Electronics Mart India Ltd — Q1 FY27 earnings call
Summary generated by AI from the official transcript Electronics Mart India Ltd filed with BSE on 11 Aug 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Electronics Mart India reported Q1 FY27 revenue growth of 39% to INR 2,419 crores, with EBITDA up 118% to INR 239 crores at a 9.9% margin and PAT growing 458% to INR 121 crores. Management attributed the performance to a strong air conditioner season, same-store sales growth of 34.2%, and improving profitability in both the South and North clusters. The company also reported a sharp reduction in working capital days and lower working capital borrowings during the quarter.
Numbers mentioned
Revenue: INR 2,419 crores (Q1 FY27)
p. 3
“Revenue grew by 39% to INR 2,419 crores.”
Karan Bajaj, page 3 of the filed PDF · View the filing
EBITDA: INR 239 crores (Q1 FY27)
p. 3
“EBITDA increased by 118% to INR 239 crores and at a 9.9% margin.”
Karan Bajaj, page 3 of the filed PDF · View the filing
PAT: INR 121 crores (Q1 FY27)
p. 3
“The PAT grew by 458% to INR 121 crores.”
Karan Bajaj, page 3 of the filed PDF · View the filing
Same store sales growth: 34.2% (Q1 FY27)
p. 3
“Same-store sales growth for the quarter came at 34.2%, and this is one of the standout numbers in this quarter.”
Karan Bajaj, page 3 of the filed PDF · View the filing
South cluster revenue growth: 40% (Q1 FY27)
p. 4
“Overall, our South cluster delivered 40% revenue growth for the quarter and continues to operate at scale, profitable engine at 10.9% EBITDA margin.”
Karan Bajaj, page 4 of the filed PDF · View the filing
North cluster revenue growth: 29% (Q1 FY27)
p. 4
“Revenue in the North grew 29% year-on-year and EBITDA margin improved to a record 4.9%, meaningfully ahead of where we were even a couple of quarters ago.”
Karan Bajaj, page 4 of the filed PDF · View the filing
Gross profit: INR 417 crores (Q1 FY27)
p. 5
“Gross profit increased to INR 417 crores from INR 253 crores of Q1 FY26, reflecting a strong 65% growth.”
Premchand Devarakonda, page 5 of the filed PDF · View the filing
Gross margin: 17.2% (Q1 FY27)
p. 5
“Gross margins expanded significantly to 17.2% compared to 14.6% in the corresponding quarter of last year.”
Premchand Devarakonda, page 5 of the filed PDF · View the filing
Working capital days: 42 days (As of June 2026)
p. 5
“Working capital days reduced sharply to 42 days as of June 2026 compared to 73 days as of March 2026.”
Premchand Devarakonda, page 5 of the filed PDF · View the filing
Working capital borrowings: INR 97 crores (End of Q1 FY27)
p. 5
“I'm also pleased to highlight that, by end of this quarter, we could bring down the working capital borrowings to INR 97 crores, which stood at INR 658 crores at the beginning of the quarter.”
Premchand Devarakonda, page 5 of the filed PDF · View the filing
Return on capital employed: 20.1% (TTM)
p. 5
“Return on capital employed stood at 20.1% on TTM basis and return on equity stood at 11.9% on a TTM basis.”
Premchand Devarakonda, page 5 of the filed PDF · View the filing
Mature store count: 96 stores (Q1 FY27)
p. 4
“As of this quarter, we operate 96 stores that are over 4 years old and 131 stores that are less than 4 years old.”
Karan Bajaj, page 4 of the filed PDF · View the filing
Mature store EBITDA margin: 11.2% (Q1 FY27)
p. 4
“Our mature stores are already operating at an EBITDA margin of 11.2%.”
Karan Bajaj, page 4 of the filed PDF · View the filing
Non-mature store EBITDA margin: 8.1% (Q1 FY27)
p. 4
“But what is encouraging is that our non-mature stores delivered an 8.1% margin this quarter, a meaningful step-up and proof that these stores are picking up pace faster than we had originally modeled.”
Karan Bajaj, page 4 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Revenue growth — 18% to 20% · FY27
stated conditionally by Karan Bajaj
p. 5
“So on an overall number, we can look at a good 18% to 20% kind of revenue growth. That should be very easily achievable.”
Karan Bajaj, page 5 of the filed PDF · View the filing
Gross margin — 15% to 15.5% · FY27
stated conditionally by Premchand Devarakonda
p. 6
“It will be about 15% to 15.5%.”
Premchand Devarakonda, page 6 of the filed PDF · View the filing
Post-Ind AS EBITDA margin — 7.5% to 8% · FY27
stated conditionally by Premchand Devarakonda
p. 9
“It will be too optimistic. 9% means too optimistic. Around 8% that's a -- I mean 7.5% to 8% is easily achievable, looking at the current trend.”
Premchand Devarakonda, page 9 of the filed PDF · View the filing
Finance cost — about INR 10 crores less than last year · FY27
stated conditionally by Premchand Devarakonda
p. 9
“No, it will be in the same range like last year. I mean about INR10 crores will be less. It will be less by at least INR10 crores.”
Premchand Devarakonda, page 9 of the filed PDF · View the filing
Kolkata store openings — 5 stores by Diwali, 10 to 12 stores by end of Q4 FY27 · FY27
stated firmly by Karan Bajaj
p. 9
“5 stores will be operational by Diwali. And by 31st of March, by end of Q4 FY27, we should be operational by 10 to 12 stores.”
Karan Bajaj, page 9 of the filed PDF · View the filing
West Bengal / Kolkata capex — around INR 100 crores for stores plus INR 50 crores for property purchases · FY27-FY28
stated firmly by Karan Bajaj
p. 11
“So, the capex that we plan to invest would be in the lines of around INR 100-odd crores for the upcoming stores, plus or minus INR 5 crores, INR 10 crores because as quickly as the store gets built or if it's built before 31st March, you know, so that way and another INR 50-odd crores would be the investment that would go through in buying out properties in Kolkata.”
Karan Bajaj, page 11 of the filed PDF · View the filing
Kolkata store count — 30 stores · Next 24 months
stated firmly by Karan Bajaj
p. 14
“The next 24 months, 30 stores you can consider.”
Karan Bajaj, page 14 of the filed PDF · View the filing
NCR store openings — 8 to 10 stores · FY27
stated conditionally by Karan Bajaj
p. 16
“So, we'll comfortably come up with 8 to 10 stores this financial year or probably a little higher if we find good properties.”
Karan Bajaj, page 16 of the filed PDF · View the filing
Total new store openings — 25-30 stores · FY27
stated firmly by Karan Bajaj
p. 11
“So, sir, we plan to open around 25-30 stores in existing geographies as well as in Bengal for that matter.”
Karan Bajaj, page 11 of the filed PDF · View the filing
Revenue crossing INR 10,000 crores — INR 10,000 crores · FY27
stated as an aspiration by Karan Bajaj
p. 14
“But we're trying hard, but we would like to give a very comfortable number of 18% - 20% that we can achieve.”
Karan Bajaj, page 14 of the filed PDF · View the filing
New geography expansion beyond Bengal — Q4 FY27 or beginning of Q1 FY28
stated conditionally by Karan Bajaj
p. 14
“Given an opportunity, probably we might start up something new in Q4 FY27 or the beginning of Q1 FY28 next year.”
Karan Bajaj, page 14 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management guided to 18-20% revenue growth for FY27, calling it easily achievable, with Bengal operations starting to add a small contribution by year-end.
Answered by Karan Bajaj
Asked by Devanshu Bansal: What is the full-year revenue growth target across North and South clusters given the weak base?
p. 5
“So on an overall number, we can look at a good 18% to 20% kind of revenue growth. That should be very easily achievable.”
Karan Bajaj, page 5 of the filed PDF · View the filing
Management attributed the improvement to higher-margin cooling products and a temporary pricing advantage in laptops and mobiles due to buying stock before price increases.
Answered by Karan Bajaj
Asked by Devanshu Bansal: What drove the gross margin improvement this quarter?
p. 6
“It's because when the pricing was going up, we were able to buy stocks at a lower price and then play on that price margin game, the price increase game and take that as an advantage.”
Karan Bajaj, page 6 of the filed PDF · View the filing
The CFO said 9% would be too optimistic but 7.5-8% is easily achievable based on current trends.
Answered by Premchand Devarakonda
Asked by Rupesh Tatiya: Is 8-9% post-Ind AS EBITDA margin achievable for the year?
p. 9
“It will be too optimistic. 9% means too optimistic. Around 8% that's a -- I mean 7.5% to 8% is easily achievable, looking at the current trend.”
Premchand Devarakonda, page 9 of the filed PDF · View the filing
Management explained that the North market for cooling products de-grew this year versus 2024, so the region underperformed despite a small base.
Answered by Karan Bajaj
Asked by Rupesh Tatiya: Why is SSG for Delhi NCR lower than other clusters?
p. 9
“So though we had a small base, so we could see that up-sell coming through with our stores, but overall market was minus for North. So North didn't perform well this year.”
Karan Bajaj, page 9 of the filed PDF · View the filing
Management confirmed that ASP growth was limited to a few categories while overall growth came from higher volumes and new lower-value, high-volume product categories like audio and accessories.
Answered by Karan Bajaj
Asked by Akhil Parekh: Is the SSG growth driven more by volume/footfall than ASP increases?
p. 12
“So we were the ASP increased only in limited categories. But if you see broadly there has been significant volume growth.”
Karan Bajaj, page 12 of the filed PDF · View the filing
Management estimated market share gains ranging from 4% in existing larger cities to as much as 12% in smaller towns.
Answered by Karan Bajaj
Asked by Akhil Parekh: How much market share has the company gained in core geographies?
p. 13
“So the least -- I would be able to tell you is the least existing clusters, maybe the least that we've grown outside Hyderabad would be at around 4%, the least in any of the market, and highest would be around 12%.”
Karan Bajaj, page 13 of the filed PDF · View the filing
Management said expansion would remain calculated and funded through internal accruals, without rapid or inorganic growth.
Answered by Karan Bajaj
Asked by Akhil Parekh: Will the company pursue aggressive store expansion given strong cash flows?
p. 14
“Yes. So no inorganic expansion, no rapid expansion. It will be all calculated.”
Karan Bajaj, page 14 of the filed PDF · View the filing
Management said comparisons should be made quarter-to-quarter rather than sequentially, since cooling product mix in Q1 makes margins look elevated.
Answered by Karan Bajaj
Asked by Ankit Kedia: Will gross margins normalize from Q2 FY27 given cost advantages from low-cost inventory?
p. 17
“Sir, if you compare it with Q1, because of the cooling products category, it will look inflated and higher. You can compare it with Q1 to Q1, Q2 to Q2.”
Karan Bajaj, page 17 of the filed PDF · View the filing
Management detailed payback periods of 10-11 months in the South and 16-18 months in the North, along with capex and opex benchmarks per store.
Answered by Karan Bajaj
Asked by Harshit Sachdeva: What are the payback periods and cost benchmarks for new stores across geographies?
p. 17
“we would look at a payback period of around under 10 to 11 months here in this cluster in South, and this number up north would be around 16 to 18 months.”
Karan Bajaj, page 17 of the filed PDF · View the filing
Risks flagged
Temporary pricing benefit in laptops and mobiles due to chip price volatility may not persist
p. 6
“But that is a temporary upside. Probably till the time the market is a little volatile in terms of price increase and stuff like that, we might take that advantage. But not necessarily that it's going to be a permanent increase in the price.”
Karan Bajaj, page 6 of the filed PDF · View the filing
North market cooling product demand de-grew, affecting SSG performance in Delhi NCR
p. 9
“So if you see, cooling products between refrigerators, air conditioners and air coolers, all three and very negligible market de-grew, the entire North market was actually minus than 2024 as well if I look at the bigger cluster in 2024.”
Karan Bajaj, page 9 of the filed PDF · View the filing
Potential memory chip shortages requiring higher inventory stocking for certain SKUs
p. 8
“So probably a few products, few categories, we might have to -- few brands there, we might have to stock up a little more than on average that we would do. Instead of stocking up to 30 days, we might stock up to 50, 60 days also, but for few SKUs, not across all categories.”
Karan Bajaj, page 8 of the filed PDF · View the filing
Full-year performance depends heavily on seasonality and timing of summer demand
p. 14
“But it all depends on seasonality, all depends on how soon the market picks up for us, the product mix because there is no new technology coming up.”
Karan Bajaj, page 14 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.