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Earnings Call Transcript

EPACK Durables Earnings Call Transcript: Key Takeaways

EPACK reported record Q1 revenue but faces margin pressure. Management is aggressively diversifying beyond RACs into washing machines and small appliances to mitigate seasonality.

Guidance and delivery
Management target Revenue 20.0% FY27
Highlights
Revenue growth34% YoY growth to 886 Cr; record quarterly performance.
MarginsEBITDA margin fell to 6.2% due to missing PLI income.
Order bookRobust; added three new product categories this quarter.
Demand visibilityStrong AC tailwinds; shifting to non-seasonal small domestic appliances.
Management confidenceConfident but cautious regarding seasonal loss-making quarters (Q2/Q3).

Growth

Revenue surged 34% YoY to 886 Cr, driven by 30% RAC volume growth.

Outlook

Targeting 20% industry outperformance; washing machine plant reaching 50% capacity utilization.

Risks

Margins squeezed by forex losses, input costs, and absence of PLI income.

Last quarter's promises, checked

Delivered

  • Guided Q1 industry growth ~15% → delivered 34% revenue growth (= BEAT)
  • Guided 17 new customers in FY26 → delivered 72 total active base (= BEAT)
  • Guided Hisense facility operational by Q4 FY26 → delivered operational March 2026 (= BEAT)

Partly delivered

  • Guided RAC volume growth 15-20% → delivered 30% volume but 14% value lag (= PARTIAL)
  • Guided pass-through of commodity costs → delivered with one-quarter lag impacting margins (= PARTIAL)

Missed

  • Guided PLI income of 56.5 Cr for FY26 → delivered 0 Cr due to reversal (= MISS)
  • Guided FY26 EBITDA margin 7.5-8.25% → delivered 6.01% (= MISS)
  • Guided asset turn ~3.2 → delivered 2.6 (= MISS)
Source

Earnings Call Transcript filed with BSE, NSE: EPACK. Summary written with AI assistance from the document.

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EPACK Durables Ltd: key numbers

Share price
₹180.32
Market cap
₹1,736 Cr
Revenue (annual)
₹1,894 Cr
Net profit (annual)
₹3.26 Cr
P/E (TTM)
-222.2×Sector 45.9×
Promoter holding
46.45%-0.73% QoQ
FII holding
0.34%Current quarter

Reference market data from a third-party provider, updated daily. Not a valuation or a recommendation.

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