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    Singer India Q1 FY27 earnings call

    SINGERIND
    Consumer Durables·13 Aug 2026
    Management Summary

    Singer India Limited reported a strong Q1 FY27 with revenue up 57% to ₹144.5 crores and significant profit growth, driven by robust performance in the Sewing Machine segment. Despite commodity price challenges and a lower Appliances segment result due to EPR costs and investments, the company is making strategic progress in manufacturing, regulatory compliance, and E-commerce expansion. Management aims for Appliances segment EBIT breakeven by next year and is ramping up production at its new Bhiwadi factory.

    Highlights

    5

    • Revenue grew by 57% to ₹144.5 crores, demonstrating strong growth momentum.

    • PBT increased by 225% to ₹4 crores, and EBITDA grew by 330% to ₹5.5 crores.

    • The Sewing Machine category achieved robust growth of 74% in Q1, with Zigzag Machines growing over 20% and E-commerce business over 55%.

    • Appliances Business showed revenue growth of 15%, driven by trade expansion, E-commerce, and the Fans business (up 61%).

    • Singer is compliant with the new BIS standard for ZigZag machines and is the only company manufacturing these machines as per new standards in India.

    Concerns

    3

    • Steep increase in commodity prices, labor shortage, and price volatility posed sourcing challenges during the quarter.

    • Appliances segment result was lower by approximately ₹0.74 crores compared to last year Q1, primarily due to the impact of EPR (₹1.2 crores) and investments in market expansion.

    • Q1 for Industrial Sewing Machine sales was 'fairly damp' due to a steep price correction, though management is hopeful for high growth in the coming period.

    Key financials

    Single quarter

    04 metrics
    1. 01Revenue₹144.5 Cr+57.0%YoY
    2. 02PBT₹4 Cr+2.3%YoY
    3. 03EBITDA₹5.5 Cr+3.3%YoY
    4. 04Appliances Segment Result (YoY Change)₹-0.74 Cr

    Segment breakdown

    Sewing Machine
    74% Revenue Growth25% Trade Channel Growth20% Zigzag Machines Growth55.0% E-commerce Growth
    Appliances Business
    15% Revenue Growth61% Fans Business Growth
    List

    Order Book

    medium confidence

    Total Value

    ₹ 202 crores

    as of 2026-06-30

    quantified

    Execution

    aim to complete by end of the quarter (Q2 FY27)

    Pipeline

    other

    Potential for Kendriya Bhandar contract value to increase by ₹50 crores or a new tender offer of ₹300 crores.

    "Management aims to complete the pending Kendriya Bhandar order by the end of the current quarter but refrains from disclosing specific numbers for competitive reasons."

    Source:
    Q&A

    Capital allocation

    2
    high confidence
    CategoryHeadline
    Capex

    ₹100 crores

    Liquidity

    Cash ₹58 crores

    Closing quarter cash balance was ₹58 crores. Surplus cash balance of ₹100+ crores as of March 31, 2026, is available for factory investment over the next 2-3 years.

    Guidance & targets

    4
    CategoryTargetPriority
    Profitability
    Appliances Segment EBIT Breakeven
    Breakeven
    		Medium
    Order Execution
    Kendriya Bhandar Order Completion
    Complete
    		High
    Capacity
    Bhiwadi Factory Production Capacity (Initial Phase)
    10,000 plus per month
    		High
    Manufacturing
    Bhiwadi Factory Pilot Production
    Commence
    		High

    What to watch in Q2 FY27

    5

    Appliances Segment EBIT Breakeven Progress

    next quarter
    CurrentLower segment result by ₹0.74 crores due to EPR and investments
    TargetCloser to breakeven, on track for next year

    Why it matters

    Profitability improvement in the Appliances segment is a key management goal for the next year.

    Rakesh Khanna: Our goal is to become very quickly EBIT breakeven. But I think that's going to happen next year.

    Risks & concerns

    4
    RiskSeverity

    Commodity price inflation and sourcing challenges

    Steep increase in commodity prices resulted in demand disruption, labor shortage and price volatility posed sourcing challenge. — Management acknowledged

    medium

    Impact of EPR and investments on Appliances segment profitability

    Appliances segment result lower by approximately Rs. 74 lakhs compared to last year Q1, mainly due to the impact of EPR and our investment in strengthening organization for market expansion and fan business. — Management acknowledged

    medium

    Damp demand for Industrial Sewing Machines due to price correction

    Q1 has been fairly damp because of a very steep price correction that we had to take for Industrial Sewing Machines. — Management acknowledged

    medium

    Dependence on high-cost channels like modern trade

    We are cautiously working to reduce our dependence on high-cost channels, such as modern trade. — Management acknowledged

    low

    Q&A highlights

    8

    “I'm happy to say that a Singer is already compliant with the new standard and we are already now manufacturing the ZigZag machines as per the new standards. And we are the only Company who are manufacturing these machines as per new standards in India. You're right, it is from 12th of this month, the concurrence has stopped. And therefore, to the best of my knowledge, no more NOCs will be made available, and no more imports will be done.”

    Clarifies the regulatory landscape for sewing machines, highlighting Singer's first-mover advantage and compliance, which could restrict competition from imports.

    asked by Ashok Jain

    2 min read6 chapters

    Detailed Narrative

    01

    Q1 FY27 Financial Performance Overview

    Singer India Limited reported a strong Q1 FY27, with revenue growing by 57% to ₹144.5 crores. Profit Before Tax (PBT) saw a significant increase of 225% to ₹4 crores, and EBITDA surged by 330% to ₹5.5 crores. This performance indicates a sustained strong growth momentum despite challenging market conditions. The company's consistent efforts in product innovation, dealer engagement, and service improvements contributed to this growth.

    02

    Sewing Machine Business Drives Growth

    The Sewing Machine category was a key driver of growth, recording a robust 74% increase in Q1. The trade channel for sewing machines grew over 25%, while Zigzag Machines, a focus area, continued strong performance with more than 20% growth. The E-commerce business for sewing machines also performed strongly, delivering over 55% growth. Singer has introduced new Made in India Zigzag Machines from its Jammu factory, which have been well-received by trade and customers.

    03

    Appliances Segment Performance and Strategy

    The Appliances Business experienced a 15% revenue growth in Q1, primarily driven by trade expansion, E-commerce channels, and a 61% growth in the Fans business. However, the segment's result was lower by approximately ₹0.74 crores compared to Q1 last year, mainly due to a ₹1.2 crore impact from Extended Producer Responsibility (EPR) costs and investments in organizational strengthening. Management aims to achieve EBIT level breakeven for the Appliances segment by next year, focusing on new product ranges and E-commerce.

    04

    New Factory and Manufacturing Capabilities

    The company's new factory in Bhiwadi, Rajasthan, is progressing well, with pilot production planned for the second half of the year. This facility will primarily manufacture ZigZag machines, Industrial Sewing Machines, and select consumer appliances. The factory is designed to be asset-light, focusing on building skill at level one before investing in components and Industrial Sewing Machines. The initial production capacity is targeted at over 10,000 units per month.

    05

    Regulatory Compliance and Market Dynamics

    Singer India is fully compliant with the revised regulatory standard IS 15449 for sewing machines and is currently the only company manufacturing ZigZag machines as per these new standards in India. As of August 12, 2026, imports of non-compliant machines have stopped, which is expected to provide a significant competitive advantage. The company strategically built up inventory of ZigZag machines during the transition period to de-risk supply during the learning curve of domestic manufacturing.

    06

    Capital Allocation and Liquidity

    As of March 31, 2026, Singer India had a surplus cash balance of over ₹100 crores, with the closing quarter cash number at ₹58 crores. Approximately ₹32 crores were deployed in Q1 for strategic inventory build-up, including ₹14.3 crores in advances for ZigZag machine imports and ₹4 crores for Industrial Sewing Machine imports. The company plans to utilize ₹100+ crores over the next two to three years for the new Bhiwadi factory, adopting a phased investment approach. Management is also open to inorganic growth opportunities if they align with strategic goals.

    This is an AI-generated summary of a publicly available earnings call transcript.