At a Glance
Electronics Mart (EMIL) just reported Q1 FY26 with revenue at ₹1,739 Cr (down 9.7% YoY) and PAT ₹22 Cr (down 65% YoY). Blame a warehouse fire costing ₹81.7 Mn. EPS shrank to ₹0.56. Stock crashed 3.8% to ₹120, already 52% below its 52-week high. Despite expansion moves, profit growth is fried harder than their display TVs.
Introduction
Electronics Mart, the fourth-largest consumer electronics retailer in India, is in a rough spot. They sell everything from refrigerators to mobile phones, but Q1 FY26 results suggest the company is chilling in the freezer section. Fire losses, margin compression, and slow growth mean investors must decide if this is a clearance sale or a long-term hold.
Business Model (WTF Do They Even Do?)
- Multi-brand Retailer: Operates 6,000+ SKUs across 70+ brands.
- Key Segments: Large appliances, mobiles, IT, small appliances.
- Geographic Strength: Dominant in Telangana and Andhra Pradesh.
- Revenue Drivers: Physical stores + Bajaj Electronics brand + new store expansion.
Essentially, they are the Reliance Digital of the South but without Mukesh Bhai’s cheque book.
Financials Overview
Q1 FY26 Numbers
- Revenue: ₹1,739 Cr (↓9.7% YoY)
- Operating Profit: ₹110 Cr (OPM 6%)
- Net Profit: ₹22 Cr (↓65% YoY)
- EPS: ₹0.56
TTM
- Revenue: ₹6,675 Cr
- PAT: ₹104 Cr
- Book Value: ₹39.8 → P/B 3.0
Commentary: Sales slipped, margins stayed wafer-thin, and PAT took a beating.
Valuation
