Crompton's Q2 FY26 revenue stable amid restructuring, strong solar growth

Crompton Greaves Consumer Electricals Limited (CGCEL) announced 1% year-on-year growth in consolidated revenue to INR 1,916 crore for Q2 FY26, driven by underlying volume growth despite challenging market conditions. Standalone revenue was INR 1,632 crore, a 0.8% decline. The company approved its unaudited standalone and consolidated financial results for the quarter and half-year ended September 30, 2025.

An exceptional charge of INR 20.36 crore for Q2 FY26 was incurred towards restructuring the Vadodara plant, transitioning it to a multi-business unit with an expected payback in less than two years. The company also fully redeemed its non-convertible debentures of INR 300 crore in July 2025. Furthermore, Crompton secured new solar rooftop orders totaling approximately INR 500 crore, serving 50,000 households, with execution anticipated in 6-12 months. This represents a substantial new growth engine, projecting INR 2,000 crore in revenue within 18-24 months.

Butterfly Gandhimathi Appliances Ltd., a subsidiary, reported strong Q2 FY26 revenue of INR 293 crore, a 14% year-on-year increase. Overall, the company's consolidated EBITDA margin stood at 8.3%, with a standalone EBITDA margin of 8.0%, impacted by commodity inflation, pricing pressures, and increased A&P investments. The company’s ESG score improved to 72/100, ranking 2nd globally in Household Durables.