Stove Kraft Ltd — Q4 FY26 earnings call
Summary generated by AI from the official transcript Stove Kraft Ltd filed with BSE on 20 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
Stove Kraft reported Q4 FY26 consolidated revenue of Rs 414.5 crore, up 32.4% year-on-year, with EBITDA margin at 9.5% and PAT growing 317.8% year-on-year to Rs 6.1 crore. Management attributed growth to a surge in demand for induction cooktops and small appliances, which together contributed 56% of quarterly revenue, alongside expansion of Pigeon exclusive brand outlets to 329 stores. Management also discussed the IKEA OEM manufacturing tie-up, tariff normalization on exports, and working capital improvements through channel and payable financing.
Numbers mentioned
Consolidated revenue: INR414.5 crores (Q4 FY26)
p. 5
“The consolidated revenue stood at INR414.5 crores for the quarter versus INR313 crores in the previous quarter last year, hence registering a growth of 32.4% year-on-year basis.”
Rajendra Gandhi, page 5 of the filed PDF · View the filing
Gross profit: INR160.2 crores (Q4 FY26)
p. 5
“Gross profit for the quarter stood at INR160.2 crores versus INR120.8 crores in Q4 FY '25, a growth of 32.6% year-on-year.”
Rajendra Gandhi, page 5 of the filed PDF · View the filing
Gross margin: 38.6% (Q4 FY26)
p. 5
“Gross margins for the current quarter stood at 38.6% in line with Q4 FY '25.”
Rajendra Gandhi, page 5 of the filed PDF · View the filing
EBITDA: INR39.5 crores (Q4 FY26)
p. 5
“EBITDA for Q4 FY '26 stood at INR39.5 crores versus INR29.5 crores in Q4 FY '25, showing a growth of 33.9% year-on-year.”
Rajendra Gandhi, page 5 of the filed PDF · View the filing
EBITDA margin: 9.5% (Q4 FY26)
p. 5
“EBITDA margins for the current quarter stood at 9.5% versus 9.4% in Q4 FY '25, improving by 113 basis points year-on-year.”
Rajendra Gandhi, page 5 of the filed PDF · View the filing
PAT: INR6.1 crores (Q4 FY26)
p. 5
“PAT for Q4 FY '26 stood at INR6.1 crores versus INR1.4 crores in Q4 FY '25, showing exceptional growth of 317.8% year-on-year.”
Rajendra Gandhi, page 5 of the filed PDF · View the filing
Consolidated revenue: INR1,607.4 crores (FY26)
p. 5
“The consolidated revenue stood at INR1,607.4 crores for FY '26 versus INR1,449.8 crores in FY '25 and suggesting a growth of 10.9% year-on-year.”
Rajendra Gandhi, page 5 of the filed PDF · View the filing
EBITDA: INR166.1 crores (FY26)
p. 5
“EBITDA for FY '26 stood at INR166.1 crores versus INR150.7 crores in FY '25, showing a growth of 10.3% year-on-year.”
Rajendra Gandhi, page 5 of the filed PDF · View the filing
PAT: INR42 crores (FY26)
p. 5
“Profit after tax FY '26 stood at INR42 crores versus INR38.5 crores in FY '25, showing a growth of 9.1% year-on-year.”
Rajendra Gandhi, page 5 of the filed PDF · View the filing
Induction cooktop revenue contribution: 15.5% (Q4 FY26)
p. 3
“This quarter, induction cooktops contributed 15.5% of”
Rajendra Gandhi, page 3 of the filed PDF · View the filing
OEM exports contribution: 8.7% (Q4 FY26)
p. 4
“In line with this, our OEM exports contribution increased to 8.7% in quarter 4, up from 3.8% in quarter 3 on a YTD basis.”
Rajendra Gandhi, page 4 of the filed PDF · View the filing
Pigeon exclusive brand outlets: 329 stores (as on 31 March 2026)
p. 4
“As on 31st March 2026, we have grown to 329 stores across 151 cities and 22 states with 67 net additions in the year, including 16 in Q4.”
Rajendra Gandhi, 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 — 11% and improving
stated conditionally by Rajendra Gandhi
p. 8
“But we are very confident with the current trend and the demand for all the categories of our products, we will be able to protect that 11% and definitely grow on this.”
Rajendra Gandhi, page 8 of the filed PDF · View the filing
Revenue growth — upwards of 15% · this year
stated conditionally by Rajendra Gandhi
p. 8
“we are very confident of upwards of 15% growth this year.”
Rajendra Gandhi, page 8 of the filed PDF · View the filing
Retail store count — 500 stores · by 2027
stated firmly by Rajendra Gandhi
p. 4
“We are firmly aligned with our goal of reaching 500 stores exclusively by the year 2027.”
Rajendra Gandhi, page 4 of the filed PDF · View the filing
Working capital days — below 30 days
stated firmly by Rajendra Gandhi
p. 10
“We are confident of keeping it below 30 days.”
Rajendra Gandhi, page 10 of the filed PDF · View the filing
Gross margin — 42% · 2 to 3 years
stated as an aspiration by Rajendra Gandhi
p. 13
“We are targeting to improve by 1% every year. And we believe that within the 2, 3 years, we should hit the 42%.”
Rajendra Gandhi, page 13 of the filed PDF · View the filing
Capex — around INR40 crores · this year
stated firmly by Rajendra Gandhi
p. 9
“Yes, that I think is well within our plan. It is around INR40 crores, including our retail. I mean overall capex for this year will be around the INR40 crores.”
Rajendra Gandhi, page 9 of the filed PDF · View the filing
IKEA business revenue — between INR200 crores and INR250 crores · at full capacity
stated conditionally by Rajendra Gandhi
p. 12
“But at a fullfledged full year of this at the full capacity utilization of these 3 lines will be around between INR200 crores and INR250 crores.”
Rajendra Gandhi, page 12 of the filed PDF · View the filing
Peak revenue at existing facility — Between 2,500 to 3,000
stated as an aspiration by Rajendra Gandhi
p. 11
“Between 2,500 to 3,000 with the existing facility, we are very confident to get there.”
Rajendra Gandhi, page 11 of the filed PDF · View the filing
Retail store additions — 25 stores every quarter
stated firmly by Rajendra Gandhi
p. 18
“So we are working at the trend rate of 25 stores every quarter, more or less.”
Rajendra Gandhi, page 18 of the filed PDF · View the filing
Export contribution — higher of 12%
stated conditionally by Rajendra Gandhi
p. 11
“but we will get back to a higher of 12%, and actually, our exports in terms of growth will be a little higher than the company's growth rate.”
Rajendra Gandhi, page 11 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 attributed the increase to sales commissions and other costs growing in line with revenue growth.
Answered by Rajendra Gandhi
Asked by Shreyans Jain: Why did opex grow 41% while gross margins remained flat despite price hikes?
p. 6
“So because there is a sales commission that is accounted for other expenses, which is in line with the revenue growth.”
Rajendra Gandhi, page 6 of the filed PDF · View the filing
Management said average sales per store increased substantially and incremental sales beyond a threshold directly contribute to profit.
Answered by Rajendra Gandhi
Asked by Rehan Saiyyed: Are newly added retail stores dilutive or accretive to margins in the first 12-18 months?
p. 8
“So any incremental growth beyond INR2.5 lakhs on an average is directly contributing to bottom line.”
Rajendra Gandhi, page 8 of the filed PDF · View the filing
Management confirmed price increases were passed on for commodities and export customers agreed to an increase starting June.
Answered by Rajendra Gandhi
Asked by Anand Mundra: Have price hikes been taken to offset rupee depreciation and higher raw material costs?
p. 9
“We have covered the price hike for commodities beginning of this quarter. We have accounted for that and passed on the price increase.”
Rajendra Gandhi, page 9 of the filed PDF · View the filing
Management said capacity was around 2 million units last year and is expected to reach 4-5 million at current run rate.
Answered by Rajendra Gandhi
Asked by Anand Mundra: What is the induction cooktop production capacity and expansion plan?
p. 9
“We were around 2 million pieces last year. And we would be upward,at the current run rate, we'll be between 4 million and 5 million”
Rajendra Gandhi, page 9 of the filed PDF · View the filing
Management pointed to last quarter's 30% growth and said current demand continues at similar levels.
Answered by Rajendra Gandhi
Asked by Vinod Krishna: Can growth exceed the 15% rate achieved over the last 5 years, given IKEA and export tailwinds?
p. 10
“No, I will tell you last quarter, we grew in the range of 30%. And current demand continues to be at the same level.”
Rajendra Gandhi, page 10 of the filed PDF · View the filing
Management gave the quarterly and annual export contribution figures.
Answered by Rajendra Gandhi
Asked by Nilay Parekh: What was the export contribution in Q4 and for the full year?
p. 11
“It's about 8.7% for the Q4, sir, and 11% for the whole year.”
Rajendra Gandhi, page 11 of the filed PDF · View the filing
Management described a phased ramp-up across three product lines reaching a full-year run rate over time.
Answered by Rajendra Gandhi
Asked by Raghav Maheswari: What revenue is expected from the IKEA deal?
p. 12
“So maybe before the end of this year, we are between INR40 crores, INR50 crores.”
Rajendra Gandhi, page 12 of the filed PDF · View the filing
Management explained receivables are financed through channel financing partners and payables through payable finance partners, extending credit.
Answered by Ramakrishna Pendyala
Asked by Resham Mehta: What drove the reduction in inventory and debtor days and increase in creditor days?
p. 13
“So for receivables, we are working with the channel financing partners to realize the money earlier than the due dates.”
Ramakrishna Pendyala, page 13 of the filed PDF · View the filing
Management said commodity cost increases would be passed on, though forex remained a challenge.
Answered by Rajendra Gandhi
Asked by Anubhav Goel: Will gross margins be hit by rising steel, aluminum and forex costs?
p. 15
“No. We will definitely pass on any commodity price increase.”
Rajendra Gandhi, page 15 of the filed PDF · View the filing
Management attributed part of the demand surge to the GST reduction to 5% benefiting organized players.
Answered by Rajendra Gandhi
Asked by Lakshminarayanan: What contributed to the spurt in demand for induction cooktops beyond the company's own sales efforts?
p. 20
“We believe post the GST reduction to 5%, we are continuously seeing across the categories, good demand in our products.”
Rajendra Gandhi, page 20 of the filed PDF · View the filing
Risks flagged
Global geopolitical disruption to supply chains causing currency and commodity cost pressures
p. 3
“The situation has also resulted into volatility in foreign currency and commodity resulting into cost pressures across both.”
Rajendra Gandhi, page 3 of the filed PDF · View the filing
Forex volatility remains a challenge that cannot fully be passed on
p. 16
“but we definitely see a challenge on addressing the forex disruption. That could be a challenge.”
Rajendra Gandhi, page 16 of the filed PDF · View the filing
Dependence on imported crystalline glass for induction cooktops due to lack of domestic capacity
p. 15
“there is one particular import that is the crystalline glass. Today, at the moment in this country, we do not have any capacity.”
Rajendra Gandhi, page 15 of the filed PDF · View the filing
Earlier tariff disruption reduced export contribution
p. 11
“The setback in the early part of this year is the reason for lower contribution from exports”
Rajendra Gandhi, page 11 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.