Symphony Limited , a leading air cooler manufacturer, reported its financial results for the first quarter of fiscal year 2026, revealing the impact of a shortened and rain-disrupted summer season on its performance.

Financial Highlights

• Q1 FY26 revenue stood at ₹229.00 crores, down 39% from ₹373.00 crores in the same quarter last year.
• Profit After Tax (PAT) declined to ₹37.00 crores from ₹69.00 crores in the previous year.
• The Board approved an interim dividend of ₹1.00 per share.

Performance Analysis

Despite the year-on-year decline, Symphony's Q1 FY26 sales of ₹229.00 crores marked the second-highest June quarter sales ever, surpassing June 2022 by 10%. The company attributed the revenue drop to a shortened and rain-disrupted summer season, which affected the entire summer-related product industry.

Nrupesh Shah, Managing Director of Corporate Affairs at Symphony, noted, "Like many other summer-related industries or summer-related products, Symphony has been also adversely impacted."

Channel Inventory and Market Dynamics

The company acknowledged that channel inventory remains higher than normal due to the weak summer season. However, management emphasized that this is part of the business cycle, and they have successfully navigated such situations in the past.

Diversification Strategy

Symphony's alternative product categories showed robust growth, helping to mitigate the impact of the subdued summer:

• Tower fans, kitchen cooling fans, and water heaters demonstrated strong performance.
• These categories now constitute approximately 25% of Symphony India's sales, up from less than 10% previously.
• The company is accelerating growth in all-season and counter-seasonal products.

International Operations

Symphony provided updates on its international subsidiaries:

• GSK China continues to show strong growth momentum.
• The company is progressing with the divestment of IMPCO Mexico and Symphony Australia subsidiaries, with potential completion expected by the end of the current financial year or early next year.
• GSK China completed the first tranche of a USD 5.2 million IPR transaction with IMPCO Mexico, receiving ₹22.00 crores in the quarter.

New Product Launches

During the quarter, Symphony launched a new range of air coolers called the Air Force range, which has received strong traction in the market.

Looking Ahead

While the company faces challenges due to the subdued summer, Symphony remains focused on strengthening its market presence in alternate channels and expanding its reach in semi-urban and rural markets.

Achal Bakeri, Chairman and Managing Director of Symphony, expressed confidence in the company's diversification strategy, stating, "The entire future does not depend only on the sales within India. There are various other drivers which will sort of lead us to continued sales."

Symphony Limited continues to adapt to market conditions and leverage its diverse product portfolio to navigate the seasonal fluctuations in its core business.

Symphony Limited , a leader in air cooling solutions, has announced its unaudited financial results for the first quarter, revealing a decline in revenue and profit compared to the same period last year. The company has also declared an interim dividend and disclosed plans for potential divestments.

Financial Performance

Symphony reported a consolidated revenue from operations of ₹251.00 crores for Q1, down from ₹393.00 crores in the corresponding quarter of the previous year, marking a significant year-on-year decrease of 36.13%. The company's net profit from continuing operations also saw a substantial decline, dropping to ₹39.00 crores from ₹73.00 crores in the same quarter last year, representing a 46.58% decrease.

Dividend Declaration

Despite the challenging quarter, Symphony's Board of Directors has declared a first interim dividend of ₹1.00 per equity share (50% on face value of ₹2.00 each). This dividend declaration amounts to a total payout of ₹6.87 crores.

Strategic Initiatives

The company has announced plans to explore divestment of stakes in two of its wholly-owned subsidiaries:

1. Symphony AU Pty Limited (Australia)
2. IMPCO S de R.L. de C.V. (Mexico)

These subsidiaries are now classified as discontinued operations. During the quarter, they contributed ₹3.00 crores profit from discontinued operations.

Segment Performance

Symphony's financial results reveal insights into its segment-wise performance:

1. Air Cooling and Other Appliances: This segment generated revenue of ₹256.00 crores.
2. Corporate Funds: This segment contributed ₹16.00 crores to the total revenue.

Geographical Performance

The company's revenue breakdown by geography shows:

1. India: ₹201.00 crores
2. Rest of the world: ₹50.00 crores

Outlook

The exploration of divestment opportunities for its Australian and Mexican subsidiaries indicates that Symphony is reassessing its global strategy. This move could potentially lead to a more focused approach on core markets and products.

As Symphony navigates through what appears to be a challenging period, investors and market watchers will be keen to see how the company's strategic initiatives and potential divestments impact its performance in the coming quarters.

Symphony Limited continues to position itself as a world leader in air cooling solutions for residential, commercial, and industrial spaces, with a presence in over 60 countries worldwide. The company has also expanded its product portfolio to include advanced tower fans and geysers.