Havells India Ltd, a leading consumer electrical goods manufacturer, has reported a modest 1.54 percent increase in its consolidated net profit for the third quarter ending December 2023, reaching Rs 287.91 crore. This marginal rise is compared to the consolidated net profit of Rs 283.52 crore posted in the corresponding quarter of the previous fiscal year, as disclosed in a regulatory filing by Havells India.
The revenue from operations during the same period exhibited a growth of 6.93 percent, reaching Rs 4,413.86 crore, in contrast to the previous year's Rs 4,127.57 crore. Total expenses for Havells India in the December quarter rose by 7.74 percent, totaling Rs 4,079.02 crore, contributing to a 7.26 percent increase in total income, which reached Rs 4,469.75 crore.
Despite subdued consumer demand, the company noted a potential recovery in recent trends, especially in infrastructure-led demand, which has proven robust and has positively impacted the Cables and Professional Lighting business segments. The earnings presentation highlighted that the December quarter saw higher advertising and sales promotion spendings due to the festive season.
Havells India's revenue performance across various segments in the December quarter showcased mixed results. The switchgear segment witnessed a 1.21 percent increase, reaching Rs 520.58 crore. The cables segment surged impressively by 11.36 percent, reaching Rs 1,572.69 crore. Revenue from lighting and fixtures experienced a 2.44 percent rise, reaching Rs 433.50 crore. Electrical consumer durables (ECD) recorded a slight increase of 2.75 percent, totaling Rs 961.53 crore.
The acquisition of Lloyd Consumer in 2017 contributed to a 7.5 percent rise in revenue from Lloyd Consumer, reaching Rs 656.10 crore. The 'Other Segment' also demonstrated substantial growth, surging by 16.21 percent to Rs 269.46 crore in the December 2023 quarter.
Additionally, Havells' board declared an interim dividend of 300 percent, translating to Rs 3 per equity share of Re 1, as indicated in a separate filing. Despite these financial updates, shares of Havells India Ltd witnessed a 4.39 percent decline from the previous close, settling at Rs 1,312.80 on BSE.
