1. Opening Hook
You know it’s 2025 when a refurbished laptop company sounds more futuristic than half the AI startups out there. GNG Electronics, fresh off its listing, didn’t just talk wires and warranties—it pitched itself as the “Apple of reuse.” Between AI hype, chip shortages, and climate virtue points, the management turned a recycling story into a global growth manifesto.
They called it “refurbished intelligence.” We call it monetizing other people’s old laptops. Keep reading—because this earnings call had everything: AI evangelism, global expansion, and EBITDA with a conscience. 😎
2. At a Glance
- Revenue ₹4,399 crore –Up 41% QoQ; old laptops, new money.
- H1 Revenue ₹7,522 crore –+24% YoY; refurbishing apparently scales better than SaaS.
- Gross Margin 19.9% –From 14.5%; junk has never looked this profitable.
- EBITDA ₹467.8 crore –Margin 10.6%; slightly up, thanks to “AI-ready dust removal.”
- PAT ₹326 crore –+42% YoY; profits cleaned and polished.
- Debt Down to ₹158 crore –IPO money doing the real heavy lifting.
- Global Presence –42 countries; refurbished laptops now speak multiple languages.
3. Management’s Key Commentary
“GNG has evolved from refurbisher to technology enabler, powering an intelligent, sustainable world.”(Translation: We sell used laptops, but say it like we build spaceships.)
“AI will add $15 trillion to global GDP by 2030; we make it affordable.”(They just linked second-hand ThinkPads to global prosperity. Respect 😏)
“We refurbish AI-ready systems to enterprise-grade performance.”(A fancy way of saying: we clean, replace SSDs, and reboot Windows.)
“Electronics Bazaar is now a global brand in refurbished ICT.”(When eBay meets ESG, you get EB.)
“97% of revenue is now direct under our brand.”(Read: No middlemen. No excuses. Just warranty claims.)
“No inventory older than one year, no bad debts.”(Apparently, they move used goods faster than Flipkart moves new ones.)
“Our capacity stands at 1.2 lakh units/month globally.”(Enough laptops to power every co-working space in Gurugram.)
4. Numbers Decoded
| Metric | Q2 FY26 | YoY Growth | Comment |
|---|---|---|---|
| Revenue (₹ mn) | 4,399 | +25% | Old silicon, new shine |
| H1 Revenue (₹ mn) | 7,522 | +24% | Strong half for second-hand |
| Gross Margin | 19.9% | +540 bps | Efficiency or magic dust? |
| EBITDA Margin | 10.6% | +46 bps | Cost control still in beta |
| PAT Margin | 7.4% | +90 bps | Warranty costs in check |
| Units Sold (H1) | 3.02 lakh | +– | Mostly laptops |
| ASP (India) | ₹26.8k | +4% | Inflation even hits used goods |
| Net Debt | ₹158 cr | Down ₹230 cr | IPO to the rescue |
Operating leverage kicked in, but the hiring spree (1,500 employees now!) kept EBITDA modest. Think of it as paying more salespeople to sell your dad’s old MacBook.
5. Analyst Questions
Q:“Any inventory older than a year?”A:“None.”(Used laptops move faster than PSUs approve tenders.)
Q:“Why receivables jumped?”A:“Channel credit—no bad debts.”(Translation: Relax, we know who owes us.)
Q:“What’s warranty cost?”A:“Barely 0.1%, all in-house.”(That’s cheaper than your extended AppleCare.)
Q:“Debt still ₹158 crore?”A:“Working capital, not worry capital.”
Q:“AI everywhere—what’s your play?”A:“We make AI affordable with refurbished gear.”(AI revolution brought to you by secondhand Dell.)
6. Guidance & Outlook
Management held firm on FY26 guidance:20–25% topline growthand
