Stove Kraft flags sharp ICT growth as Q1FY27 operating profit reaches Rs 53.75 cr
Management cited better gross margins despite cost pressures, while interest and depreciation materially reduced the conversion of operating profit into pre-tax profit.
Filed 03 Aug 2026, 15:36 IST · after market close · STOVEKRAFT (STOVEKRAFT)
Key takeaways
- Standalone operating profit of Rs 53.75 cr left profit before tax at Rs 22.48 cr after Rs 23.25 cr of depreciation and Rs 7.60 cr of interest.
- The company said gross margins expanded by 127 basis points year on year despite supply-chain challenges and elevated raw-material costs.
- ICT segment growth of +315.90% year on year and +100.30% quarter on quarter was the clearest reported business driver in Q1FY27.
Operating profit was reduced sharply before tax
Stove Kraft reported standalone operating profit of Rs 53.75 cr in Q1FY27, but profit before tax was Rs 22.48 cr. Depreciation of Rs 23.25 cr and interest of Rs 7.60 cr explain much of the gap, while other income was negative at Rs 0.43 cr and did not support earnings. Net profit was Rs 17.06 cr after a 24.12% tax rate.
Management cited margin gains despite input-cost pressure
The company said gross margins expanded by 127 basis points year on year despite ongoing supply-chain challenges and elevated raw-material costs. That points to some protection against input inflation within the reported quarter, although the available results do not provide a year-on-year operating-margin bridge. Other income was negative, so reported profit was not flattered by non-operating income.
ICT became the main disclosed growth engine
Management said the ICT segment grew 315.90% year on year and 100.30% quarter on quarter, supported by resilient demand and market conditions. The presentation also said Q1FY27 revenue was the company's highest ever and that it outperformed peers on sales growth. The company revived the Pigeon Exchange Offer through the Ex Ko Karo campaign and launched Gas to Grid to promote electric cooking, according to its presentation.
Results were filed after market close
The standalone results were filed after market close on 3 August 2026. The company said it remains positioned to sustain its improving capital-efficiency trajectory, while the immediate stock reaction is not yet part of this note.
Q1FY27 at a glance
Standalone figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q1FY27 |
|---|---|
| Revenue | ₹481 cr |
| Other income | ₹-0 cr |
| Expenses | ₹427 cr |
| Operating profit | ₹54 cr |
| Operating margin (%) | 11.18% |
| Interest | ₹8 cr |
| Depreciation | ₹23 cr |
| Profit before tax | ₹22 cr |
| Tax | ₹5 cr |
| Net profit | ₹17 cr |
| EPS (₹) | ₹5.15 |
What management said
From the company’s own investor presentation. Each point is checked against the source document before it appears here.
This quarter
- The ICT segment grew 315.9% year on year and 100.3% quarter on quarter, supported by resilient demand and market conditions.
Guidance & outlook
- The company says it is positioned to sustain its improving capital-efficiency trajectory.
New initiatives
- The company revived the Pigeon Exchange Offer through the Ex Ko Karo campaign.
- The company launched the Gas to Grid initiative to promote electric cooking and substitute traditional gas cooking cookware.
Competition
- The company reported outperforming peers in sales growth during Q1FY27.
Problems & risks
- The company faced ongoing supply-chain challenges and elevated raw-material costs.
- A sudden shortage of LPG gas cylinders caused a spike in induction-cooktop purchases.
What to watch
- Whether ICT growth remains above the reported +315.90% year-on-year rate.
- Whether operating profit continues to cover depreciation of Rs 23.25 cr and interest of Rs 7.60 cr by a wider margin.
- Whether the tax rate remains near 24.12% without adding further support to net profit.