Crompton Greaves Consumer Electricals Ltd, a leading electrical consumer durables company, has announced a final dividend of ₹3 per equity share for the fiscal year ending March 31, 2024. This decision comes alongside a reported 5.5% year-on-year (YoY) increase in net profit, reaching ₹138.4 crore for the fourth quarter.
In the corresponding quarter of the previous fiscal year, Crompton Greaves posted a net profit of ₹131 crore. The company’s revenue from operations saw a significant rise of 9.5%, totaling ₹1,961 crore compared to ₹1,791 crore in the same period last year, according to a regulatory filing.
At the operating level, the company reported a 4% increase in EBITDA, amounting to ₹203.6 crore in Q4 FY24, up from ₹211.8 crore in Q4 FY23. However, the EBITDA margin declined to 10.4% from 11.8% in the same quarter of the previous year. EBITDA, which stands for earnings before interest, tax, depreciation, and amortisation, is a key indicator of a company’s financial performance.
Crompton Greaves has consistently demonstrated strong performance in the electrical consumer durables (ECD) segment, with a revenue growth of 14.3% YoY and an EBIT margin of 17.2% (excluding the impact of EPR). The company saw broad-based growth across various categories, including a 13% YoY increase in fans, 9% YoY growth in pumps, and a remarkable 27% YoY rise in appliances.
The company achieved significant milestones, selling over two crore fans during the fiscal year with double-digit volume growth. Additionally, Crompton Greaves sold over 10 lakh units of mixer grinders in FY24, leading to a robust 39% growth in small domestic appliances. The expansion of alternate channels, particularly e-commerce, drove a 31% YoY growth in Q4.
Subsidiary Performance
Butterfly Gandhimathi Appliances, a subsidiary of Crompton Greaves Consumer Electricals, experienced an 11% YoY revenue decline, affected by one-time settlements and extraordinary items. Despite this, core categories maintained revenue and stable market share, with regional chain stores continuing to grow for the fourth consecutive quarter.
Dividend Details
The board of Crompton Greaves has recommended a final dividend of ₹3 per equity share of ₹2 each (fully paid-up) for FY24, subject to shareholder approval at the upcoming Annual General Meeting (AGM). If approved, the dividend will be paid on or after Tuesday, July 29, 2024, within 30 days from the AGM date. The record date for determining dividend entitlement is set for Wednesday, July 10, 2024.
