Bajaj Electricals Q4 Review - Heavy Discounting In Kitchen Appliances Impacts Performance: Yes Securities

"NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Yes Securities Report.Bajaj Electricals Ltd.'s consumer products business registered revenue decline of 8% as kitchen appliances and GT (contributing 62% to revenue) has seen de-growth on muted demand and high discounting. Fans and Morphy Richards have seen single digit growth with premium fans growing faster than the economy fans. Margins were impacted on account of lower gross margins which was marred by high discounting in the muted environment. Bajaj Electricals had higher impact discounting as they had to clear old models by providing higher discounts as they have been aggressive in launching new models. Lighting revenue decline was on account of LED price erosion in consumer lighting and higher base effect in professional lighting. Company expects Appliances to recover closer to festive season and margins would follow post that. We have lowered our revenue estimates on increased competition and muted demand environment. We continue to maintain our Neutral rating on the stock with target price of Rs 1,009 valuing the stock at 38 times. Although the lead indicator that drives the consumption has been trending positive in Q4, we would however wait for the confirmation before we become constructive on the stock..Click on the attachment to read the full report:.Bajaj Electricals Q4 Results Review - Sequential Recovery Expected In Q1 FY25: Systematix.DISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner."

Bajaj Electricals Q4 Review - Heavy Discounting In Kitchen Appliances Impacts Performance: Yes Securities

Demand has been alluding and now company believes appliances will start growing from the festive season, till then Fans, coolers and water heaters will be growth drivers.

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Bajaj Electricals Q4 Review - Heavy Discounting In Kitchen Appliances Impacts Performance: Yes Securities

Demand has been alluding and now company believes appliances will start growing from the festive season, till then Fans, coolers and water heaters will be growth drivers.

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