Key highlights

• The net sales for quarter grew by 10% to Rs 430.34 crore. The company came back to double digit growth. The growth was led by appliance. .The net profit has inclined by 21% to Rs 34.04 crore.

• Domestic Sales Grew by 10.2% to Rs 422 crore. Export dropped from Rs 25.5 crore to Rs 16.3 crore.

• For Q2, the cooker segment sales grew by 10% to Rs 160 crore, the cookware segment sales grew by 3% to Rs 76crore, appliances segment grew by 16% to Rs 180 crore while microwave cookers de-grew by 67% to Rs 1 crore and others by 7% to Rs 13 crore

• Diwali this year is delayed, so Q2 is strictly no comparable. Deficient in monsoon continues to plague in many parts of the country, especially non-urban markets.

• South and non-south both grew. South grew by 6% and non –south by 16%.

• In Cooker, volume and value both grew.

• Induction cook-top inventory is stable in market. The company's induction cooktop sales this year will be more. In Induction cook-top, other brands have slow down.

• In Induction cook top, consumer prefer now lower price model and the company is offering lower price model now. Volume grown very nicely in induction cook-top.

• Mixer grinder has also grown.

• The company has taken 4% price hike taken during this year, it was in pressure cooker and cookware.

• As cook-tops and cookware sales grow, gross margin will grow. This Q2, sales was more from appliance, so gross margin not grown so much

• Margin growth was due to raw material advantage, combination of product (higher realization products) and better capacity utilization.

• PSK sales growth was good, it continue to grow and it was same proportion to overall sales growth. The count of Prestige Smart Kitchen (PSK) stores was 559 across 303 towns at the end of September 2015

• CSD sales is 4% of total domestic sales.

• Traditional trade contribution came down due to growth in non-traditional channel. But it still dominates the sales.

• E-tailing growth - fastest growing channel on small base

• 2 – 3% of total sales is from e-commerce.

• Little more than 100 SKUs products will be launch for FY16, with more than 75 already in market.

• The company has introduced new models in test market, which it will be roll out in 3-6 months. For example, Clip on cooker which is launched on a pilot phase in Bangalore is expected to be expanded in six months while Roti maker will be launched pan India before Diwali

• In water purifier, the company is building slew of products. It is serious about this category and will come will new innovative products.

• With a view to tap rural markets, the company has introduced LED Lanterns, which mgmt believes will be a good product to penetrate into rural areas.

• Current liabilities have increased as the company has to stock up for festive season.

• Q3 and Q4 will do double digit growth and profit growth 20%.

• The mgmt expects export to grow in H2.

• The company is looking at acquiring brand in Europe. If acquisition doesn't take place, it will give out dividend.