Synopsis: A direct competitor to the recently listed LG Electronics delivered a robust performance in the September quarter. The company’s earnings surged sequentially and year-on-year, supported by better margins and operational efficiency.
A key player in India’s consumer appliances sector witnessed a sharp uptick in earnings during the September quarter. Investor sentiment turned positive as the company reported double digit revenue growth and nearly doubled its net profit.
IFB Industries Ltd, with a market capitalization of Rs. 7,753.27 crore, opened at Rs. 2,009.35 and hit an intraday high of Rs. 2,024.90 against the previous close of Rs. 1,948.65, marking an intraday rise of 3.91 percent. The stock has given investors returns of 47.77 percent in the last 6 months.
Financial Snapshot – Q2FY26 Consolidated
Quarter-on-Quarter (QoQ): Revenue grew 2.4 percent to Rs. 1,370 crore from Rs. 1,338 crore in Q1FY26. Operating profit rose 58.1 percent to Rs. 98 crore from Rs. 62 crore, while the operating margin expanded from 5 percent to 7 percent. Profit before tax surged 100 percent from Rs. 35 crore to Rs. 70 crore. Net profit nearly doubled, up 96.2 percent from Rs. 26 crore to Rs. 51 crore. Earnings per share increased from Rs. 6.46 to Rs. 12.53.
Year-on-Year (YoY): Revenue advanced 12.4 percent from Rs. 1,219 crore in Q2FY25 to Rs. 1,370 crore in Q2FY26. Operating profit climbed 48.5 percent to Rs. 98 crore from Rs. 66 crore, with margins improving from 5 percent to 7 percent. Profit before tax rose 62.8 percent from Rs. 43 crore to Rs. 70 crore, and net profit increased 64.5 percent from Rs. 31 crore to Rs. 51 crore. EPS grew from Rs. 7.75 to Rs. 12.53.
Analyst View
According to a report from CRISIL dated 24th October 2025, IFB Industries plans a capital expenditure of around Rs. 180 crore in FY26, primarily funded through internal cash accruals. About half of this investment will go toward the engineering segment, while the rest will support the home appliances division. The company is also exploring acquisition opportunities in the engineering business. Even after factoring in a potential debt-funded acquisition, IFB’s financial risk profile is expected to remain strong over the medium term.
Key Strengths
According to the report from CRISIL, IFB enjoys an established presence in both consumer appliances and fine blanking businesses. It is among the top five washing machine brands in India, holding a leading position in the front-load category. A strong ramp-up in the air conditioner segment has supported profitability and improved its business risk profile. The company’s focus on research and development and its robust distribution network further enhance its competitive strength.
Its fine blanking division contributes nearly 80 percent of revenue in the engineering segment and has achieved a CAGR of about 14 percent over the past five fiscals, driven by product innovation and technology adoption.
IFB also maintains a diversified revenue base, with around 80 percent coming from home appliances and 17 percent from engineering as of FY25. Within the appliance segment, front-load washing machines account for 31 percent of revenue, 13 percent from top-load machines, 23 percent from air conditioners, 6 percent from microwave ovens, 15 percent from services, and the balance from other products. The growing contribution from ACs has improved overall diversification and margin stability.
About the Company
IFB Industries Limited, incorporated in 1974 and headquartered in Kolkata, manufactures and trades home appliances and engineering components in India and abroad. It operates across the Engineering, Home Appliances, Motor, and Steel segments. Its portfolio includes washing machines, dryers, air conditioners, dishwashers, ovens, kitchen appliances, and fine blanking components. The company was formerly known as Indian Fine Blanks Limited.
-Manan Gangwar
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