Eureka Forbes delivered a strong performance in Q4 FY26, with revenue growing 11.6% year-on-year to INR 684 crores. This growth was driven by double-digit gains in the water purifier business and emerging categories. Despite input cost inflation, the company achieved its highest-ever adjusted EBITDA margin of 13.2%. The company remains focused on its transformation strategy, investing in new growth vectors while strengthening its balance sheet to a net cash surplus of INR 443 crores.
Financial Highlights for FY26
For the full FY26, Eureka Forbes reported revenue of INR 2,710 crores, marking an 11.3% year-on-year increase and its second consecutive year of double-digit growth. Profitability also saw significant expansion, with adjusted EBITDA reaching INR 332 crores, a 12.2% margin, representing a 55 basis point improvement over the previous year. The company successfully transitioned from a net debt of INR 193 crores in June 2022 to a net cash surplus of INR 443 crores.
Strategic Growth in Emerging Categories
The company is successfully evolving into a multi-category health and hygiene provider. Robotics continues to be a key engine of growth, now contributing over 65-66% of the vacuum cleaner category revenue. Air purifiers experienced significant momentum, growing 2.7x in FY26. Furthermore, water softeners sustained strong double-digit growth. Management highlighted that these emerging segments represent a long-term growth runway over the next 3 to 5 years.
Service Business and Operational Outlook
The service business has shown resilience, with AMC bookings growing in double digits for the fourth consecutive quarter in FY26. To adapt to modern consumer expectations, the company has implemented a 2-hour service slot promise and is piloting a 4-hour turnaround model for service requests. Management also noted that a 6-7% calibrated price increase, implemented in April, has been well-received by the market, helping to mitigate inflationary pressures.
Future Focus
Looking ahead to FY27, the company remains committed to its long-term goals for FY30. The focus remains on accelerating volume-led growth while maintaining disciplined cost management. Despite an uncertain macro environment and input cost inflation, management aims to hold margins by leveraging operational efficiencies and continuing strategic investments in category expansion and consumer awareness.
Source: BSE
