Inflame Appliances FY26: Sales Cross ₹150 Cr for the First Time, and Q4 Arrives With a Cold Front
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1 — At a Glance
Inflame Appliances closed FY26 with sales of ₹151.97 crore, the first time the top line has carried a “1-5” in front of it. Revenue grew about 43% over FY25’s ₹106.18 crore, and net profit moved from ₹3.13 crore to ₹5.80 crore. EPS landed at ₹7.74. On the surface, a manufacturer of kitchen chimneys finally getting the scale it has chased since 2018.
Underneath sits a tension worth holding in view. Raw-material cost ran ₹110.54 crore against ₹151.97 crore of sales — roughly 73 paise of every rupee gone before a single other expense. Borrowings climbed to ₹52.54 crore against a net worth of ₹61.82 crore. And the fourth quarter, by management’s own account, came in soft. A company growing its revenue at 43% while its costs and its debt grow alongside it is a specific kind of story: expansion that hasn’t yet decided whether it funds itself.
The market prices Inflame at about 29x earnings against an industry set that sits nearer 36x. Whether the gap is the market noticing the margins or noticing the debt is the thread the rest of this entry follows.
2 — Introduction
Inflame Appliances was incorporated in 2017, though its working life started earlier making gas stoves and parts. It sits in an unglamorous corner of consumer durables: it doesn’t sell to you. It makes electrical chimneys and sheet-metal kitchen components for brands — Hindware, Sunflame, Kaff, Havells, Flipkart — who put their own names on the boxes. The OEM/ODM model means Inflame lives or dies on being cheaper and more reliable than a Chinese importer, not on being loved by a shopper.
FY26 was a year of movement at the desk as much as on the shop floor. The record shows three senior exits: Amit Kaushik resigned as CFO in September 2025, Company Secretary Zalak Shah left effective January 2026, and Whole-time Director Ashwani Kumar Goel resigned in April 2026 — on which day Amit Kaushik was brought back as Additional Director and CEO. The board approved the FY26 audited results on May 28, 2026, with an unmodified audit opinion from Gandhi Minocha & Co.
Alongside the personnel churn, the company announced a Panchkula capacity expansion and incorporated a 34%-owned associate, Tricoree Machmatrix, aimed at electronics and embedded systems. The strategy is stated plainly across its filings: pull more of the chimney — motors, electronics, glass — inside its own walls and out of China’s supply chain.
3 — Business Model: WTF Do They Even Do?
Picture a chimney over an Indian stove. The hood, the motor, the glass, the switch. Now picture that roughly 90–95% of Inflame’s revenue is that one object, made for someone else’s brand. Inflame is, by its own description, one of India’s largest outsourced manufacturers of kitchen range hoods — the ghostwriter of the Indian kitchen chimney.
The remaining 5–10% is hobs, cooktops, and gas stoves. The pitch to brands is import substitution: about 1.6 million chimneys a year were historically imported, and Inflame’s proposition is that a factory in Panchkula with a 45,000 sq ft footprint (plus 18,000 under construction) and a second plant in Hyderabad can do it in India, faster, without the freight bill or the customs friction. It claims roughly 90% of its production process is in-house — glass toughening, CNC cutting, powder coating — which is the whole moat: the more of the chimney it builds itself, the harder it is to undercut.
The expansion story wants to be more than chimneys. Management has lined up built-in ovens, dishwashers, wine coolers, and built-in refrigerators as the next categories, with average selling prices management pegs far above a chimney’s. The logic is honest arithmetic: you cannot reach ₹400-crore-plus revenue selling only hoods. Whether the built-in refrigerator becomes a real line or a slide remains, for now, a slide — the FY26 revenue came from chimneys, and management says as much.
There is a genuine question in the model. A one-stop OEM that carries the tooling, the inventory, and the R&D for its customers is indispensable right up until a customer decides to bring it in-house. Does 90% in-house manufacturing build a moat, or just a very expensive fixed-cost base waiting for volume to justify it?
