Electronics Mart India
Stock Snapshot
Price Performance
Vista Outlook
View Technicals Analysis →Basis of our Recommendation
Electronics Mart India Limited (EMIL) is strategically positioned for growth, driven by management's focus on expanding its store network and enhancing product offerings. The company plans to open 20 new stores in FY27, including a significant entry into the Kolkata market, which presents both opportunities and execution risks. Management's optimism is reflected in their target of 15% revenue growth for FY27, supported by strong demand for large appliances and improved operational efficiencies. Vista's financial outlook aligns with this growth trajectory, forecasting stable profit margins and a fair valuation, with an expected upside of approximately 0.14%. The retail sector's recovery and improving pricing power further bolster EMIL's prospects. However, potential headwinds include competitive pressures in key regions and the impact of price hikes on demand. Over the next 12-24 months, EMIL's growth will hinge on successful market entry strategies, effective inventory management, and the ability to navigate execution risks associated with rapid expansion
Why We Like This Stock
- Management's plan to open 20 new stores, including in Kolkata, enhances market presence and growth potential
- Strong demand for large appliances and improved operational efficiencies are expected to drive revenue growth
- The retail sector's recovery and improving pricing power support EMIL's financial outlook
Things To Watch Out For
- Execution risks associated with rapid store expansion could impact growth
- Competitive pressures in the Delhi NCR region may challenge market share stability
- Price hikes in key product categories could negatively affect consumer demand
Key Parameters
Financial Snapshot
| Actuals | Forecast | ||||
|---|---|---|---|---|---|
| FY24 | FY25 | FY26 | FY27 | FY28 | |
| Revenue (Cr.) | 6,285 | 6,965 | 7,183 | 8,317 | 9,177 |
| Profit Before Tax (Cr.) | 246 | 216 | 136 | 317 | 306 |
| PBT Margin | 3.9% | 3.1% | 189.6% | 3.8% | 3.3% |
| Net Profit (Cr.) | 177 | 152 | 90 | 211 | 204 |
| Earnings Per Share | 4.6 | 4.0 | 2.3 | 5.5 | 5.3 |
Analyst Recommendations
No analyst recommendations available.
Company Overview
Show Company Profile
Electronics Mart India Limited engages in the sale of consumer electronics and durable products in India. The company offers large appliances, which include televisions, washing machines, air conditioners, and refrigerators; mobiles, such as smartphones, fitness trackers, and tablets; and small appliances, IT & others, including laptops, printers, geysers, coolers, miscellaneous electronics, personal computer, cables, screen guards, headphones, bluetooth speakers, ceiling fans, personal care devices, kitchen hobs, chimneys, water purifiers, rice cookers, and mixer grinders. The company sells its products through retail stores and online platforms under the Bajaj Electronics, iQ, Kitchen Stories, Audio & Beyond, Electronics Mart, and Easy Kitchens brands. Electronics Mart India Limited was founded in 1980 and is based in Hyderabad, India.