TTK Prestige lifts margin, but other income props up Q1 profit
Revenue growth outpaced costs sequentially, while a lower tax rate and higher other income drove much of the sharper profit increase.
Filed 28 Jul 2026, 12:57 IST · TTK Prestige Ltd (TTKPRESTIG)
Key takeaways
- Consolidated revenue rose 11.61% QoQ to Rs 813.85 cr, while expenses grew 10.57%, lifting operating margin by 0.85 percentage points.
- Net profit increased 63.44% QoQ to Rs 58.97 cr, helped by a 9.30-percentage-point fall in the tax rate and other income equal to 30.21% of pre-tax profit.
- Operating margin at 10.03% was 4.51 percentage points below the 14.54% median of 24 reported Consumer Discretionary peers.
Price around the results
Revenue momentum improved sequentially
Consolidated revenue increased 11.61% QoQ, and operating profit grew 21.95%, indicating operating leverage as expenses rose more slowly than sales. Management said demand for induction cooktops, electrical appliances, induction-based pressure cookers and value-added kitchenware supported growth across channels and regions. It added that e-commerce led channel growth, followed by trade, modern-format stores and exclusive stores.
Margin expanded, but cost pressures remain
Management said commodity and logistics costs, including disruption linked to the Middle East crisis, pressured margins, while commodity inflation across major raw materials persisted. The company also said it is pursuing business-excellence measures and supply-chain efficiencies to deliver sustainable cost savings.
Profit growth benefited from tax and other income
Net profit rose 63.44% QoQ, faster than pre-tax profit growth of 42.64%, as the tax rate fell 9.30 percentage points to 26.92%. Other income accounted for 30.21% of pre-tax profit, so the quarter's earnings growth was not driven only by operations. Interest expense also increased 52.12% sequentially, partly offsetting the operating-profit improvement.
Margin remains below the reported peer median
TTK Prestige's 10.03% operating margin was 4.51 percentage points below the 14.54% median for 24 Consumer Discretionary peers that had reported the quarter. It ranked ninth from the bottom among that reported peer set. With only Q4FY26 in the supplied trend, the sequential margin increase of 0.85 percentage points is the visible direction rather than a multi-quarter trend.
Management sees modest near-term growth and continued initiatives
Management said growth for the rest of FY27 is expected to remain modest and that Q2 wholesale volumes are likely to be flat to slightly higher than expected. It said strategic transformation is intended to support continued growth while maintaining margin stability, and that it remains confident about business momentum and consistent performance during FY27. The company introduced 26 new SKUs in Q1 and said it plans around 40 more across categories in Q2 FY27.
Q1FY27 at a glance
Consolidated figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q1FY27 | Q4FY26 | QoQ |
|---|---|---|---|
| Revenue | ₹814 cr | ₹729 cr | +11.61% |
| Other income | ₹24 cr | ₹16 cr | +56.18% |
| Expenses | ₹732 cr | ₹662 cr | +10.57% |
| Operating profit | ₹82 cr | ₹67 cr | +21.95% |
| Operating margin (%) | 10.03% | 9.18% | — |
| Interest | ₹4 cr | ₹3 cr | +52.12% |
| Depreciation | ₹21 cr | ₹23 cr | -8.59% |
| Profit before tax | ₹81 cr | ₹57 cr | +42.64% |
| Tax | ₹22 cr | ₹20 cr | +6.00% |
| Net profit | ₹59 cr | ₹36 cr | +63.44% |
| EPS (₹) | ₹4.33 | ₹2.69 | +60.97% |
Operating margin of 10.03% compares with a Consumer Discretionary sector median of 14.54% across 24 peers that have reported Q1FY27.
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 company saw consistent growth across channels and regions, led by demand for induction and value-added kitchenware products.
- E-commerce led channel growth, followed by trade, modern-format stores and exclusive stores.
Guidance & outlook
- Horwood expects modest growth for the rest of 2026-27.
- Horwood expects Q2 wholesale volumes to be flat to slightly higher than expected.
- The company expects its strategic transformation to support continued growth while maintaining margin stability.
- Management is confident of sustaining momentum and consistent performance during FY26-27.
Expansion
- The company continued funding capital expenditure while maintaining over ₹870 crore of free cash and liquid investments.
New products
- The company introduced 26 new SKUs across categories during the quarter.
- The company plans to introduce around 40 new SKUs across categories in Q2 FY27.
New initiatives
- The company is pursuing business-excellence efforts to achieve sustainable cost savings.
- The company’s strategic initiatives focus on sustainable manufacturing and supply-chain efficiencies.
- Ultrafresh is investing in talent, infrastructure and systems to strengthen future growth capabilities.
- Ultrafresh is implementing cost-efficiency initiatives and operational improvements to enhance EBITDA margins.
Competition
- The company said its strategic initiatives stabilised market share across channels and categories.
Problems & risks
- Higher commodity and logistics costs caused margin pressure during the quarter, driven by Middle East crisis disruptions.
- The export business faced freight, transit-time and order-execution challenges due to disruptions on key global shipping routes.
- Competitive intensity remained high in the value segment, with competitors using aggressive pricing.
- Commodity-cost inflation across major raw materials continued to pressure margins.
What to watch
- Whether operating margin holds above the Q1FY27 level of 10.03%.
- Whether other income remains a material contributor after accounting for 30.21% of pre-tax profit in Q1FY27.
- Execution of management's plan for around 40 new SKUs in Q2 FY27, after 26 launches in Q1.