Transcript - Q2 Earnings Call

24th October, 2026 The National Stock Exchange of India Limited BSE Limited Exchange Plaza, 5th Floor Phiroze Jeejeebhoy Towers Plot No. C/1, G Block Dalal Street Bandra Kurla Complex Mumbai- 400 001 Bandra (E) Mumbai- 400 051 Scrip Code : 517354 NSE Symbol : HAVELLS Sub: Transcript of Earnings Call with respect to Financial Results for the second quarter and half year ended 30th September, 2026 Dear Sir, This is with reference to the Company intimation dated 16th October, 2026 filed with the stock exchanges in terms of Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 regarding the conference call to discuss the financial results for the second quarter and half year ended 30th September, 2026 scheduled for 22nd October, 2026 at 4:15 pm (IST). Further to the audio recording filed with the stock exchanges already, we are enclosing the Transcript of the Earnings Call. The same is also available on the website of the Company under Financials in the Investors section. This is for your information and records. Thanking you. Yours faithfully, for Havells India Limited (Sanjay Kumar Gupta) Company Secretary Encl: As above Havells India Limited Q2 FY27 Earnings Conference Call October 22, 2026 MANAGEMENT: MR. ANIL RAI GUPTA – CHAIRMAN AND MANAGING DIRECTOR – HAVELLS INDIA LIMITED MR. RAJESH KUMAR GUPTA – WHOLE-TIME DIRECTOR AND GROUP CFO – HAVELLS INDIA LIMITED MR. AMEET KUMAR GUPTA – WHOLE-TIME DIRECTOR – HAVELLS INDIA LIMITED MR. RAJIV GOEL – EXECUTIVE DIRECTOR – HAVELLS INDIA LIMITED MODERATOR: MR. TANAY SHAH – DAM CAPITAL ADVISORS LIMITED Page 1 of 16 Havells India Limited October 22, 2026 Moderator: Ladies and gentlemen, good day, and welcome to Havells India Limited Q2 FY27 Earnings Conference Call, hosted by DAM Capital Advisors Limited. As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star, then zero on your touch-tone phone. Please note, this conference is being recorded. I now hand the conference over to Mr. Tanay Shah from DAM Capital Advisors Limited. Thank you, and over to you, sir. Tanay Shah: Thank you, Nazneen. Good afternoon, everyone, and welcome to Havells 2Q '27 Earnings Conference Call. Today, we have the management with us, being represented by Mr. Anil Rai Gupta, Chairman and Managing Director; Mr. Rajesh Kumar Gupta, Whole-Time Director and Group CFO; Mr. Ameet Kumar Gupta, Whole-Time Director; and Mr. Rajiv Goel, Executive Director. At this point, I will hand over the floor to Mr. Anil sir for his initial remarks, post which, we'll open up the floor for Q&A. Thank you, and over to you, sir. Anil Rai Gupta: Thank you, Tanay. Good evening, and thank you for attending the call today. Hope you would have reviewed the results by now. We delivered a strong performance in the second quarter, with revenue growing 35% year-on- year. During the quarter, each of our categories grew, with healthy contributions from both our established categories, including cables and switchgear, as well as the emerging renewables category. Encouragingly, the consumer demand remains steady despite the inflationary environment. During the quarter, we also undertook calibrated pricing actions in response to the sharp rise in raw material costs witnessed over the past several months. Contribution margins were softer year-on-year, primarily due to cables, where a decline in aluminium prices during the quarter impacted margins, particularly against a strong base last year. For H1, cables contribution margins were approximately 15%, broadly in line with the long-term average. In the rest of the portfolio, margins held up well, supported by pricing actions that helped offset raw material inflation. Lloyd also delivered healthy revenue growth, supported by both volume and value growth. Margins, however, remained subdued with raw material inflation, as well as seasonal under- absorption during the off-season. At an overall level, operating leverage supported healthy EBITDA growth of approximately 30%. PBT growth was relatively moderate, primarily due to the higher base arising from a one- time gain in other income in the corresponding period last year. Looking ahead, while macroeconomic uncertainties persist and commodity prices remain elevated, we enter the festive season with a positive outlook on both demand and margins. With Page 2 of 16 Havells India Limited October 22, 2026 that, I would like to wish all of you and your families a very happy festive season, and we can now open the call for questions. Moderator: Thank you very much. We will now begin the question-and-answer session. The first question is from the line of Natasha Jain from PhillipCapital. Please go ahead. Natasha Jain: Thank you for the opportunity. Sir, my first question is on switchgear segment. The growth has been quite strong. Could you break it down in terms of what is the spillover impact of quarter one order here and how much pricing growth we have taken here? Anil Rai Gupta: So, you know, there is not much of quarter one, I would say, spillover because, as you would realize, that our major business comes from residential switchgear, which is not really order input-based in terms of long-term orders. This is primarily a lot of B2C sales through the channel network. We do believe that, overall, there is a very good, positive growth over the first 6 months. There is a bit of a higher impact in the second quarter because first quarter growth was muted because of some pricing actions that were taken due to sharp raw material price increases in the first quarter. But I think the markets have settled down now with the price increases, and so second quarter is a regular demand which has come from the market. And I think, overall, volume growth has also been healthy, closer to double digits, because switchgear value growth is not the same as cables wires, so switchgear volume growth has also been healthy. Natasha Jain: Understood, sir. And in terms of margins, if I see last year, last quarter, and this quarter, variation is quite high. Any changes in terms of a long-term or medium-term guidance here for switchgear margins? Anil Rai Gupta: I think switchgear margins are actually coming back to normalized levels, which always used to remain between 38% and 40%. We had seen some reduction in the last year due to sharp raw material volatility, but as we had maintained that we will be taking pricing actions as the markets stabilize. So, that has now started coming to our 38% - 39% contribution margins. I mean, having said that, we do see, raw material challenges even in the second quarter, for which certain more actions are being taken in the third quarter as well. Natasha Jain: Understood, sir. That's helpful. My second question is on Lloyd. Now, if I see the top-line growth, that's been quite strong. Margin while you've mentioned there has been under- absorption, so first of all, could you break down that 28% also in terms of volume and pricing? Anil Rai Gupta: I think volume in case of Lloyd is better because the pricing growth is more muted as compared to the Havells segments. But also, I had mentioned in my previous calls that we've taken some distribution actions, which are now settling down. And so, volume growth has started coming back in both Havells as well as Lloyd. But I think, more importantly, the margins are not only impacted by the under-absorption, but also the fact that due to off-season, certain cost increases have not been fully passed on to the marketplace, which will happen more as the season starts kicking in. So, I think this will start in the third quarter and will trickle into the fourth quarter as well. Page 3 of 16 Havells India Limited October 22, 2026 Natasha Jain: Understood, sir. So, what I understand is of that 28.5% top-l [Showing first 8,000 characters — download PDF for full document]