Stove Kraft Q3 profit slumps 67% as weak consumer demand hits sales

Stove Kraft reported a sharp year-on-year decline in profitability for the December quarter as muted demand in the consumer durables segment weighed on performance. The company’s net profit fell 66.6% to ₹4 crore, while revenue declined 6.4% to ₹378.3 crore compared with the year-ago period.

EBITDA slipped 15% to ₹34.2 crore and operating margin narrowed to 9% from 10% a year earlier.

The company said pressure cookers and small appliances together contributed around 30% of quarterly revenue. During the quarter, Stove Kraft added 17 new stores, taking its total retail footprint to 313 outlets across 21 states and 138 cities.

The company also incurred one-time expenses of ₹1.24 crore towards gratuity provision and leave encashment due to the new labour code, and ₹1.90 crore on account of forex loss.

Commenting on the performance, Managing Director Rajendra Gandhi said the company delivered a resilient quarter despite a challenging environment, supported by execution and operational efficiency. Revenue for 9MFY26 stood at ₹1,192.9 crore, up 4.9% year-on-year, with gross margins improving to 38.8%. The flagship Pigeon brand recorded 9.7% CAGR YTD growth, while working capital days were reduced to 43.

Stove Kraft reiterated that it remains on track to achieve its target of 500 standalone Exclusive Pigeon Stores by CY2027, continuing expansion through a mix of COCO and COFO models.

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