Broker’s Call: TTK Prestige (Buy)

TTK Prestige's revenue grew 33.6 per cent to ₹814 crore in the first quarter of fiscal year 2027, driven by a domestic sales surge of 35.6 per cent. This growth was fueled by a high demand for induction cook-tops and other kitchen appliances. However, export revenue dropped 17.9 per cent to ₹12.8 crore due to disruptions in shipping and logistics.

The 'Judge' brand continued to gain popularity, with its revenue increasing 89.9 per cent to ₹34.6 crore. Experts anticipate a robust demand outlook, influenced by premiumisation, replacement purchases, and improving discretionary spending, supported by GST cuts and reduced interest rates. The upcoming festive season is anticipated to further stimulate channel inventory across all categories, though growth is expected to stabilize over time.

TTK Prestige is investing ₹200 crore to enhance operational efficiency and secure long-term growth, which might impact short-term profitability. Inflation from commodities is expected to be managed through effective sourcing, competitive pricing, and premiumisation. With strong cash flow, TTK is in a position to fund investments in capacity, distribution, talent, and product development, aiming for approximately 1,000 Xclusive stores and leveraging the Judge brand to broaden its mass-market reach. The article forecasts FY28 EPS and values TTK's stock at ₹749, maintaining a Buy rating.