Electronics mart has announced a credit rating revision by India Ratings and Research (IRR), marking a change in the outlook for its bank loan facilities. The rating agency has revised the outlook to Stable from Positive while maintaining the existing credit rating at IND A.

Credit Rating Details

The rating revision encompasses multiple bank loan facilities held by the company. The comprehensive rating action covers substantial financial instruments that form part of the company's debt portfolio.

Regulatory Compliance

The company has made this disclosure in accordance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. This regulation mandates listed companies to inform stock exchanges about material events that could impact investor decisions.

Rating Information Accessibility

Detailed information about the credit rating is publicly available through multiple channels:

• IRR's official website press release section
• Electronics Mart India's dedicated investor relations portal under credit rating section

The rating revision reflects IRR's assessment of the company's creditworthiness and financial stability. The IND A rating indicates adequate safety for timely servicing of financial obligations, while the Stable outlook suggests that the rating is unlikely to change in the near term.

Corporate Communication

The disclosure was signed by Rajiv Kumar, Company Secretary and Compliance Officer, dated December 11, 2025, from the company's Hyderabad office. This formal communication ensures transparency with stakeholders and maintains compliance with regulatory requirements for listed entities on both NSE and BSE platforms.

Electronics Mart India Limited (EMIL), a prominent consumer durables and electronics retailer, has reported mixed results for its second quarter, with strong revenue growth but compressed margins.

Financial Performance Highlights

The company's Q2 results reveal:

Growth and Operational Metrics

• Same Store Sales Growth: 11.4%
• New Store Openings: 8 net new stores
• Total Stores: 215 across 95 cities
• Average Ticket Size: ₹22,757.00

Margin Pressure and Operational Challenges

Despite the robust 19% increase in revenue from operations, which rose to ₹1,591.00 crore, Electronics Mart India faced significant margin pressure. The EBITDA margin compressed to 5.1% from previous levels, indicating increased operational costs and competitive pressures in the consumer electronics retail sector.

The company attributed the margin pressure to two main factors:

1. GST-related slowdown in large appliances for 22 days
2. A shift in sales mix toward mobiles and IT devices

First Half Performance

For the first half of the fiscal year, Electronics Mart India reported:

• Revenue: ₹3,330.00 crore
• Same Store Sales: 4.8% decline

Strategic Moves and Exceptional Items

During the quarter, Electronics Mart India reported two significant exceptional items:

1. Insurance Claim Settlement: The company recovered losses from a fire incident through insurance.

2. Sale of Apple Stores: An exceptional gain of ₹8.00 crore was recorded from the sale of Apple stores.

Market Position and Future Outlook

Electronics Mart India maintains a strong market position with 215 stores across 95 cities and partnerships with major brands. The company's continued revenue growth and expansion of store network suggest a robust market presence in the consumer electronics retail sector.

However, the compression in EBITDA margin highlights the need for effective cost management and operational efficiency improvements. As Electronics Mart India navigates through these challenges, investors and market observers will be keenly watching how the company addresses its margin pressures and leverages its strong revenue growth to improve bottom-line performance in the coming quarters.