1. At a Glance
TTK Prestige just cooked up a lukewarm Q1 FY26: Revenue ₹609 Cr (-3% YoY), Net Profit ₹35 Cr (down 37% YoY, thanks to a ₹32 Cr impairment). Stock sits at ₹639 with a sky-high P/E of 60. The brand remains iconic, but financials say it’s simmering, not sizzling.
2. Introduction
Remember the pressure cooker whistle from your childhood? That’s TTK Prestige – a brand every Indian kitchen knows. But now, instead of whistling profits, the company is blowing off steam with weak margins and declining growth.
3. Business Model – WTF Do They Even Do?
- Pressure Cookers – The OG cash cow.
- Cookware & Gas Stoves – Pots, pans, and burners.
- Small Appliances – Induction cooktops, rice cookers.
- Water Purifiers – Trying to diversify.
They sell “kitchen happiness” but investors need better seasoning.
4. Financials Overview
- Q1 FY26 Revenue: ₹609 Cr (-3% YoY)
- EBITDA: ₹40 Cr (OPM just 7%)
- Net Profit: ₹35 Cr (vs ₹58 Cr YoY)
- Margins: Dropped like burnt toast.
Verdict: Impairment or not, margins need CPR.
5. Valuation – What’s This Stock Worth?
- Current P/E: 60x
- Fair Value Range (P/E 35–45x): ₹450 – ₹550
- Market Reality: Overpriced for a company with falling profits.
6. What-If Scenarios
- Bull Case: Strong festive demand & exports → ₹700.
- Bear Case: Continued margin squeeze → ₹500.
- Base Case: ₹550–₹600 unless growth revives.
7. What’s Cooking (SWOT Analysis)
Strengths: Iconic brand, strong distribution, high dividend payout.
Weakness: Low ROE (7%), high P/E, poor growth.
Opportunities: Premium cookware, exports, alliances.
Threats: Rising raw material costs, competitors like Hawkins, Wonderchef.
8. Balance Sheet 💰
| Particulars (Mar’25) | Amount (₹ Cr) |
|---|---|
| Equity Capital | 14 |
| Reserves | 1,865 |
| Borrowings | 180 |
| Total Liabilities | 2,526 |
| Total Assets | 2,526 |
| Comment: Healthy balance sheet, but reserves can’t cover weak performance forever. |
9. Cash Flow (FY23–FY25)
| Year | CFO (₹ Cr) | CFI (₹ Cr) | CFF (₹ Cr) |
|---|---|---|---|
| FY23 | 199 | -157 | -67 |
| FY24 | 289 | -185 | -104 |
| FY25 | 157 | 204 | -362 |
| Cash flows are inconsistent – FY25 financing outflow spiked due to dividend & buybacks. |
10. Ratios – Sexy or Stressy?
| Metric | Value |
|---|---|
| ROE | 7.2% |
| ROCE | 11.6% |
| D/E | 0.1 |
| PAT Margin | 4.3% |
| P/E | 60.1 |
| Punchline: Ratios scream “overcooked.” |
11. P&L Breakdown – Show Me the Money
| Year | Revenue (₹ Cr) | EBITDA (₹ Cr) | PAT (₹ Cr) |
|---|---|---|---|
| FY23 | 2,777 | 361 | 253 |
| FY24 | 2,678 | 305 | 225 |
| FY25 | 2,715 | 259 | 108 |
| Steady decline – investors are losing their appetite. |
12. Peer Comparison
| Company | Rev (₹ Cr) | PAT (₹ Cr) | P/E |
|---|---|---|---|
| Voltas | 15,413 | 823 | 53 |
| Blue Star | 11,968 | 585 | 61 |
| TTK Prestige | 2,736 | 93 | 60 |
| Peers are expensive too, but at least they have growth to justify it. |
13. EduInvesting Verdict™
TTK Prestige is still a household name, but as an investment, it’s like a pressure cooker without water – risky to heat. Solid brand, shaky numbers, and an overpriced tag.
Written by EduInvesting Team | 28 July 2025
Tags: TTK Prestige, Kitchen Appliances, Q1 FY26 Results, EduInvesting Premium
