GNG Electronics Targets 25%+ Revenue Growth with Global Expansion Strategy

GNG Electronics has unveiled an ambitious global expansion plan, aiming for a robust year-on-year revenue increase of over 25%. The company is set to broaden its footprint in the Information and Communications Technology (ICT) and consumer electronics sectors across new geographical markets.

Expansion Strategy

The company's growth strategy focuses on two key areas:

Market Expansion: GNG Electronics is actively pursuing opportunities in new geographical markets, leveraging its expertise in ICT and consumer electronics.
Operational Efficiency: The company is implementing measures to enhance its operational efficiency, which is expected to contribute to improved profit margins.

Product Diversification

As part of its growth strategy, GNG Electronics is emphasizing product diversification. This approach is aimed at:

Expanding its product portfolio
Catering to a wider range of customer needs
Reducing dependence on specific product lines

Financial Performance

The company's recent financial results reflect its growth trajectory:

Particulars (INR Cr)	Q2 FY26	Q2 FY25	YoY Growth	H1 FY26	H1 FY25	YoY Growth
Revenue from operations	439.90	352.60	24.70%	752.20	608.00	23.70%
EBITDA	46.80	35.90	30.40%	81.90	63.40	29.30%
EBITDA Margins	10.60%	10.20%	46 bps	10.90%	10.40%	47 bps
PAT	32.70	23.10	41.60%	51.20	35.20	45.30%
PAT Margins	7.40%	6.50%	88 bps	6.80%	5.80%	101 bps

The financial results demonstrate strong growth across key metrics:

Revenue from operations increased by 24.70% year-on-year in Q2 FY26
EBITDA grew by 30.40% year-on-year in Q2 FY26
PAT showed a significant increase of 41.60% year-on-year in Q2 FY26

Management Commentary

Mr. Sharad Khandelwal, Managing Director of GNG Electronics Limited, commented on the company's performance: "We are pleased to report another quarter of strong performance, with revenue growing 24.7% YoY and healthy improvement across all key profitability metrics. Our EBITDA margin expanded by 46 bps to 10.6%, while PAT margin improved by 88 bps to 7.4%, reflecting our continued emphasis on operational efficiency, stronger presence in existing markets, and strategic expansion into new geographies."

Future Outlook

GNG Electronics appears well-positioned for continued growth:

The company reports ongoing momentum in demand for ICT products across global markets
An expanding customer base and strong procurement network are strengthening its market position
Advanced facilities across India, the UAE, and the USA reinforce the company's commitment to global quality standards

Mr. Khandelwal expressed confidence in sustaining strong revenue growth, stating, "As demonstrated in our past performance, we see ample growth potential across both domestic and international markets."

As GNG Electronics pursues its ambitious expansion plans, investors and market watchers will be keen to observe how effectively the company executes its strategy and maintains its growth trajectory in the competitive ICT and consumer electronics sectors.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
+0.79%	+4.70%	-4.34%	-6.43%	-6.43%	-6.43%

GNG Electronics Limited has dispatched its postal ballot notice to shareholders on December 16, 2025, seeking approval for several key corporate initiatives including ESOP scheme modifications and material related party transactions worth ₹550 crores.

Postal Ballot Process and Timeline

The company has initiated the postal ballot process with e-voting commencing on December 17, 2025 at 9:00 AM (IST) and concluding on January 15, 2026 at 5:00 PM (IST). The cut-off date for determining eligible shareholders was set as December 12, 2025.

Parameter	Details
E-voting Start	December 17, 2025 at 9:00 AM (IST)
E-voting End	January 15, 2026 at 5:00 PM (IST)
Cut-off Date	December 12, 2025
Scrutinizer	M/s Nishant Bajaj Associates
E-voting Platform	Bigshare Services Private Limited

Key Resolutions for Shareholder Approval

The postal ballot notice contains four critical resolutions requiring shareholder consent:

ESOP Scheme Modifications

Resolution 1 (Special Resolution): Alignment and ratification of Electronics Bazaar Employees Stock Option Scheme 2024 as per SEBI regulations

Resolution 2 (Special Resolution): Extension of ESOP benefits to employees of subsidiary companies, associate companies, and holding companies

ESOP Details	Specifications
Total Options	57,00,575 employee stock options
Percentage of Capital	5% of post-listing share capital
Face Value	₹2.00 per equity share
Vesting Period	Minimum 1 year, maximum 5 years
Exercise Period	2 years from vesting date

Material Related Party Transactions

Resolution 3 (Ordinary Resolution): Approval for material RPT with Electronics Bazaar FZC (subsidiary) for sales of goods and services up to ₹300 crores during FY 2025-26

Resolution 4 (Ordinary Resolution): Approval for material RPT between Electronics Bazaar FZC and Bright World Technologies INC (step-down subsidiary) for sales transactions up to ₹250 crores during FY 2025-26

Transaction Details	Amount	Parties
GNG Electronics - Electronics Bazaar FZC	₹300 crores	Parent-Subsidiary
Electronics Bazaar FZC - Bright World Technologies	₹250 crores	Subsidiary-Step-down Subsidiary
Total RPT Value	₹550 crores	Combined Transactions

Previous Board Decisions and Corporate Actions

The current postal ballot follows significant board decisions made through circular resolution on December 12, 2025, which expanded the scope of previously approved initiatives from the November 4, 2025 board meeting.

Credit Facility Enhancement

Facility Type	Previous Limit	New Limit	Increase
Credit Facilities	₹72.50 crores	₹201.50 crores	₹129.00 crores
Standby Letter of Credit	₹77.00 crores	₹82.00 crores	₹5.00 crores
Total Sanctioned Limits	₹149.50 crores	₹283.50 crores	₹134.00 crores

Strong Financial Performance

The company reported robust Q2 financial results, demonstrating strong operational performance:

Financial Metric	Current Quarter	Previous Year	Growth
Consolidated Net Profit	₹326.60 million	₹185.20 million	76%
Revenue	₹4.40 billion	₹3.12 billion	41%
EBITDA	₹465.40 million	₹323.10 million	44%
EBITDA Margin	10.58%	10.35%	23 bps

Corporate Governance and Compliance

The postal ballot process demonstrates the company's commitment to regulatory compliance and shareholder governance. All proposed transactions are structured to be conducted at arm's length and in the ordinary course of business, with appropriate audit committee and board approvals already secured.

The results of the postal ballot will be announced within two working days of the conclusion of the e-voting process and will be communicated to stock exchanges where the company's shares are listed.