New Delhi: Consumer electrical goods manufacturer Havells India has significantly increased its advertising and sales promotion expenses in the second quarter of the current fiscal year. The company’s adex rose by 45.5% year-on-year (YoY) to Rs 130.10 crore in Q2 FY 2025, driven by the early festive season.
The shift in the festive season led to an advancement in Havells’ advertising and promotion spending during the September quarter. However, compared to the previous quarter, the company’s adex was 24.5% lower, indicating a potential slowdown in marketing efforts.
On a half-yearly basis, Havells’ adex increased by 38.15% to Rs 302.47 crore in FY2025 compared to Rs 218.93 crore in FY2024. This suggests a consistent rise in the company’s advertising investments throughout the year.
In addition to its advertising expenses, Havells India also reported a 7.5% increase in its consolidated net profit to Rs 267.77 crore in the September quarter. This growth was primarily attributed to improvements in consumer demand trends.
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The company’s revenue from operations rose by 16.38% to Rs 4,539.31 crore during the same period. Havells India highlighted a “decent overall growth across segments” driven by the positive consumer demand trends.
While the company’s total expenses grew by 18%, it received a significant boost from an insurance claim settlement for the Neemrana fire incident in 2022. This claim amounted to Rs 32.84 crore, contributing to the company’s other income.
Havells India’s revenue from various segments, including switchgears, cables, lighting and fixtures, electrical consumer durables, and Lloyd Consumer, showed mixed results. While some segments experienced growth, others faced slight declines.
Overall, Havells India’s financial performance in Q2 FY2025 reflects the company’s strategic investments in advertising and promotion, coupled with improving consumer demand.
