TTK Prestige Q4 FY26 Results (NSE: TTKPRESTIG)
Signal: Loss reversed
The read
Q4FY26 consolidated revenue of ₹729 Cr grew 12.2% YoY, and OPM expanded 100bps YoY to 9%, breaking a three-quarter streak of margin contraction. However, the full-year picture is mixed: underlying operating profit before exceptionals declined, and the ₹157 Cr PAT was inflated by ₹17 Cr in reversals (labour-code and impairment). The corrigendum filing confirms zero financial impact from the cost reclassification. Capex doubled to ₹88 Cr (Roorkee/Hosur), signalling a growth capex cycle, but gross margin compression of 490bps YoY remains a concern amid input cost pressures.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹729.17 Cr | 12.2% | -9.0% |
| EBIT | ₹59.36 Cr | 52.5% | |
| Net profit | ₹36.08 Cr | ||
| EPS | ₹2.69 | ||
| EBIT margin | 9.3% |
P&L walk
Consolidated revenue grew 12.2% YoY to ₹729 Cr in Q4FY26, with OPM expanding 100bps to 9% after three quarters of contraction; bottom-line swung from a ₹42 Cr loss to ₹36 Cr profit. The full year saw PAT of ₹157 Cr (+45% YoY), but included ₹17 Cr in exceptional labour-code costs and a one-off VRS charge of ₹10 Cr, masking underlying weakness.
Segments
Single-segment entity (Kitchen & Home appliances); no intra-group divergence — consolidated performance mirrors the parent, with the UK subsidiary contributing minor FX translation gains of ₹21 Cr to OCI.
Key positives
- Q4FY26 revenue grew 12.2% YoY to ₹729 Cr, accelerating from -1.5% YoY in Q3FY26.
- OPM expanded 100bps YoY to 9% after three consecutive quarters of contraction, aided by lower other expenses as % of revenue.
- Full-year PAT rose 45% YoY to ₹157 Cr; EBITDA (before exceptionals) improved despite input cost headwinds.
- Net cash position strengthened to ₹594 Cr (borrowings ₹55 Cr), from ₹546 Cr a year ago.
- Capex doubled to ₹88 Cr in FY26 (from ₹42 Cr), indicating confidence in demand and capacity expansion.
- Recommended dividend of ₹7.50/share (face value ₹1), implying a yield of ~1.2%.
Key concerns
- Gross margin contracted 490bps YoY to 44.5% in Q4FY26 — raw material cost % of revenue rose sharply, affecting profitability.
- Sequential revenue declined 9% QoQ from Q3's ₹801 Cr, reflecting seasonal post-festival slowdown.
- Full-year consolidated PAT of ₹157 Cr includes ₹27 Cr in net exceptional charges (VRS ₹10 Cr, labour-code ₹17 Cr); underlying operational PAT was lower.
- Standalone FY26 other expenses surged ₹53 Cr (82.65 vs 29.81) for 'business excellence' initiatives — payback uncertain.
- UK subsidiary remains under FX translation pressure (₹21 Cr OCI loss in FY26) and goodwill impairment risk persists.
Research and educational content only. Not investment advice.