Bajaj Electricals Q1FY25 results: Net profit falls 25% to Rs 28.1 cr

Bajaj Electricals results fall short of expectations in first-quarter, hurt by dampened demand for kitchen appliances and price erosion in key lighting segment

India's Bajaj Electricals posted a smaller-than-expected first-quarter profit on Tuesday, hurt by dampened demand for kitchen appliances and price erosion in key lighting segment.

Its consolidated net profit fell 25% to Rs 28.11 cr ($3.4 million) for the quarter ended June 30, missing consensus analysts expectation of Rs 32.3 cr, as per LSEG data.

Net sales grew 4% to Rs 1,152 cr, falling slightly short of analysts estimate of Rs 1,200 cr.

However, the company said it was confident of a pickup in demand in the second half of this fiscal year, as consumer demand has already bottomed out.

India's summer extends from March to May, but many cities experienced unusually warm weather in June as well, which led to a surge in demand for cooling appliances.

However, analysts said that demand for kitchen appliances remained sluggish and high competition in the lighting segment saw price erosion in the category, leading to home appliance makers posting mixed set of earnings during the quarter. Crompton Greaves and Whirlpool India reported better-than-expected results, while Polycab posted a profit drop.