Butterfly Gandhimathi hits fresh all-time high; jumps 50 per cent in three months

The company is a market leader in India for SS LPG stoves as well as tabletop wet grinders and is also, a major supplier of mixer grinders & pressure cookers.   

Butterfly Gandhimathi Appliances Ltd is one of the leading manufacturers of kitchen and electrical appliances in the country. The company sells its products under the brand - ‘Butterfly’ across the country via distributors, direct dealers, modern trade, online channels, gas dealer channels, etc. The company is a market leader in India for SS LPG stoves as well as tabletop wet grinders and is also, a major supplier of mixer grinders & pressure cookers.   

The stock, after registering an all-time high of Rs 1,350 on NSE in the early half of January 2022, tumbled nearly 21 per cent in the next 14 trading sessions as it marked a low of Rs 1,067.20. Thereafter, the stock staged a smart rally as it witnessed a V-shaped recovery and went on to touch a fresh all-time high of Rs 1,399 on Friday. The stock is seen outperforming the broader market indices hands down.   

Recently, the company announced its Q3FY22 numbers. Its total income during Q3FY22 dropped 13.2 per cent YoY to Rs 258.5 crore as against Rs 297.9 crore in Q3FY21. Its revenue decreased due to a shift in festival seasonal sales in the previous quarter i.e. Q2FY22. Gross margins were impacted due to a steep increase in raw material prices. EBITDA during Q3FY22 stood at Rs 21.6 crore as against Rs 36.2 crore in Q3FY21. EBITDA margin dipped to 8.4 per cent due to lower revenue. PAT registered a staggering decline of over 50 per cent YoY to Rs 9 crore in Q3FY22.