Eureka Forbes Ltd — Q4 FY26 earnings call
Summary generated by AI from the official transcript Eureka Forbes Ltd filed with BSE on 25 May 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
Eureka Forbes reported Q4 FY26 revenue growth of 11.6% year-on-year to Rs 684 crores, with an adjusted EBITDA margin of 13.2%, described by management as the highest ever for a quarter. For the full year, revenue grew 11.3% to Rs 2,710 crores with adjusted EBITDA of Rs 332 crores at a 12.2% margin, up 55 basis points over FY25. Management said input cost inflation intensified during the quarter due to the West Asia crisis and currency depreciation, prompting a price increase of 6-7% implemented in April.
Numbers mentioned
Revenue: INR 684 crores (Q4 FY26)
p. 3
“Revenue for the quarter grew 11.6% year-on-year to INR 684 crores, driven by double-digit growth in our water purifier business and continued strong momentum in our emerging categories.”
Pratik Pota, page 3 of the filed PDF · View the filing
Adjusted EBITDA margin: 13.2% (Q4 FY26)
p. 3
“we delivered an adjusted EBITDA margin of 13.2%, our highest ever, which is a strong reflection of the inherent strength of our business model”
Pratik Pota, page 3 of the filed PDF · View the filing
Revenue: INR 2,710 crores (FY26)
p. 4
“FY26 revenues grew 11.3% to INR 2,710 crores despite a challenging macro backdrop for much of the year.”
Pratik Pota, page 4 of the filed PDF · View the filing
Adjusted EBITDA: INR 332 crores (FY26)
p. 4
“For the full year, adjusted EBITDA stood at INR 332 crores with margin of 12.2%, up 55 basis points over the previous year.”
Pratik Pota, page 4 of the filed PDF · View the filing
Net cash surplus: INR 443 crores (FY26)
p. 4
“we have moved from a net debt of INR 193 crores in June 2022 to a net cash surplus of INR 443 crores today, giving us strategic”
Pratik Pota, page 4 of the filed PDF · View the filing
Gross margin: 58.8% (FY26)
p. 5
“Gross margins for the year expanded by 46 basis points to 58.8%.”
Gaurav Khandelwal, page 5 of the filed PDF · View the filing
Employee cost: INR 328 crores (FY26)
p. 5
“Employee cost for FY26 grew by 7% to INR 328 crores and came in at 12.1% of revenue versus 12.6% of revenue last year.”
Gaurav Khandelwal, page 5 of the filed PDF · View the filing
Adjusted PBT pre-exceptional: INR 278 crores (FY26)
p. 6
“Adjusted PBT pre-exceptional grew by 18% to INR 278 crores, while pre-exceptional PAT grew by 19% to INR 190 crores.”
Gaurav Khandelwal, page 6 of the filed PDF · View the filing
Reported PAT: INR 160 crores (FY26)
p. 6
“Reported PAT for the year came in at INR 160 crores.”
Gaurav Khandelwal, page 6 of the filed PDF · View the filing
Free cash flow: INR 237 crores (FY26)
p. 6
“we generated a free cash flow of INR 237 crores, representing 148% of reported PAT.”
Gaurav Khandelwal, page 6 of the filed PDF · View the filing
Capex: INR 84 crores (FY26)
p. 6
“This is despite a step-up in capex from INR 55 crores in FY25 to INR 84 crores in FY26.”
Gaurav Khandelwal, page 6 of the filed PDF · View the filing
Employee expenses: INR 88 crores (Q4 FY26)
p. 6
“Employee expenses grew by 11.3% year-on-year to INR 88 crores, largely driven by higher incentive payouts.”
Gaurav Khandelwal, page 6 of the filed PDF · View the filing
Service charges: INR 85 crores (Q4 FY26)
p. 6
“Service charges grew by 2.7% year-on-year to INR 85 crores.”
Gaurav Khandelwal, page 6 of the filed PDF · View the filing
Adjusted EBITDA: INR 90 crores (Q4 FY26)
p. 6
“Adjusted EBITDA for the quarter grew by 13.1% to INR 90 crores with an underlying adjusted EBITDA margin of 13.2%.”
Gaurav Khandelwal, page 6 of the filed PDF · View the filing
Adjusted PBT: INR 73 crores (Q4 FY26)
p. 6
“Adjusted PBT grew by 8.1% year-on-year to INR 73 crores, and PAT came in at INR 51 crores.”
Gaurav Khandelwal, page 6 of the filed PDF · View the filing
Water purifier category CAGR: over 12% (3-year)
p. 4
“the category has grown at a 3-year CAGR of over 12%, and we remain confident of its growth trajectory stepping up as we go forward”
Pratik Pota, page 4 of the filed PDF · View the filing
Air purifier growth: 2.7x (FY26)
p. 4
“Air purifiers grew 2.7x in FY26, albeit on a low base, and we see this as a significant future growth opportunity.”
Pratik Pota, page 4 of the filed PDF · View the filing
A&SP spend growth: 13.2% (FY26)
p. 4
“which increased 13.2% in FY26”
Pratik Pota, 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.
EBITDA margin — at least hold margins · FY27
stated as an aspiration by Gaurav Khandelwal
p. 12
“we believe that we should be aiming for at least a margin hold”
Gaurav Khandelwal, page 12 of the filed PDF · View the filing
Revenue growth — FY27
stated conditionally by Pratik Pota
p. 18
“FY27, as we see today, short of any black swan events coming our way, we do see an acceleration and a step-up in growth of what we delivered in FY26.”
Pratik Pota, page 18 of the filed PDF · View the filing
Robotics revenue — more than INR1,000 crores · FY30
stated firmly by Pratik Pota
p. 15
“we expect it to reach more than INR1,000 crores for us by FY30”
Pratik Pota, page 15 of the filed PDF · View the filing
Long-term revenue and EBITDA guidance — FY30
stated firmly by Pratik Pota
p. 18
“our long-term guidance that we gave for FY30, we absolutely stand by that. The goals both on top line and on EBITDA and profitability are the goals that we are very much going after.”
Pratik Pota, page 18 of the filed PDF · View the filing
Robotics revenue — INR 1,000 crores portfolio · next 3 to 4 years
stated firmly by Pratik Pota
p. 18
“It is going to be INR 1,000 crores portfolio for us in the next 3 to 4 years, and we are well on track for that.”
Pratik Pota, page 18 of the filed PDF · View the filing
Robotics localization via Dixon — next couple of quarters
stated conditionally by Pratik Pota
p. 12
“On localization, that will be a progressive journey starting in the next couple of quarters, but it will take some time to completely play out.”
Pratik Pota, page 12 of the filed PDF · View the filing
Q1 FY27 impact of price increase — no impact · Q1 FY27
stated firmly by Pratik Pota
p. 7
“And therefore, we expect no impact of that in our Q1 FY27 performance.”
Pratik Pota, page 7 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 said the price increase was announced late in March with no material channel loading, so no impact is expected in Q1 FY27.
Answered by Pratik Pota
Asked by Keshav Lahoti: Did the price increase cause channel stocking towards March end and muted April growth?
p. 7
“there was no material channel loading which happened because of the price increase”
Pratik Pota, page 7 of the filed PDF · View the filing
Management said the multi-year AMC mix shift means the full booking growth impact will show progressively across FY27 and even into FY28.
Answered by Gaurav Khandelwal
Asked by Keshav Lahoti: Will service revenue reach double-digit growth from Q1 FY27?
p. 8
“the impact of that would come of our FY26 bookings growth would come in FY27. But you may not see the full impact yet because some of that revenue may come in FY28”
Gaurav Khandelwal, page 8 of the filed PDF · View the filing
Management acknowledged the risk but said service platformization is also an opportunity given their multi-category servicing capability.
Answered by Pratik Pota
Asked by Chanchal K. Khandelwal: Is there risk of platforms like Urban Company disrupting the core service business?
p. 10
“the fact that there is a service platformization not only is a potential source of risk, but it is a very exciting source of opportunity for us as well”
Pratik Pota, page 10 of the filed PDF · View the filing
Management said no material impact on sellouts has been seen from the price increase, and drought is not expected to materially affect the water purifier business given low category penetration.
Answered by Pratik Pota
Asked by Renu Pugalia: Is there risk of demand impact from inflation or a weak monsoon on water purifier sales?
p. 11
“we do not see any impact as of now on sellouts or on tertiary sales”
Pratik Pota, page 11 of the filed PDF · View the filing
Management said the cost situation remains volatile, so they are aiming to at least hold margins while still investing in growth.
Answered by Gaurav Khandelwal
Asked by Achal Lohade: Does holding margins for FY27 reflect concern over cost inflation despite operating leverage benefits?
p. 13
“the cost situation is something which is really fairly volatile. So that's the only bit that one is very, very mindful of”
Gaurav Khandelwal, page 13 of the filed PDF · View the filing
Management explained that the current/non-current split reflects duration mix rather than volume, and total deferred income liability grew significantly.
Answered by Gaurav Khandelwal
Asked by Umang Mehta: Have active AMCs grown given other current liabilities appear down?
p. 14
“we see our deferred income liability to have gone up quite a bit”
Gaurav Khandelwal, page 14 of the filed PDF · View the filing
Management said the category has grown due to new entrants and that the company has not lost market share, citing tailwinds as they exited the year.
Answered by Pratik Pota
Asked by Aastha Jain: Is Eureka Forbes losing market share to Urban Company given its high growth?
p. 18
“we have not lost market share. If anything, as we exited the year, we had market share tailwinds behind us”
Pratik Pota, page 18 of the filed PDF · View the filing
Risks flagged
West Asia crisis causing sharp inflationary pressure and currency depreciation
p. 3
“As you're aware, the West Asia crisis has led to sharp inflationary pressures, coupled with currency depreciation.”
Pratik Pota, page 3 of the filed PDF · View the filing
Uncertain macro environment including geopolitical situation, input costs, currency pressure and potential impact on consumer demand
p. 5
“The evolving geopolitical situation, input cost increases, currency pressure and the potential impact of inflation on consumer demand all warrant close observation.”
Pratik Pota, page 5 of the filed PDF · View the filing
Gross margin headwinds in FY27 if input cost inflation sustains
p. 5
“If input cost inflation sustains at current levels, there will be some gross margin headwinds in FY27 that we aim to mitigate through a series of actions across pricing, mix management and COGS initiatives.”
Gaurav Khandelwal, page 5 of the filed PDF · View the filing
Consumer down-trading risk from inflationary pressure
p. 11
“But like you said, that's the risk that we are conscious of, and we'll navigate carefully as we go along.”
Pratik Pota, page 11 of the filed PDF · View the filing
Volatility of ongoing cost inflation situation
p. 13
“the cost situation is something which is really fairly volatile”
Gaurav Khandelwal, page 13 of the filed PDF · View the filing
Potential disruption to core service business from platforms like quick commerce and Urban Company
p. 9
“today's urban consumer is getting increasingly accustomed to faster and more agile ways of servicing her, quick commerce being a great case in point”
Pratik Pota, page 9 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.