💰 Financial Performance

Revenue Growth by Segment

The company transitioned to a single business segment, 'Electronic Gadgets', as of October 1, 2024. Standalone revenue from operations grew 23.94% YoY, increasing from INR 53,871.85 Lakhs in FY 2023-24 to INR 66,768.46 Lakhs in FY 2024-25. For H1 FY 2025-26, standalone revenue reached INR 35,694.95 Lakhs, representing a 8.63% increase over the INR 32,859.31 Lakhs recorded in H1 FY 2024-25.

Geographic Revenue Split

Not specifically disclosed in available documents, though the registered office is in Ahmedabad, Gujarat, and the company operates as a retail chain across India.

Profitability Margins

Net Profit Ratio improved by 12.19% YoY, rising from 0.90% in FY 2023-24 to 1.01% in FY 2024-25. Standalone Profit After Tax (PAT) for FY 2024-25 was INR 676.08 Lakhs, a 39.05% increase from INR 486.21 Lakhs in the previous year. For H1 FY 2025-26, standalone PAT was INR 365.74 Lakhs compared to INR 335.20 Lakhs in H1 FY 2024-25, a 9.11% growth.

EBITDA Margin

EBIT grew by 31.22% YoY, reaching INR 1,258.48 Lakhs in FY 2024-25 compared to INR 959.07 Lakhs in FY 2023-24. This growth in core profitability was driven by increased operational efficiency and higher sales volumes in the mobile retail segment.

Capital Expenditure

Historical CAPEX for H1 FY 2025-26 included the purchase of Property, Plant, and Equipment (PPE) and Intangible Assets totaling INR 64.72 Lakhs, a decrease from INR 122.02 Lakhs in H1 FY 2024-25. Total PPE as of September 30, 2025, stood at INR 828.03 Lakhs.

Credit Rating & Borrowing

The company significantly reduced its leverage, with the Debt-Equity Ratio decreasing by 48.95% from 1.62 in FY 2023-24 to 0.83 in FY 2024-25. Finance costs for H1 FY 2025-26 were INR 158.88 Lakhs, down 8.62% from INR 173.86 Lakhs in H1 FY 2024-25, reflecting lower interest-bearing debt.

⚙️ Operational Drivers

Raw Materials

As a retail entity, the primary cost is 'Purchases of Stock-in-Trade' (mobile handsets and accessories), which accounted for INR 60,975.37 Lakhs in FY 2024-25, representing 91.32% of total revenue.

Import Sources

Not disclosed in available documents; however, products are sourced from major mobile and electronic gadget manufacturers.

Key Suppliers

Not disclosed in available documents, but includes major global and domestic mobile handset and consumer electronic brands.

Capacity Expansion

The company operates as a retail chain; expansion is measured by store count rather than manufacturing capacity. It recently allotted 2,50,000 equity shares at INR 399 each (including INR 389 premium) to warrant holders to fund business growth.

Raw Material Costs

Purchases of Stock-in-Trade for H1 FY 2025-26 were INR 35,326.28 Lakhs, up 14.87% from INR 30,753.31 Lakhs in H1 FY 2024-25, reflecting higher procurement to support sales growth.

Manufacturing Efficiency

Not applicable as the company is a retail chain. Operational efficiency is tracked via the Net Capital Turnover Ratio, which was 9.29 times in FY 2024-25.

📈 Strategic Growth

Expected Growth Rate

23.94%

Growth Strategy

Growth is pursued through the expansion of the 'KORE' retail brand, preferential allotment of equity shares (7,45,000 shares in FY25) to raise capital, and a focus on high-demand electronic gadgets. The company also utilizes share warrants to secure future funding for market expansion and working capital.

Products & Services

Mobile handsets, mobile accessories, audio-video devices, and other consumer durable electronic goods.

Brand Portfolio

KORE, KORE Mobile.

New Products/Services

The company has consolidated its focus on the 'Electronic Gadgets' segment to streamline operations and capitalize on the growing demand for consumer durables and smart accessories.

Market Expansion

The company aims to cement its foothold as 'India's Most Trusted Mobile Retail Chain' by increasing its retail presence, supported by recent capital infusions from share and warrant allotments.

Strategic Alliances

The company held stakes in subsidiaries Hear More Techlife Pvt. Ltd. (59%) and Techgrind Solutions Pvt. Ltd. (51%), though it recently sold its interest in Hear More Techlife, resulting in a reversal of accumulated losses of INR 172.45 Lakhs.

🌍 External Factors

Industry Trends

The mobile retail industry is growing due to 5G adoption and shortening replacement cycles. The company is positioning itself by focusing exclusively on 'Electronic Gadgets' to capture this shift toward integrated digital lifestyles.

Competitive Landscape

Competes with large-format retail stores, online e-commerce giants (Amazon, Flipkart), and unorganized local mobile shops.

Competitive Moat

The company's moat is built on its brand reputation as a 'trusted' retail chain and its ability to manage a high-volume, low-margin business with a Current Ratio of 2.03, providing better liquidity than many smaller competitors.

Macro Economic Sensitivity

The business is sensitive to consumer spending power and interest rates; high inflation can reduce discretionary spending on electronic upgrades.

Consumer Behavior

Shift toward premiumization in smartphones and increased demand for wearable tech and audio accessories.

Geopolitical Risks

Supply chain disruptions for mobile components (often sourced from China/East Asia) could impact the availability of stock from major OEMs.

⚖️ Regulatory & Governance

Industry Regulations

Subject to the Companies Act 2013, SEBI (LODR) Regulations 2015, and consumer protection laws governing retail trade and electronic waste management.

Taxation Policy Impact

The effective tax rate for FY 2024-25 was approximately 26.4%, with tax expenses of INR 243.61 Lakhs on a standalone profit before tax of INR 919.69 Lakhs.

Legal Contingencies

The company stated in its 2024-25 Annual Report that it does not have any pending litigations that would impact its financial position.

⚠️ Risk Analysis

Key Uncertainties

Liquidity risk is a primary concern, evidenced by a low Debt Service Coverage Ratio of 0.25 in FY 2024-25, which could impact the company's ability to meet debt obligations if cash flows fluctuate.

Geographic Concentration Risk

High concentration in Western India, specifically Gujarat, where the registered office and primary operations are located.

Third Party Dependencies

Highly dependent on major mobile OEMs (Original Equipment Manufacturers) for inventory and promotional support.

Technology Obsolescence Risk

High risk due to the rapid 6-12 month product lifecycle of mobile handsets, which can lead to significant inventory write-downs if stock is not moved quickly.

Credit & Counterparty Risk

Trade receivables stood at INR 418.06 Lakhs as of September 30, 2025. The Trade Receivables Turnover Ratio was 78.97 times in FY 2024-25, indicating high collection efficiency for a retail business.