Orient Electric Limited, a part of the CK Birla Group, posted a solid 11.9 per cent increase in net profit, reaching ₹27.2 crore in the third quarter that ended on December 31, 2024. This growth was primarily fueled by strong sales performance and enhanced operational efficiency. The company’s revenue from operations also saw a healthy uptick, increasing by 8.6 per cent year-on-year to ₹817 crore from ₹752 crore in the corresponding quarter of the previous year.
On the stock market front, Orient Electric Limited’s shares closed at ₹219.45, marking a decline of ₹2.74 or 1.23 per cent on the NSE today.
The manufacturer of consumer electrical products witnessed a significant surge in its operating profit (EBITDA), which rose by 25 per cent to ₹61.2 crore. Margins improved by 98 basis points to reach 7.5 per cent, with gross margin expanding by 184 basis points. This margin expansion was attributed to better cost management, a focus on premium products, and an improved product mix.
In terms of business segments, the lighting and switchgear unit of the company recorded a 12 per cent growth, while the Electrical Consumer Durables (ECD) segment witnessed a growth of 7.3 per cent. Orient Electric’s Managing Director and CEO, Ravindra Singh Negi, credited the positive performance to the company’s focused execution strategy and improved operating leverage.
For the cumulative nine months ending in December 2024, Orient Electric reported a revenue increase of 10.2 per cent, amounting to ₹2,231.8 crore. However, the company’s normalized Profit After Tax (PAT) for this period grew by 10.2 per cent year-on-year, after adjusting for a one-time gain from land sale in the previous year.
Overall, Orient Electric Limited’s strong financial performance in the third quarter underscores its commitment to growth through strategic execution and operational efficiency.