predictions. Still, with fresh product introductions in its consumer segment (due to high spending in the festive period putting pressure on the Company’s margins), its prospects for upcoming quarters appear positive. On the infrastructure side, Havells India is the company of choice for large projects and this is a key driver of growth in Q3 FY24.
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Source: Havells Investor Presentation on BSE
